Down Boy, Sit, Stay! Unraveling HearUSA, part 4

As last week’s post wound down, HEARx was hurtling toward  200 retail “hearing aid stores,” 14% US marketshare, and multimillion dollar profitability  by 1991. They didn’t make it.  By 1995, the company was a penny stock (NASDAQ Bulletin Board OTC: EARS) with  only 20% of the stores projected for 5 years earlier.  HEARx wasn’t nationwide and it wasn’t profitable, although top…

Read More

Life in the Fast Lane: Unraveling HearUSA, part 1

“The Company’s strategy includes immediate public differentiation from all existing hearing centers.”{{1}}[[1]]HEARx Marketing Plan, internal document, about 1986.[[1]] Thus began one man’s corporate vision to revolutionize hearing care in the US and Canada, and also make a bunch of money. Based on current headlines, it seems the vision has been achieved.  The corporation–currently known as HearUSA …

Read More

Who Ya Gonna Serve: Shareholders or Stakeholders?

 If any investors believe that the SEC’s enforcement actions drove insider trading out of the markets, they are beyond mere legal help.{{1}}[[1]]http://www.professorbainbridge.com/professorbainbridgecom/2010/04/is-insider-trading-bad-if-so-why.html[[1]] Back in April, we reported on possible insider trading in the hearing aid industry and promised some educational discussion of fiduciary duty and the stakeholder paradox in a follow-up post{{2}}[[2]]https://hearinghealthmatters.org/hearingeconomics/2011/hearing-aid-insider-trading-big-time-or-bush-league/[[2]].  It’s not stuff…

Read More