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Tire Manufacturer may move operations to SE Asia. Continue to negotiate with union?

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1. Assume you are the plant manager for a company that manufactures tires for cars and light trucks. To compete more economically in the global market, the company is seriously considering closing the plant within the next year and moving manufacturing operations to Southeast Asia. Upon hearing about the possible plant closing, the union votes to launch a strike in one week if its demands for job security are not met. Because of a recent surge in orders, the company is not in a position to close the plant yet. What are your options as you continue to negotiate with union representatives? What legal and ethical issues do you need to consider? Which option would you choose and why?

2. How do self-directed work teams relate to Maslow's hierarchy and Herzberg's theory of motivation?

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Solution Summary

In a 505 word cited solution, the response carefully considers how to deal with the union including a solid paragraph about the motivational theories.

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Assume you are the plant manager for a company that manufactures tires for cars and light trucks. To compete more economically in the global market, the company is seriously considering closing the plant within the next year and moving manufacturing operations to Southeast Asia. Upon hearing about the possible plant closing, the union votes to launch a strike in one week if its demands for job security are not met. Because of a recent surge in orders, the company is not in a position to close the plant yet.

What are your options as you continue to negotiate with union representatives? What legal and ethical issues do you need to consider? Which option would you
choose and why?

The company is closing its plant in order to save money and benefit from the cheap labor in Southeast Asia. Thus it's ...

Solution provided by:
Umut Oltulu, MBA
Education
  • BSc, Dokuz Eylul University
  • MBA, Texas A&M University-Kingsville
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