University of Phoenix
June 2, 2004
Decisions Made at Martha Stewart Living Omnimedia Incorporated Critical thinking is a very important part of any business. In order for successful decisions to be made, a thorough analysis of options is vital. While some decisions can be more important than others, all decisions in business should be considered with critical thinking skills in mind. A recent personal problem for a high profile CEO has created numerous critical decisions to be carried out by the CEO's company. Even poor choices of Management's personal lives can greatly impact business decisions as seen with Martha Stewart and her founding company Martha Stewart Living Omnimedia LLC. Martha Stewart, also known as the ultimate domestic diva, was recently found guilty of lying during an insider trading investigation of some personal stock sales. She is scheduled to be sentenced on June 17th 2004. Her founding company Martha Stewart Living Omnimedia, Inc. (MSO) which she acted as the Chairman of the Board of Directors and served as its Chief Executive Officer, is the original and leading provider of how-to information to consumers with unique content and high-quality products for the home. This content is developed within core areas such as Home, Cooking, Entertaining, Gardening, Crafts, Holiday, Keeping, Weddings, and Baby and Kids. These domestic arts provide ideas and products for the average consumer. The company is also organized into four business segments including Publishing, Television, Merchandising, and Internet/Direct Commerce.
Due to this CEO's personal problems, the company has been forced to make drastic decisions regarding how to save the company from financial ruin. Because MSO is traded publicly on the stock exchange, in an attempt to protect the company and its investors, the company needs to attempt to "save face" because their CEO,...