Mitt Romney and the Hypocrisy of Bain Capital

Many have suggested that attacks on Mitt Romney's service at Bain Capital are attacks on capitalism itself. That is hyperbole at its finest from those who do not understand the business Bain Capital was involved in.Mitt Romney was NOT primarily a venture capitalist. A venture capitalist invests in early-stage businesses with the hope that they grow and prosper. These early-stage businesses are often risky investments. Though most ultimately fail, some succeed spectacularly making the risks worthwhile. Apple Computer and Google are two such examples. This is what Mitt Romney means when he says some investments succeed and some fail.By contrast, Mitt Romney was primarily what is affectionately known as a vulture investor. Bain Capital invested in failing companies with the intention of either restructuring their business or stripping the business and selling its assets. This business model often adversely affects a company's employees. To be fair, if the company had gone ...(Read Full Post)