The very first thing to recognize is that any startup organization is typically going to need fair access to capital in order to have a fair chance at success. So too, corporations of all sizes typically require access to additional capital, so as to be used for expansion, for research & development, and for contingencies that will permit that corporation to ride out the storms of a capitalistic system which has its expansions as well as its contractions. We live in an age though in which the banking institutions of America have never been more concentrated and bigger than they are today, signifying that those that are unable to make a deal with one of the big banks, are going to find that their situation thereby becomes much more difficult to get the funding that they need, and even can become untenable.
So then, it has to be admitted that when one of the largest banks in this nation, has a significant business relationship with one of the largest corporations in America, that the bank of interest, in conjunction with the business of interest, have a vested interest in seeing that all those that would compete against that corporation, for a certainty, will not get funding from that bank. The reason that this is so is that when a bank is quite satisfied with its relationship with that big corporation, they do not want to finance competition that could upset what is already a good thing. This signifies that when there is concentrated power in banks as well as in certain corporations, this has a strong tendency to be a construct in which there is an abiding interest to make sure by those players that competition does not have fair access to capital, because it is bad for the business, at hand.
Indeed, whenever there are just a few mega banks, that decide whether they will or will not loan out their capital, it means that there is too much power concentrated into too few hands, of which, that power can easily be structured in a way and manner, that those that have the connection, get favorable terms, and those without that connection, either get unfavorable terms, or no terms, at all.
This signifies that the more concentrated corporations are, as well as the more concentrated the banking industry is, means that this government, must do what it needs to do to verify that unfair restraint of trade is not occurring, by the joint actions of these big conglomerates, because if that is the case, this means that not only are the choices that the consumer has, becomes limited, but that there really isn’t a true free market, at all. After all, those that could or would compete, when they aren’t provided with the opportunity to do so, or are severely restricted in trying to accomplish this, thus makes for an easier and greater profit pathway for those favored corporations through the aegis of the mega banks that service them, and therefore less choice and higher prices for those consumers that purchase from them.