Employee Stock Options at Microsoft Corporation
Students prepare an analysis of Microsoft Corporation’s financial statements and footnotes to understand the impact of its use of stock options.
Compensation at Level 3 Communications
Level 3’s unique compensation plan rewarded managers for the firm’s performance only if the firm’s stock price movement exceeded that of the market. This design was intended to maximize shareholder value by tying managers’ performance more closely to that of the firm.
Starbucks Coffee Company
This case traces the origins of Starbucks and its rapid growth through joint partnerships and diversified products, and its rapid expansion of retail cafes. A profile of Starbuck’s financial contributions to community development and literacy projects, and its efforts to promote progressive workplace conditions is presented. Despite this, criticisms of pushing out local businesses, homogenization … Read More
Sportasia LTD.: A Community Company
Evident in the case are important themes such as the transformational leadership of its senior management, the effective use of human resource strategies to control organisational growth, and the adoption of values similar to Charles Handy’s ‘Citizen Corporation’.
Southwest Airlines Corporation
Southwest Airlines, consistently ranked as one of the top performing airlines in the business, began a profit-sharing plan in 1974.
TWA: The Second Bankruptcy
In May 1995, about 19 months after emerging from the Chapter 11 bankruptcy it filed in 1993, Trans World Airlines issued a proxy statement to seek the consent of its shareholders and certain creditors for another debt restructuring plan.
DIENA
In 1997, seeking new sources of growth, A/S DIENA expands outside the Latvian capital to set up the Regional Press Group, a decentralized network of community newspapers emphasizing employee ownership and a separation of roles between editors and publishers.
Cisco Systems (B): Maintaining an Edge in E-Business
While the company has been extraordinarily innovative to date, Cisco Systems is far from complacent about being able to maintain its leadership position with respect to e-business practices.
Nucor Corporation (A, B)
This case examines several strategies advocated by various actors in the Nucor Corporation, a major producer of steel.
New Economy Ethics: YouKnowIt.com
The case suggests ways of compensating the advisory board and raises questions about whether there are new rules in the new economy about building professional networks, and when offers of equity constitute bribery and wrong doing.
Dell Computer Corporation: Share Repurchase Program
Dell Computer Corp. announced a share repurchase program shortly after a significant stock price drop.
Microsoft’s Vega Project: Developing People and Products
This case describes Microsoft’s human resource philosophies and policies and illustrates how they work in practice to provide the company with a major source of competitive advantage. Discusses employee development, motivation, and retention efforts in one of Microsoft’s product groups.
Silicon Graphics, Inc.
An equity research analyst is trying to decide how to analyze Silicon Graphics’ financial performance.
Corbin Motors
Explores the raising of capital to finance the growth of a spinoff business from Corbin-Pacific, a leader in motorcycle accessories.
Lucent Technologies
Lucent was created in 1994 as part of AT&T’s tri-vestiture. This case focuses on the dilemma faced by a new company that inherited a labor-management consultation structure developed by AT&T, a structure that has broken down in many respects, and that does not seem adequate to the challenges of the new company in a new and highly competitive market…
United Airlines
In 1994 United Airlines became the largest employee majority-owned enterprise in the United States, with various groups of employees – most represented by unions – having purchased 55% of its stock in exchange for various concessions. The employees accepted pay cuts and made other concessions, but were also granted representation on the company’s board of directors…[newline]
Cisco Systems
Cisco Systems, specializing in network systems that link computers and provide Internet communications, was founded in 1990. Employee compensation is closely tied to company and individual performance through stock ownership and profit-sharing, and performance is focused on customer satisfaction. Cisco has grown mainly by acquisition, always trying to stay ahead of the next best technological … Read More
Carris Corporation: Incentive Plan Program
For several years, William H. (Bill) Carris (President and CEO) looked for ways to bring employees into the business. From the beginning Michael (Mike) Curran (Vice-President and COO) had been not in favor of implementing short-term incentives at that time. But having worked with Bill for 20 years, Mike knew when Bill’s mind was set on proceeding…
Sealed Air Corp.’s Leveraged Recapitalization (A, B)
Less than a year after Sealed Air embarked on a program to improve manufacturing efficiency and product quality, the company borrowed almost 90% of the market value of its common stock and paid it out as a special dividend to shareholders.
Corporate New Ventures at Procter & Gamble
Procter & Gamble’s top executives form a small, autonomous, cross-functional Corporate New Ventures team led by a young former brand manager. The team invents a systematic approach to gathering information and producing creative ideas for radically new product categories.
The Privatization of Rhone-Poulenc–1993
In mid-1993, representatives of Rhone-Poulenc, a leading nationalized French firm, worked with the French government to plan the imminent privatization of the firm.
Transportation Displays, Incorporated (D): Exiting from a Successful Restructuring
Following a successful corporate turnaround and, more recently, a leveraged recapitalization, management of a highly profitable, fast–growing outdoor advertising company must consider alternative ways to harvest cash flow from the company without jeopardizing the turnaround or incurring significant tax liabilities.
McKay Nursery Company (A, B)
McKay Nursery Co., founded in 1897 in Waterloo, WI, had a longstanding history of commitment to employees. The close-knit organization was a pioneer in the agricultural industry of several employee-friendly policies. But in the early 1980s, as McKay’s owners grew older and senior management neared retirement, the next generation of managers feared for the future of the profitable, debt-free company…
Colt Industries
Colt Industries is a conglomerate that is considering undertaking a leveraged recapitalization.
Transportation Displays, Incorporated (C): The Case for a Preemptive Restructuring
A company nears the end of a long multiyear turnaround and now must consider how to “cash out” so its management can realize a financial return on investment. The privately held company has several options, including a leveraged ESOP and a leveraged recapitalization.