> Same goes to modern day dictatorships like North Korea. If not for international borders and internal controls, most North Koreans would probably prefer to leave their country. So, to continue the analogy, one could imagine a day in the future where as a small business owner, you are no longer able to attract any employees on the terms you're used to now -- not unless they are not employees, but co-workers with all equal rights and votes.
Again, I welcome whatever reality the free market thrusts upon me, and will react and adapt accordingly.
However this is incredibly far from reality because people actually like being employees. You don't have nearly as much risk. You don't have to make tough executive decisions with far-reaching consequences. Your levels of stress are lower. Etc. Those things are worth $$$, and we price them by CEO/founder compensation. It's not going to be perfect pricing, but it's the best we've got.
> Why exactly is it that you want to have your own totalitarian regime within the organization you started?
Because I believe that my decision making and skills with regards to a particular type of business in a particular type of market will yield me big returns, and so I want to put my money where my mouth is. Hence I saved up and founded my business.
> Besides, if you are the founder and know the business better than anyone, and have good leadership qualities, why wouldn't you be constantly re-elected as CEO?
Injecting this type of politics into a company is a fantastic way of slowing it to a crawl. Even if it's possible that one of my employees could be "better" than me at my job, we're not practically going to find out ("let's all try each other's job for a month!"). Or rather, it's not my responsibility to ask them -- if they think so they're free to go start their own company/competitor (subject to whatever non-compete clauses they may have signed, which you could argue is burdensome regulation, and I might be inclined to agree).
Besides, who says elections give us the best candidate? ;)
Unlike the North Korea example, the employees really do have options here. At least ideally they have as much choice as possible for who to work for, remember it's not like I put a gun to anyone's head when I asked them to join (or stay). A counterexample might be the H1-B's that are tied to their employer, but I don't have that particular relationship with any of my employees.
> And if your coworkers indeed approve of you as CEO, you would still get your greater earnings potential, although without being able to exploit your workers as much.
Just to wrap up, as I said above it's not worth the time for me to "poll" everyone. There are serious business consequences to injecting such a high level of politics into a company. What keeps me from exploiting my workers primarily are competitors, with competing potential offers, and the flow of information on the internet, e.g. 'this type of engineer makes X a year'.