For some time I have worked for a local Austin screen printing company that has specialized in University of Texas licensed apparel. Last year, VF Corporation, proposed an offer to the University of Texas to get exclusive rights for selling adult t-shirts. VF secured this “monopoly” after writing a large check for advance royalties to the school. The ripple effect has now begun and many Austin companies and families are suffering from this decision. Several local companies went out of business when this deal was signed. Many Austin citizens lost their jobs. VF, like most large corporations, brings their product in from out of the country. As a re-cap, the University of Texas gave exclusive rights to a large corporation that essentially put many local citizens out of work, while giving more business to people out of the country. Why..... Money.
The disturbing part of this story is that the State of Texas funds the University of Texas. It seems to me that there is something wrong with our local government if they will fund a school that puts its citizens out of business. Unemployment rates are increasing. If our government would spend more time managing the funds that they allocate we might not be in such a recession. If our state would not support entities that take jobs away from Americans, forcing many to file for unemployment there would not be such a large drain on our financial resources. The financial problems we are facing are not just because we are in a recession, but because we are not considering the consequences of our actions. The University of Texas signed the contract with VF for the monetary instant gratification. I doubt they even thought of the long term effects this would have on the citizens living in their own community. Shame on The University of Texas and shame on the government for allowing this to happen.
The author of the blog Everything’s Bigger... and Better in Texas??? expresses his frustration in “Funding the Enemy”, about how the University of Texas signed a contract last year with VF Corporation, giving them exclusive rights for selling adult t-shirts. This caused many small companies in Austin to go out of business, which led to families in Austin suffering. VF brings their product from out of the country, so by giving a large corporation exclusive rights, UTA put many local citizens out of work, while giving more business to those that don’t even work within the United States. This author offers a concise and informatory argument that shows the dark side of business done by the longhorns. Even though it is only one side to the story, it is the right point of view so that the reader can get a better grasp of how serious the situation was. To read for yourself and come up with your own opinion, go to Everything's Bigger...and Better in Texas???
ReplyDeleteMegan Fisher, the writer of “Everything’s Bigger… and Better in Texas???,” posted a blog on October 28, 2011, titled “Funding the Enemy.” This article criticizes the University of Texas for signing a contract with VF Corporation. The University receives a substantial amount of money for “royalties” from VF in exchange for “exclusive rights for selling adult t-shirts” with the school’s logo. The author also criticizes the Texas Government for not regulating business arrangements that cause local companies to go out of business.
ReplyDeleteAs an individual that “worked for a local Austin screen printing company that has specialized in University of Texas licensed apparel,” it is easy to understand the strong opinion of the author. Fisher argues that the contract between the university and VF created a “monopoly” that essentially “put many local citizens out of work.” The author of the blog makes a good point; the government should support local businesses to maintain local employment.