In this assignment you will be asked to apply stakeholder management theory to the following scenario:
A public corporation of 980 employees manufactures a popular brand of garments (mostly jeans) that are primarily made and sold in the United States. It has a large contingent of employees in several small rural communities in the eastern United States and is the primary employer in all of those communities. Two of its 5 shops are unionized, but the union and management have a good working relationship. The company has traditionally marketed its clothing line as “Made in the USA” and attracted a bit of a “cult-like” following as a result, but an outside consulting firm has suggested that significantly greater profits are possible if a different strategy is employed. The corporation is subsequently considering whether to off-shore its manufacturing facilities to a poor nation to save money on labor. It would also discreetly discontinue its “Made in the USA” marketing ads and hopefully ride the wave of its previous marketing campaigns for a while. It is estimated that total cost per unit of production will be decreased by one third which equates to tens of millions of dollars.
Please write a 2- to 3-page paper in which you respond to the following:
Provide a paragraph summarizing the concept of stakeholder management based on your readings.
How do you think the following stakeholder groups in the above scenario will be impacted?
Employees/unions
Communities
Stockholders
What would you recommend the employer described above should do?
Your 2- to 3-page paper should be double-spaced and in 12-point type.
Your paper should have a separate cover page and a separate reference page. Make sure you cite your sources.
Use APA style, and proofread your paper.
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