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rior the rough timbers and boards that Americans have e to expect in their western steakhouses.Buying the Tombstone Restaurant and Saloon used up a large chunk of Fred and Song Yi’s available capital. They decided that since their focus was to be excellent food, they would invest the rest of their funds in an update of the kitchen. They patterned their kitchen after the model fine dining kitchens at Chef Elmo’s School. The couple realized that the dining area needed refurbishing and upgrading, but they couldn’t do everything at once. They decided to struggle along with the vinyl upholstery, plastic furnishing, and roughhewn timbers and boards until their superb meals had generated some profits. After all, guests came to a fine dining restaurant for fine dining, not for the d233。cor. They knew that some of Europe’s finest restaurants, with the highest prices, were simple and basic almost to the point of bareness. They had graduated at the top of their culinary class, had served apprenticeships at excellent restaurants, and knew they could provide tastier culinary creations than any other chefs in town.The big night came。 Fred and Song Yi were open for business! Their reputations as trained chefs had preceded them, and many guests arrived in response to the excitement created by the new fine dining opportunity. Fred and Song Yi received many pliments on the excellence of the food. But more than a few guests ment cards also referred to how expensive the meals were.Although ments on the food continued to be highly favorable, the crowds of diners began to dwindle as the initial excitement wore off. Within a few weeks, though the small numbers of diners still willing to pay premium prices continued to rave about the food, Fred and Song Yi saw that they had to do something or they weren’t going to make it. Song Yi even had to begin selling mutual funds on the side.Fred wrote a letter to Chef Elmo asking for advice. Chef Elmo offered to “help out in the kitchen” for a weekend, after which he would give his frank opinions as to how Fred and Song Yi should proceed.What do you think Chef Elmo will tell Fred and Song Yi is wrong with their business endeavor?What advice do you think he will give them?案例七Doug’s Fried ChickenWithin four years of assuming the presidency, Judy Hart brought Doug’s Fried Chicken from a 2 percent market share to 20 percent. She was a risktaking, innovative entrepreneur. She increased the chain form 400 outlets to 1743 and rapidly expanded into 27 countries. “I’ve got to be involved in a continued growth cycle. Because of my successful track record, the franchisees and the board to along with any programs I propose.” Hart believed. Hart was flamboyant and sensational. She shifted the annual franchisee convention from Des Moines Iowa, to New York. She moved headquarters from a converted post office into a new million building.Then one Friday afternoon, Doug’s board of directors dismissed Hart from the presidency. “Judy,” said chairman Doug Jones, “for a while we liked your ‘fullsteamahead’ attitude. But you cannot seem to slow down. You are trying to change too many things too fast.”The board elevated John Davis, vice president for finance, to the position of president. Davis was a conservative, acmodating executive who watch budgets closely and believed in rigorously controlled expansion. He emphasized fiscal responsibility. Davis set up a centralized purchasing system (which Judy Hart had always opposed). Board Chairman Doug Jones was pleased。 he considered Davis to be “in tune with the mood of the board and the franchisees at the point of time.”Judy Hart was unemployed over the weekend. Then she was enthusiastically hired by Berger’s Burgers, a pany that had achieved financial stability only in the last couple of years. Now they were in a strong cash position. “Judy”, said Horace Berger, chairman of the board, “we think we are ready to take off. We want to triple the number of Berger’s Bergers outlets within three years. Can you do it?”“Can do, Mr. Berger”, said Judy happily, “But first we’ve got to refurbish this tacky headquarters building and change the site of the annual convention. I envision a truly spectacular party for the franchisees in Las Vegas ”How do you explain Judy Hart’s unceremonious dumping from Doug’s and her warm wele at Bergers?案例八Choosing a ManagerThe director of management development for the Long Stay Suites was faced with the necessity of remending someone for a highlevel management position in the pany. Careful screening of all present employees narrowed the selection to two men: John Jarvis and Satya Patel. After lengthy interviews the following information was accumulated.John Jarvis had a tenure with the pany of three years. He was very seldom absent from work and had obtained a college degree in hospitality administration by taking evening courses. His superiors rated his management potential as promising. The one plaint voiced against his was that he appeared impatient and overly ambitious. During his interview with the director of management development, Jarvis indicated that promotions had not e along fast enough for him and that unless he received this promotion he would seek employment with another major hospitality organization. He hinted that he had received offers.Satya Patel was several years older than Jarvis. He had been with the pany since graduation from a nearby university six years previously. He was rated by his superiors as a steady, dependable employee, apparently very intelligent, but he had been given little opportunity to display his talent. Three years ago he had turned down a more responsible position at one of the organization’s branches in another city. He said he didn’t want to relocate, and the job required some travelling. Since that time he had not been given another opportunity to move upward in the organization.In considering the remendation he would make, the dire