Stockmall Industries Case Analysis

Essay by poupouchUniversity, Bachelor'sA-, March 2010

download word file, 7 pages 0.0

IntroductionStockmall Industries is a light manufacturing and assembly subsidiary of a British company in London, England. It is situated in a small town in the Maritime province of about 10000 residents. Three months ago, Mr.Wilson, the company's president hired Mr. DeMarco who is a very educated and extremely competent and friendly fellow to take on the mantle of handling control functions such as financial statement and report preparations. Mr. DeMarco previously worked with Mr.Wilson at another company inferring the two gentlemen knew each other rather well and also knew each other's worthiness and competence. On the other hand, Mr. Churchill, is the financial director, whose brother practically owns the company and is best of friends with Stockmall Industries original founder Mr. Stockmall. He carries out treasury duties such as: cash management, bank relations, credit and collection matters. It is important to note that Mr. Churchill choose to pass on the opportunity to become president due to his old age.

The problem is this case is the never-ending bickering and unprofessional clashes between Mr. DeMarco and Mr.Churchill as well as the desire for Mr. DeMarco to resign. Mr. Wilson needs to find a solution to this affair.

AnalysisAfter reading the case regarding Stockmall Industries it is very clear that Mr.Wilson finds himself in a bit of a bind. Whatever he decides, he must tread very carefully, for this is a very complicated situation that unfortunately happens all too often in businesses now-a-days. Mr. Wilson is going to have to do a lot of thinking and employ careful judgment before he stamps out a verdict since there can't be a perfect solution that can make both parties happy; for the choices aren't as easy as they seem and concessions need to be made.

In order...