Drawn from the mass suicide of 914 followers of cult leader Jim Jones in 1978 by drinking Flavor-Aid laced with cyanide (known as the "Jonestown Massacre"). Someone who "Drank the Kool-Aid" has so bought into their leader's vision or cause they will blindly follow to their own doom.
Other companies adapted and were successful. However, James continued to believe his bosses were right not to adapt--even after the company had to file for bankruptcy. James really "drank the Kool-Aid".
A portmanteau of "threating" and "romantic" from an episode of "Fairly Odd Parents" wherein Timmy Turner's parents try to help Timmy write an effective love-email to his crush Trixie Tang by combining the usual lovey-dovey cliches with threatening that she'd better date him if she ever wants to see her parents again.