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Tanya is the team leader of a cross-functional product-development group in a consumer products company. The group meets from time to time to discuss new ideas for products. Another of its key activities is to help develop a product after agreement is reached by higher-level management that a product idea is worth pursuing. Tanya enjoys her role as the leader of a cross-functional team, and she hopes to use the experience as a springboard to a marketing executive position. Tanya prides herself in being candid and direct in her interactions with coworkers in marketing department in which she works as a senior marketing analyst and assistant to the department head. Tanya is also proud of how she is candid in her interactions with members of the product-development team. Two weeks ago, the team was meeting to discuss the merits of introducing a multifruit flavored energy drink to the market. The CEO was attending this particular meeting to get a direct feel for how the product-development team operates. Ten minutes into the meeting Tanya said, “We have to carefully evaluate whether an energy drink has any chances of success. As we all know, our company has had far too many flops. I remember we once introduced an instant-spaghetti product to the market that was a total bomb. I think we lost $10 million on that idea, and we were ridiculed by food critics.” In response to Tanya’s comment, the CEO shook his head from side to side but made no spoken response. One week ago, Tanya posted the following comment on Facebook, Twitter, and Instagram: “Name of company is getting ravaged by house brands. But not to worry, we make a lot of those house brands for large supermarket chains and bog box discounters.” The vice president of marketing, asked a staff member to investigate whether Tanya was really the person responsible for this post, and to report back to her with the answer. At a product-development meeting today, a food-packaging scientist named Obdu Wobegun attended because there would be some key issues about package design likely to surface. Tanya welcomed Obdu to the meeting, and then asked, “Obdu are you sure you are a United States citizen? We can’t afford to have any foreign spies at our meeting.” Later today, Tanya received a text message from her immediate manager Gus that read: “We must talk in person. You are out of control.” Questions 1. In what ways might Tanya be committing political blunders? 2. If Tanya is committing political blunders, to what extent might they hinder her chances of becoming a vice president of marketing? 3. How should Tanya’s boss deal with her with respect to the type of political blunders she has committed?

 

 
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Katerina is the regional manager of an international chain of luxury goods boutiques, Florentine Bravado. Each boutique, or store, is about 4,000 square feet, and features expensive watches, handbags, men’s and women’s suits, and jewelry. Michael Kors would be a direct competitor of Florentine Bravado. All twelve store managers in Katerina’s region report directly to her, along with a small administrative staff at regional headquarters. Florentine Bravado stores are located in upscale malls, and the company also sells merchandise online from the corporate location. Katerina’s goal for the upcoming year is to stabilize or enhance sales at her twelve stores. Store revenues have been declining about 4 percent per year for the last five years, in both her region and the entire company. Katerina wants her region to standout by reversing this trend. Before holding in-person discussions with her store managers, Katerina sent out an e-mail to all the managers. The e-mail read as follows: “What is happening to our cultural icon, Florentine Bravado? Are we falling prey to the same misery encroaching upon the many mundane retailers? Are our formerly loyal customers buying trinkets at discount stores instead of shopping at Bravado? Are our customers now purchasing knock-offs from overseas imitators?” Three days later, Katerina met with Garth, the store manager located in the region’s most upscale mall. She said, “Garth what is wrong with you? We give you all the advertising support you need, and your results for the last quarter are putrid. I want to see a 3 percent improvement in your sales for next quarter. No moaning, no groaning, no excuses.” Garth replied, “I would like to see a 3 percent or more sales increase next quarter also. Yet you are LEADERSHIP Case PROBLEM B expecting too much. The holiday shopping season is behind us, and we can expect a normal sales decrease. Neither I nor my sales associates have found a way to drag people in the mall into our store and force them to buy a $9,000 watch or a $1,200 handbag. We have to deal with the realities of the economy.” Katerina responded, “Garth, I told you at the outset. No moaning, no groaning, no excuses. Your goal is a 3 percent sales increase, and it’s not negotiable.” Five days later, Katerina met with Sonya, the manager of a low-performing store. Katerina said forcibly, “Sonya, I want you to understand clearly that your days of operating a low-performing store are over. Forget your European charm. Persuade the people who visit the store to walk away with a purchase. Get on the backs of those laid-back sales associates, and make them sell, sell, sell. The corporate group and I need you to boost sales. Do you understand my message?” Sonya rebutted, “Katerina, I thought that you understood the luxury goods business. We are not selling kegs of beer to bar owners. Luxury consumers have to be gently coaxed to make a purchase like an $800 pair of cufflinks. He could easily purchase a pair of cufflinks for $15 that would get the job done.” Katerina responded, “Nice try Sonya, but Florentine Bravado looks at the bottom line, not excuses. Show me some good sales results real soon.” Questions 1. Which influence tactics does Katerina appear to be using, and how effective do they appear to be? 2. What other approach might Katerina take to getting her store managers to enhance sales? 3. To what extent do you think that Katerina is too abrasive in her role as regional manager?

 

 
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Thirty-nine-year-old Steve was ecstatic. Ever since he earned an MBA a few years ago, he set his sights on becoming a CEO, somewhere, somehow. If need be, he would purchase an existing small company if he could figure out a scheme to raise enough cash and borrowing power. Steve was moving along well in his career as a marketing manager in a real estate development company when he received the opportunity to become a CEO. The CEO of an affiliated company, Mall World, suddenly resigned because of all the pressures associated with the position. The board explained to Steve that he was offered the position because of his drive, leadership skills, incisive thinking, and educational qualifications. Steve was told that the job would be tough, but that he would be given two years to improve occupancy rates at the five malls the company owned and operated in the United States and Canada. During his first couple of weeks as CEO of Mall World, Steve went on a listening tour, speaking with members of the top-management team, mall managers, and a few anchor tenants. In addition to more general discussions, Steve asked each person he spoke with what he or she thought of the future of shopping malls. Among the comments he heard are as follows: Leasing Manager, Home Office: The lower occupancy rates are hardly a problem. Americans love their malls. Our malls are still the most comfortable place to shop, dine, and interact with strangers and store associates. As the economy picks up, we once again have more demand for our space than we can provide. Mall Manager in Boston Area: Anyone who thinks that online shopping will take a permanent bite out of mall shopping is just plain stupid. It is natural for people to want to touch, feel, smell, and experience goods in person. “Have you ever attempted to try on a sweater over the Internet?” [Said with a grin and laugh.] Mall Manager in Toronto Area: You may not be old enough to recognize it Steve, but mall occupancy rates run in cycles. When gas prices and unemployment are relatively high, few consumers visit the mall. As a result, a few of the weaker stores close in panic. And cold weather will always contribute to mall traffic. When the conditions outside are uncomfortable, people love to flock to the malls to walk around comfortably, shop, and dine. Our future is as secure as the bricks and mortar encasing us. Marketing Manager, Home Office: I wouldn’t worry too much about the relatively high number of vacancies in our malls. We have some attractive new leasing programs coming along that will have tenants flocking to the mall. Online shopping will taper off as the novelty wears thin. Having packages stolen from your front door will also cool down some of the interest in online shopping. Small Store Manager in Chicago Area Mall: I am starting to think why bother with having a bricks and mortar store. Mall traffic has been slowing down for a couple of years. With an online store, I wouldn’t have the huge overhead of renting space in a mall. As Steve attempted to synthesize the feedback, he thought that unfortunately the store manager might be close to telling the true story. He also thought that most of the opinions he heard suggested the need for a quick attitude change in order to help Mall World survive. Questions 1. In what way does this case suggest that a culture change might be necessary at Mall World? 2. What steps might Steve take to influence his managers that they need to worry more about the future of Mall World, as well as taking action steps to improve occupancy rates? 3. Which specific influence tactics do you recommend Steve use with his managers?

 

 
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Perhaps the most widely used team-building activity is the trust fall, which may be familiar to many readers. Nevertheless, each application of this exercise is likely to produce new and informative results. The class organizes itself into teams. In each team, each willing member stands on a chair and falls back into the arms of teammates. A less frightening alternative to falling off a chair is to simply fall backward standing up. Team members who, for whatever physical or mental reason, would prefer not to fall back into others or participate in catching others are unconditionally excluded. However, they can serve as observers. After the trust falls have been completed, a team leader gathers answers to the following questions and then shares the answers with the rest of the class. 1. How does this exercise develop teamwork? 2. How does the exercise develop leadership skills? 3. What did the participants learn about themselves?

 

 
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