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Publication Day: March 01, 2009 Astrigo is in issues. The home enhancement chain has skipped its earnings forecast badly and profits are slipping. A 10% reduction in staff appears like the only selection. Layoffs, nevertheless, would undermine the retailer's longtime dedication to staff members and the opportunity to offer its famed customer support. But tapping dollars reserved for strategic acquisitions goes towards the business's values, far too. What really should the CEO do? Four experts touch upon this fictional case study in R0903A and R0903Z. Board advisers Laurence J. Stybel and Maryanne Peabody, of Stybel Peabody Lincolnshire, recommend that the organization borrow a website page from McDonald's and declare Astrigo's intention to center on the interests of prolonged-phrase shareholders. This move would set up a framework that could help administration make tactical choices with extra clarity and flexibility. The organization could then use its hard cash to get a little time and energy to study the options.

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