Marvin goes and gets twenty people signed up, and your organization (company) is to make candles. Don't ask about necessity of candles, or the numbers equaling realistic profits. This is a brief discussion on how socialism would work.
Marvin gets a 'compact' (an agreement with the twenty folks). They approach a bank to get a start-up loan. The bank has to avoid asking stupid questions (profitability, if any of you have ever made candles, or customer potential). So they hand you the loan. As stupid as Marvin might be.....the bank has to be just as stupid.
Now you start the candle business. You have to assume, in this socialist atmosphere.....there is no competition. If there were competition, and others were better than you....then your business would rapidly decline. But in this socialist world....you make candles within your region (say ten miles) and no one competes against you.
Added to this....one has to assume that none of the twenty want to take charge, and that Marvin acts as the 'lead' (never use the word boss in a socialist situation).
Everyone in the group is paid the same. The pricing of the candles? Only what the raw materials cost, and the cost of labor. No profit can be built into the candle business.
If anyone comes along with longer-lasting candles....to compete against you? That's another forbidden situation.
If customers come along to refuse your candles? Well, that can't seriously happen in a truly socialistic world.
If Marvin screwed up and needed to be let go? Well, the system would have to prevent that....because Marvin would be out of a job and without an income.
There are a list of a hundred different 'what-if' scenarios.....where nothing can really change or improve....if you were a truly socialistic company.
So I come to the end of this discussion. As much as some people want socialism to be the driving force in life....we've moved past the wagon-wheel state of mind, and live in a world where the candle factory concept simply won't work. In simple terms, you'd have to go and totally re-invent socialism, with a totally different end-result, if you wanted to make it a model of operation today.
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