FAMILY BUSINESS MANAGEMENT:
Nine Elements of Family Business Success
FBM-CASE STUDY: The Binghams & The Louisville Courier-Journal
Teacher: Dr Ben Odejar
Raheel Waheed I.D. No. 7574
FBM-CASE STUDY: The Bingham’s & The Louisville Courier-Journal
I. Identification of the problem:
* VISION AND GOALS that is very unclear for the business and the family. Rather than focusing what the founder has visioned there is a personal animosity amongst the family siblings
* While the vision was being created a SUCCESSION PLAN should have also been initiated but instead it wasn’t therefore causing a confusion of who is better suited to run the business. Because in family ...view middle of the document...
Hence, it greatly affected the business and the demand for Louisville Times started declining. When the son Barry Jr. took a stance, one sister decided to leave and the other demanded to sell her share. But with all negotiations nothing was being accepted and agreed upon. Therefore Barry Sr. announced he would sell the business if no agreement was found, since he still controlled 95percent of the stock through voting trust, so the decision to sell was clearly his to make. Company was sold to Gannett Company hence bring the end of an era… That is the family business came to an end.
III. Analysis-Formulate 3 alternative solutions:-
* Family meetings and forums:
With family meetings they would solve all their ongoing problems face to face rather than putting it up on notice boards and etc and ruining each other’s image. Barry Sr. being the in charge could shed some kind of advice to all the board members so that harmony is achieved.
* Mediator: In other words get someone outside of the business who represents no link with...