Karen Mathews published the article on March 4, 2018. In the article, Mathews unfolds the intention of the Google management team to expand its business in the New York City. According to the article, Google is close to reaching $2.4 billion deal that will see another landmark erected in New York (Mathews). The article equally looks at some of the property that Google owns in New York City.
According to the management of the company, setting up the $2.4 billion building in the city will be a score because Google will be deemed as one of the greatest real estate investors in NYC. Besides, the new building will connect the already existing ones (Mathews). The activities that are to be conducted in this new building will help in supplementing the activities taking place in the main headquarter in Mountain View, California.
I have a feeling that the move that the management of Google is considering is okay. Increasing economies of scale depend on how big a company is. Besides, the organization has not had any management complication issue in the past. Therefore, there is a great possibility that the company can hire skilled workforce should the new deal go through.
I equally think that the outcome of the decision will help the company to grow. Once the new building has been put up, the management will have yet another area of setting their business and reaching out to their customers (Mathews). Additionally, the employees will have the incentive to keep working because they will have improved morale because the organization will be progressing. The company will pose a stiff competition to the rival companies by setting up the new building.
Detroit Free Press: 2019 Ford Transit Connect Cargo Van
Phoebe Wall Howard, on March 6, 2018, posted an aspect of operational management decision that the car making company, Ford had taken. The company unveiled a cargo van that would be used by small-scale business owners in deliveries. The company has incorporated some fascinating features in the delivery van such as driver assistant technology and wireless charging device. The management of the company considered unveiling the vehicle in the market because the larger trucks were not efficient in making deliveries for the small-scale business holders (Howard). Besides, the developed vans guarantee the security of the drivers.
I have a feeling that the decision taken by the management of the company is in the best interest of the small companies. The individuals who deal with small businesses cannot hire a large Ford truck to make deliveries because it is uneconomical Howard. Therefore, the introduction of these new vans will give the small businesses an incentive to easily request their goods to be delivered at their convenience. As such, Ford Company is geared towards making profits because most of the people will prefer the new cars to the trucks. It is such a great move.
The outcome of the decision by the company is predictable. One of the implications of the move taken by the organization is that it will realize tremendous profits. The employees will, therefore, be motivated to keep working in the organization, and the result will be outstanding. The customers will be among the most motivated people as far as the operational move is concerned, Howard. With the new technologies that have been incorporated in the newly developed car, most of the customers will have an irresistible urge to purchase, especially those who are interested in small deliveries within the company. Besides, Ford will provide stiff competition to the primary competitors.
Wall Street Journal: Nordstrom Board Rejects Family Buyout Offer
Suzanne Kapner reported on March 5, 2018, the move by a special committee of the Board to reject the offer that the founding family of Nordstrom has placed to buy the organization. According to the article, the family had offered to buy the company at $50 per share (Kapner). Wall street journal notes that after a consultative meeting with the special committee, the management decided not to sell the company to the founding family. The reason that was provided is that the amount of money per share was too low.
I have a feeling that the special committee made the right decision and acted in the best interest of the company. One of the reasons why the move is right is because selling the company at such a low price will demoralize the employees. Besides, the individuals who have invested a lot of shares may end up suffering losses as a result of a wrong move (Kapner). Besides, selling the company at a low price means that that the current management does not know how much the company is worth. The negative impacts of selling the company to the founder family at $50 outweigh the advantages. Therefore, the company settled for the best decision.
The outcome of the decision to decline the offer from the company is in the best interest of the employees. If the company would have been sold, the employees would feel a significant difference as far as matters related to management are concerned, and to an extent, they would not be happy with some of the decisions under the new management (Kapner). Additionally, declining the offer means that the management knows how much the company is worth thus making it possible to help it grow and the meet the needs of the consumers.
The Detroit News: Amazon offers Prime Discounts to Customers
On March 7, 2018, Joseph Pisani wrote an article about the move taken by Amazon to lower the prices of some of the products and services to outdo the major rivals, Walmart. The move targets the low-income earners (Pisani). The company opened a discounted "5.99 prime membership every month to the low-income earners on Medicaid. The management had realized that most of the shoppers could hardly pay the standard fee that was initially set (Pisani). According to Joseph, the organization seeks to expand the prime membership and gain a competitive advantage over some of its rivals in the same field.
I feel that the move by Amazon Company is a good one. Companies are constantly fighting to ensure that they adopt the best competitive strategy. In this case, there is no doubt that Amazon Company is yet to offer the stiffest competition to its rivals by lowering the prime membership fee. Most of the citizens would love to gain access to medical covers; the only hindrance is the fee that some of the companies charge (Pisani). By proving these discounts, most of the low-income earners will have an incentive to take covers and Amazon will increase its customer base, consequently the profits.
The decision will positively affect the morale of the employees. They will have many people to serve, and by the end of the day, they will be assured of high-profit margins. With the discounted prices on prime membership, the employees will develop an incentive to seek medical cover at Amazon. In the external business environment, the move will offer stiff competition to the rival companies such as Walmart.
Works Cited
Howard, Phoebe. "2019 Ford Transit Connect Cargo Van: See What's In The New Version". Detroit Free Press, 2018, https://www.freep.com/story/money/cars/2018/03/06/2019-ford-transit-connect-van/398828002/. Accessed 8 Mar 2018.
Kapner, Suzanne. "Nordstrom Board Rejects Family'S Buyout Offer." WSJ, 2018, https://www.wsj.com/articles/nordstrom-board-rejects-familys-buyout-offer-1520290064. Accessed 8 Mar 2018.
Mathews, Karen. "Google Helping To Turn NYC Into Tech Hub." Detroit News, 2018, https://www.detroitnews.com/story/business/2018/03/04/google-new-york-tech-hub/111088448/. Accessed 8 Mar 2018.
Pisani, Joseph. "On Medicaid? Amazon Offers Recipients A Prime Discount". Detroit News, 2018, https://www.detroitnews.com/story/business/2018/03/07/amazon-prime-discount/32692581/. Accessed 8 Mar 2018
