John Jingle, Entrepreneur, developed his waste collections and disposal business from one truck 20 years ago to a fleet of 2,000 trucks serving an entire region today. Jingle is looking to retire and knows that he cannot find a suitable buyer for the entire business. Jingle has developed a series of short range plans with his senior management group that include generous bonuses, funded in part by deferred repair and maintenance expenses and prior earnings, sales of business segments where possible or transfers of assets to the counties and municipalities that had engaged the waste collection and disposal service. Jingle has frozen all new capital investment. The mission that Jingle Entrepreneur has mapped out for his company can best be described as:
a. Build.
b. Hold.
c. Harvest.
d. Sunset.
Explanation:
Choice "c" is correct. John Jingle, Entrepreneur, has mapped out a harvest mission for his company. As Jingle retires and pulls assets and value from the company, he is clearly taking a short-term view toward reaping immediate benefit.
Choice "a" is incorrect. A "build" mission anticipates that the business is positioned to expand markets or market share and is characterized by a long-term view that promotes investment.
Choice "b" is incorrect. A "hold" mission contemplates that the business is trying to hold on to current market share and is characterized by appropriate investment and competitive positioning.
Choice "d" is incorrect. The term "sunset" mission is a distracter.
Buffet says no FB stock for him. I am amazed that companies are using the 'see us on FB' ad stuff. I think it is a fad also. Some day people will see it as they do AOL today.