GLOBAL WARMING

IS GLOBAL WARMING AN Opportunity or trap?

ETHICAL AND CORPORATE LOYALTY CONSIDERATIONS: Case Study Scenario CASE OBJECTIVES

CASE FRAMEWORK

Following Katrina, the devastating storm on the Gulf coast of the United States in 2001, many firms were caught unprepared. This case highlights how organizations may benefit from analysis and planning. The case introduces and discusses the dilemma that a firm faces when demand is unpredictable.

THE SCENARIO

Gulf Electric Inc.

Document Preview:

IS GLOBAL WARMING AN Opportunity or trap?

ETHICAL AND CORPORATE LOYALTY CONSIDERATIONS: Case Study Scenario CASE OBJECTIVES

CASE FRAMEWORK

Following Katrina, the devastating storm on the Gulf coast of the United States in 2001, many firms were caught unprepared. This case highlights how organizations may benefit from analysis and planning. The case introduces and discusses the dilemma that a firm faces when demand is unpredictable.

THE SCENARIO

Gulf Electric Inc. (GEI) is an established mid-sized electrical manufacturing firm that supplies electric utility products, parts and equipment in the southeastern United States. GEI’s business had been stagnant in the last five years due to good weather and recent competition in the industry. The firm had traditionally supplied electric utilities in the southeast with all types of electrical equipment through long-term contracts. Thus the demand and the revenue stream were steady over a number of decades. The electric companies had performed maintenance and upgraded lines on a steady and predictable basis. In recent years foreign firms had taken steadily taken market share from GEI due to lower raw material and labor costs. GEI found itself in a position where it was losing its traditional market and had little ability to fight back. As a result GEI leadership met to discuss a number of proposals that looked promising. In order to smooth their revenue stream and diversify their business GEI expanded into the higher margin business of consumer products.

PRODUCT DIVERSIFICATION

Due to the ingenuity of its research and development team GEI had a few patents that gave it a core advantage over the foreign competition. The patented technology allowed GEI to build a line of gasoline and diesel powered electrical generators with smooth power flow. Marcia Gonzalez, the Vice president of Marketing at GEI promoted these items as being safer for consumer products. She labeled the full line GEI…

Attachments:

 

"Is this question part of your assignment? We Can Help!"