Case 5
The Vega Food company owner Francisco Valle Sr had just recently died and now the rest of the family is having problems with the money, shareholders and what exactly are the siblings responsibilities in the company. Francisco Jr has been working there the longest and has the most experience working along side his dad in the company. His four sisters are now wanting more percentage of the shares in the company. The main problem is with his young sisters Mari who wants more responsibility in the family business. Francisco received a big CEO salary and bonus that the sisters didn’t receive nearly as much as he did. They thought this was unfair. This problem seem to hurt the company in sales. After calling a family meeting, a consultant got everything straightened out for what each member of the family had to do and what the shareholders wanted out of the company and what percentage of shares they all had. This problem seem to hurt the company in sales. Francisco seems to be the right person to take most of the responsibilities because was worked there the longest and knows what to do. Mari wanted out of the company for feeling that she wasn’t treated the same way as the rest of the siblings so Francisco bought her shares out. Everyone always thinks that they all deserve the same percentage and same amount of salary at the work place but that just doesn’t happen in real life. If Mari wanted to stay in the company I think they could have given each other a little bit more percentage in the shares but still having Francisco have the highest percentage. It also never really stated what she did for the company and how she could help the company. She just thought that she deserved more shares. Personally I don’t think that is fair just because your family doesn’t mean you’re entitled to have shares in the company. But in the end I think Mari just had enough and wanted to give her shares up and move on in her life. After reading what the family did to over come this problem I thought it seem to be the best for both the company and Mari. Now their sales have been going up and the company is growing and doing good with new employees. If they didn’t resolve this problem I think the company would have been destroyed and more feelings would have been hurt in the long run. Also being a good CEO, Francisco saw a problem and decided to do something about it.
You May Also Find These Documents Helpful
-
Basically, Bob did well in establishing advisory board, including CEO, COO, and financial expertise and Marketing expertise, who have the family-owned background or service industry background. Also, there was one female member who would be able to help the company better understand the female customers or help the female family member to involve in the family business. With the development of company, Bob added new members to the board according to the business needs. This is another good point.…
- 918 Words
- 4 Pages
Good Essays -
Her patience is never-ending. Lindy is the primary Human Resource Generalist for the Engine, Materials and Quality Departments with well over 100 employees. Her patience and ability to have an accurate pulse of the employees is incredible. There are many occasions where she can predict an issue, before it actually occurs. Melinda also plans all local and corporate employee events. This includes quarterly employee meetings, family day, benefit meetings, code of conduct training and united way campaigns. In the past two years she planned, organized and executed two family day outings that included well over 600 employees and family members and she advertised and organize the United Way Campaigns in which Mayfield is always one of the leading companies in PRS in not only donations but also in participation rate. Melinda is the payroll backup and processes all unemployment claims for all three facilities (She hasn’t lost a case in well over 2…
- 658 Words
- 3 Pages
Good Essays -
In the case study entitled “The Crowne Inn: A Classic Case of Family Business in Turmoil” outlines a situation within the Johnston family regarding their family business. The dilemma is built against the backdrop of a characteristic family dispute of monetary discrepancy. By and large, the issue lies on that Bruce Johnston who have been running the family bar for over 15 years want out of an oral agreement they made with Bruce’s mother. Bruce and his wife have offered his family to buy out of a residual agreement to pay her $500 a month plus medical expense for ownership of the bar for the lump sum of $50,000. On the whole, Bruce’s mother Barbara, her attorney and the family members on her side of the issue believe this may be too little. Furthermore, they contend they have three options: sell the bar outright for the lump sum, have Brue pay smaller lump sum and continue with the monthly payments, or sell the bar to a third party.…
- 841 Words
- 4 Pages
Satisfactory Essays -
The source of the Demoulas family dispute lies in the actions of Mike who made a promise to George that upon his death he would watch over his surviving family members. When Mike diverted approximately $1 billion of company assets without approval from George’s heirs’ legal action ensued. A judgment in favor of Arthur, George’s son, resulted in controlling ownership of…
- 974 Words
- 4 Pages
Good Essays -
The Marketing Manager of Lucas Foods must decide on a marketing strategy for Gold Medal Crumpettes that will best capture the available market opportunities and support the company's mission, The product is in the beginning of the life cycle and is a success in Alberta. The problem is whether Lucas Foods should maintain the products existing geographic coverage, or should it expand?…
- 309 Words
- 2 Pages
Satisfactory Essays -
There is a long ongoing battle that is being waged between unions and business since the rise of large corporations. Unions were created to fight higher official corruption and to protect workers from unfavorable conditions and unfair treatment by top-level officials, companies take extreme measures to prevent the creation of unions within their organizations. There are positive and negative effects for both nonunion and unionized companies. Preventing workers from unionizing is a difficult task for organizations especially as they expand into the global arena. More is demanded from employees usually with little added benefits (thus the reason for unionization). A notable successful company is Trader Joe’s, who’s business strategy and cultural…
- 860 Words
- 4 Pages
Good Essays -
Risings costs, difficulties associated with opening new stores while maintaining growth, prosperity of existing ones…
- 766 Words
- 4 Pages
Good Essays -
In 1997 John Mackey the “Cowboy of doing things” developed the slogan “Whole Foods, Whole People, Whole planet”. This slogan is a symbol used to explain the purpose and future of the Whole Foods Market.…
- 636 Words
- 3 Pages
Good Essays -
At Jim Jr.’s entry into the business, a direct sales model was implemented upon his recommendation to better the financial position of the company.…
- 308 Words
- 2 Pages
Satisfactory Essays -
Theory Y view employees are capable of self-direction, of seeking responsibility, and of being creative according to the text. Companies want to have happy consumers and in order to obtain this they need happy employees. Management needs to be creative and find ways to keep employees involved. Management makes sure they hire good people; they want employees who will appreciate the job and feel like they are part of the company. It appears wholefoods follows McGregor’s theory Y. His employees are happy and provide prodigious customer service.…
- 581 Words
- 3 Pages
Good Essays -
1. Food production has changed more in the last 10 years than in the preceding 10,000.…
- 687 Words
- 3 Pages
Good Essays -
Unfortunately, it appears that this is, by law, “fair” as Mr. Retzer owes a fiduciary duty to Mrs. Retzer. Now is this actually a “fair” situation is a whole other question. No, I would say this is not a “fair” circumstance for Mr. Retzer as he has been basically betrayed by his wife, whom he has to now make money for, to the best of his ability. To me this does not seem fair as far as my understanding of the term goes, however by law he must abide. Unless they previously agreed upon in their term agreement to avoid a situation like this, Mr. Retzer must protect Mrs. Retzer’s stake in the company. I believe she should lose her position in the company; as she is not the person Mr. Retzer thought she was. This would make it a “fair” situation…
- 255 Words
- 2 Pages
Satisfactory Essays -
St. Joseph Adult Day Care (JADC) is a hypothetical nonprofit family owned business founded by Caroline Sherman. Mrs. Sherman and husband Joseph will provide in-home care to these families allowing the immediate care provider a respite for the day or several hours to tend to personal business that otherwise could not be done because of the responsibilities and demands of providing care to their loved ones. Mrs. Sherman has been involved with the health care industry for over 10 years and holds a bachelor degree in health care administration; his husband Joseph, has been a volunteer in nursing homes over the period of her mother's stay in a residential home.…
- 952 Words
- 4 Pages
Good Essays -
In 2006 my grandfather purchased a tool company in Dayton, the company had long term lucrative government contracts, all it needed was capital and it would run its self. My grandfather was a person who couldn’t sit still, he had retired three times, he decided to come out of retirement yet again and purchase this company. My grandfather and his lifelong friend/business partner agreed to finance the company together, however my grandfather’s partner passed…
- 584 Words
- 3 Pages
Good Essays -
In a way CEO Ms. Fiorina was not treaty fairly by the board. The constant leak of the information serves as proof on the unethical behavior of board’s members. However, Ms. Fiorina’s centralized management policy made that almost every decision went through her. She resisted efforts by board members to enter into the management process. I am not excusing the board directors’ actions, but Ms. Fiorina’s policies and personality had turned the board into an armed camp, engraved with paranoia and divided against itself.…
- 676 Words
- 3 Pages
Good Essays