Is HydroFruit still an attractive investment opportunity for MegaBank? Making an investment in a company with potential legal issues is a risk, but with plausible solutions investment looks to be rewarding. MegaBank is looking to make a $65million equity investment in HydroFruit, but there is risk in this new investment. HydroFruit does face two major legal risks which involves: the hiring of illegal immigrants, and potential discrimination lawsuits.
Objective and Goal: MegaBank’s main objective is to reduce the risks concerning HydroFruit. In the long run MegaBank’s goal is to reduce all legal risk and create new profits. This new investment would allow for an annual return yield between the 25% - 35% range . It would also bring cheap labor, an abundant work force, and lower turnover.
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In the agriculture industry a “standard” is to hire illegal employees even though it is against the law. Although companies ask new employees for proof of authorized employment, if the employer determines that the documents appear to be genuine then employers are not held legally responsible for receiving false documents.
Significance of Problem: Social and Political Risk:
Hydrofruit has tried to change its hiring process by voluntary implementing a Immigration Reform and Control Act-pilot program, in 1989, by sending in the documents to the government actual permission to work was determined but the process took months and many workers were gone by the time it was determined (Advanced Business Communication 54). As of now HydroFruit is in compliance with legal requirements, however HydroFruit maybe pretend to know less about false documents so they can comply with Anti discrimination laws .
Alternative
It has been estimated that in 2007 there were close to 12 million unauthorized workers in the Untied States. ("No. 09-115") To combat what they saw as a "problem," the Arizona state legislature passed the Legal Arizona Workers Act
You are the new HR manager for this fictitious (private sector) company, which has hundreds of employees and is clearly obligated under Title VII and other major employment regulations. Rather than starting over from scratch with a brand new application form, many HR managers would likely take a look at the existing form first.
Boston Beer, in response to consumers’ preference changes to more flavorful and bitter tasting brews, was founded in 1894. Boston Beer implements a “quality at any cost” strategy with a strong emphasis on product differentiation and implementing quality ingredients into its products. For instance, Boston Beer was the first company to employ a stamped freshness date on its bottles and ingredients are imported from around the world. Additionally, Boston Beer relies heavily on contract brewing to gain competitive advantages. Boston Beer’s contract brewing strategy results in lower overhead and transportation costs, as well as
The H-2A program is an important non-immigration program. Even though some research suggests there is not a nationwide shortage of domestic farm labor, considerable evidence suggests that this research finding is distorted by the presence of illegal farm workers.3 Seasonal shortage in certain agricultural states pose a serious threat to the state’s economy and the farmers’ livelihood. According to a 2012 California Farm Bureau survey, 71 percent of tree-fruit growers and nearly 80 percent of raisin and berry growers could not find enough workers to prune trees or pick the
1. Consider Dunlap’s statement on page 3 of the case: “Stakeholders! Every time I hear the word, I ask how much did they pay for their stake? There is only one constituency I am concerned about and that is the shareholder primacy? Do you agree or disagree with Dunlap’s view of shareholder primacy? Explain
How attractive is the Super project in strategic and competitive terms? What potential risks and benefits does General
The principal-agent system also offers employers a chance to screen applicants that they believe might present a “moral hazard” to the country by entering the social welfare system or becoming criminals. Employers can also monitor immigrants after their settlement, and any immigrant’s status can be jeopardized by an inability to keep a job. The federal government’s delegation of power allows employers to threaten deportation at their own discretion.
There has been many laws and regulations passed, to try and prevent illegal migrants from working in the United States. In all states, businesses “Are required by federal law to check the legal status of all new hires. They must fill out federal form 1-9 to show that each worker holds federally acceptable residency documents, like a driver’s license or social security card” (Speizer 1). Although they must do all of those things, they are not required to check the authenticity of the documents. In Arizona that has all changed, a new law has been passed that makes it mandatory for all employers to participate in E-Verify “in which information from 1-9 documents can be checked through databases at the Social Security Administration or the Department of Homeland Security” (Speizer 2). This used to be something businesses could voluntarily partake in, but has now become mandatory in Arizona. Under this law they have created harsh punishments for employers who knowingly hire undocumented migrants. One of these harsh punishments includes the loss of the employer’s business license, if it is a reoccurring issue. They hope that this new law will decrease the amount of undocumented workers in the state and create more jobs for their own U.S. citizens.
An individual whose comedy I believe to be underrated is Scott Aukerman. The reason I love his work is because he never settles for lazy comedy. Instead of taking shortcuts to easy laughs, or even single laughs, Aukerman’s work characteristically pushes through with relentless sequences of jokes. This carefully orchestrated ruthlessness is in stark contrast to the characters he plays and the tone of his works, which are often unassuming, overly-manicured, and squeaky clean. He manages to make strange inversions and comedic faux pas feel natural and enjoyable, and that is not a characteristic I feel many people in comedy are experts in.
➢ Has to do what: To decide to either confront Gilman and change what she perceives as sexist and/or racist practices or to leave the company
During 2009, a federal investigation turned up irregularities in the identity documents of immigrant workers from when they were hired. 2000 workers were terminated, leading to an inability to fulfill the demand.
The pricing strategy that Icebreakers should implement, in my opinion, would be status qou pricing. A status qou pricing is one that maintains the existing prices or meets the competition’s prices (Lamb, Hair, McDaniel). I think that the Icebreakers Cool Chews should be priced similarly to that of its competitors. The benefit to this style of pricing is that it reduces the ability for other companies to create competition through price. One could argue that the disadvantage is that the price will not influence a customers decision. If the competitions prices are all the same, the perieved notion will be that the product is the same. Fortunatley, for The Hershey Company, they have already established themselves as being a leader in the confectionary
The Waterview is a snack bar located on a full season resort in the Muskoka District. The resort had made multiple changes of ownership in recent years and the present owners are attempting to restore the resorts highly regarded reputation. The resort had suffered from the deterioration of quality and service that led to the loss of loyal customers due to staff not meeting the high expectations of their patrons. Currently there is a poor working relationship between Rebecca Boddington, the newly promoted assistant operations manager and Michael Welland, a long time summer employee, who had been promised a supervisory position. Additionally, Boddingtons manager Mark Humphries the corporate operations and sales manager spends very
As learned in class, the advantages of international business are great, but so are the risks. Some of the risks involve ethical issues as the ones Chiquita faced doing business in Columbia. Chiquita was the first to successfully internationalize banana trade; Chiquita did so by paying special attention to retail development and followed industry trends. Their competitive advantage was acquired when the company revolutionalized the banana trade by using refrigerated ships for the first time.
The legal issues in this case are: there is anywhere from twelve to twenty million illegal immigrants residing in the United States illegally. As far as the ethical issues in this case, well there are so many issues I wouldn’t even know where to begin. The fact that any business would intentionally make their working environment and so poor knowing that only illegal immigrants would tolerate working there without reporting it to any agency or the legal system is beyond unethical! Now that the legal system only requires employers to use the “E-Verify” system rather than making any illegal immigrant/person provide hard copies of their citizenship. Proof of legal status can now be passed