Fiic

SYNOPSIS

The case “Fight at the investment club” describes what happens to the company, when they try to increase its membership. The golden year investment club comprised of middle-aged professionals, retirees and few home makers and had a track record of 34 years.

David Korn joined the company after meeting Lenn Width, a septuagenarian leader of a group who gave an impressive presentation about the track record and achievement of the company in a seminar.

The problem arises in the company one year after David korn’s arrival into the company. There was a dis-agreement between David Korn and Lenn width regarding the direction that the club was headed. The club so far had been investing on stocks / firms that Lenn Width had approved and also the club had been really conservative regarding its decisions. The club also had a strict investment philosophy, one largely crafted by Width. It’s a conservative strategy that the club follows which had largely paid off over the years, with steady growth.

David Korn wanted to take a chance by selling McDonald’s share and invest in Structural Dynamics Company. The tension between Lenn Width and David Korn continued shaking the operation and also peace of the club until David Korn was asked to leave the company after a vote out. Moreover the group members wanted to buy the shares of Amgen, a biotech company, but the Width opposes the decision of members and suggested them to buy a share of just $100 for this company. On the other hand members decided to buy the $1000 shares of that company. So they decided to make a decision but voting out and these time Width was defeated and it seems that history repeating itself again.

MAIN ISSUE

The main issue describes the “root cause of the problem”

In the case study “Fight at the investment club” there exists a turmoil, confusion and conflict, the reason for this is Lenn Width. Lenn Width is described as a Septuagenarian leader in the Golden Year investment club, who had a strict...