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The Recalcitrant Director

Questions to Case Study (see attached):

1. If you were one of the board members, how would you have initially voted for the proposal?

2. Should the Byte executives tell administrators and the potential employees that this is a temporary plant for only 3 years?

3. What impact does a plant closing have on a small town like Plainville?

4. Can you suggest any compromise for the present impasse?

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1. If you were one of the board members, how would you have initially voted for the proposal?
To be honest I would have voted for the proposal that temporary work be done at Plainville and when the new plant came up at Southwestern USA. The proposal is very attractive because it solve the problem of customers going away to other suppliers and new entrant problems. This solution was excellent till the recalcitrant director pointed out the ethical dilemma. The main reason is that the firm needs more production capacity now and the new plant will start operation only three years down the line. On the other hand the directors have evaluated the proposal of licensing production but this suggestion is not acceptable.

2. Should the Byte executives tell administrators and the potential employees ...

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