Tag: CEO

Sewing for Millionaires: Rawlings’ operations in Costa Rica

  1. In your opinion, is Rawlings exploiting its Costa Rican employees? Explain your answer.

In my opinion, I don’t think Rawlings’ operations in Costa Rica are exploitative.  The very nature of capitalist enterprise is such that cost efficiency is a major driver of business.  To criticize Rawlings for doing what it is legally mandated to do (namely, to seek profits for is shareholders) is quite unfair.  Moreover, critics are not appreciating how Rawlings has created jobs in the Costa Rican economy. Companies such as Rawlings have helped consolidate Costa Rican economy.  It is in recognition of this fact that the Costa Rican government has offered special economic zone status to Rawlings and other MNC manufacturing units.

Even when one looks at wages and employee benefits, Rawlings has done nothing illegal.  The company has adhered to minimum wage standards of Costa Rica.  Further it complies by paid-leave and medical insurance . . . Read More

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How visionary nonprofits leaders are learning to enhance management capabilities by Daniel Stid and Jeffrey Bradach

The article by Daniel Stid and Jeffrey Bradach, titled ‘How visionary nonprofits leaders are learning to enhance management capabilities’ offers several valuable guidelines for managers.  Upfront, it makes a distinction between the leadership styles of business organizations and nonprofits.  In the latter, the prime thrust behind management activities are the leader’s (who is also usually the founder) charisma and personal appeal.  As a result, efficiency and optimization are not usually the strong points.  Given the small size of nonprofits and the nature of projects they undertake, the most pressing tasks and concerns are always given priority, relegating/neglecting other goals.  Moreover, the limited funding usually available to managers of non-profits make them focus on only high-priority tasks, sacrificing quality of management.  Hence, there is an inherent trade-off between management efficiency and leadership quality.  Most non-profits seem to have one or the . . . Read More

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How important is it for the stakeholders in a company that the ethics of the CEO match those of the organization?: An Analysis with respect to Bill Gates and Microsoft

(Background: On 1st July 2008 Bill Gates resigned as CEO of the Microsoft Corporation to pursue his work with the Bill and Melinda Gates Foundation. He is currently Chairman of the Microsoft Corporation. Bill Gates is a well known philanthropist and whilst CEO of Microsoft his pledges of money to fight many of the world’s diseases were media headline grabbers. In 2005 he gave £145 million ($258 million) to fight malaria, and in 2006 he pledged £507 million ($900 million) to cut deaths by tuberculosis. Yet corporate and personal philanthropy did little to avert negative headlines about Microsoft’s questionable business practices. Since 1999 Microsoft has been at the centre of a number of legal disputes with both the US Government and the European Commission. At the heart of the disagreements have been accusations that Microsoft had been exploiting its monopoly power in order to reduce competition, and consequently choice, in the marketplace. Microsoft was accused of anti . . . Read More

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Multimedia Industry: Case Study of EMI Records

EMI Records is a reputed music production and distribution company. It is distinct from others in the music industry from the fact that it always puts the prospects of the artist ahead of the commercial return on the art. Such popular artists as Iron Maiden, Pink Floyd, Kate Bush and Robbie Williams have had a long-term business relationship with the company. To this day, it remains a dynamic and innovative label committed to recognizing and supporting fresh musical talent in Europe and America. Eicom’s business is also music based but their focus is on the distribution through television channels. Hence, Eicom and EMI records compete in different markets although they both represent the multimedia industry. The company is in a phase of transformation with the prevalence these days of downloadable music off the internet. EMI is conceiving of a fair and sustainable online business model that will return rich rewards to artists and the label.

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