This case ends with a key decision point for Eberhart’s
career. I would separate two aspects of the decision. First, I think that
Eberhart needs to decide whether he wants to stay as in the business or not. If
he decides to stay as Chairman, he faces a series of decisions of how to turn
around the business. The case suggests that he has an idea of how to make this happen
by cutting operational costs.
If he decides to leave, and sell his part, he needs to
decide who to sell. In this scenario, I see the certification requirement as a
no brainer. As Eberhart, due to moral reasons, I wouldn’t want to leave Khoo
and the company in hands of investors that might do wrong to the company, even
if he ends up receiving the money from them. I think that the downside of looking
for a certification is very low compared to the huge upside of reassuring that
the investors are who they say they are.
For me the toughest decision is the first one, which is if
he wants to continue in the business or not. I would take a few considerations
to make this decision. First, I would look at his personal situation. The case
mentions that Eberhart wanted to spend more time in Palo Alto with his family.
The second consideration is what is best for the business. If he does want to
spend more time in Palo Alto, then maybe the position of Chairman is no longer
suitable for him since it would require someone more in touch with the day to
day business. Therefore, as Eberhart I might lean towards deciding to leave the
business. Then I would do the certification; if the investors pass it, then I would
sell to them, and if not, I would look for other investors.
No comments:
Post a Comment