Hathaway Company, Case Study Example

Frank Miller should put Duval into probation where the small distributor in Lyon, Le Clerc Frères is to investigate by a court. There is enough evidence after all, showing that Duval personally owns 33% of Le Clerc and that his wife owns another 33%. Records show that, over the last three months, the Le Clerc Frères had taken 60% of Hathaway’s total output. It is also clear under the French laws that all members of a board of directors required to disclose to that the board any and all other business ownership they possess and that disclosure must be a part of the official minutes of the board. Upon getting enough evidence, Frank Miller entitled to sue Duval for having breaking the law of disclosing personal business, and taking advantage of his position in the Hathaway Company to enrich himself (Larcker and Tayan 1).

Alternatively, Frank Miller would consider firing Duval. This means losing an experienced marketer. If Frank Miller decides to fire him, he still entitled to severance pay, and historically which is much greater than one can imagine. Duval could also decide to sue him of having intruded into personal matters by investigating his own expense accounts, which after all do not show anything unusual in spent amounts, or frequency of his calls to Le Clerc Frères. Duval may decide to show that the company, not himself, had perpetuated the illegal pricing actions, where Frank Miller held liable. Frank Miller can as well hold everything in position and handle the issue traditionally: allowing Duval to continue with the business but in a transparent manner and Duval is to account for any loses that may have aroused earlier due to the illegal” businesses that took place.

The recommendations would just be the same if the scene took place in the US. An only difference could be that the second alternatives could not hold in the United States.

Charlie’s lack of the knowledge of the French business protocol becomes a problem since he does not know how to go about it (Hathaway Jewelry Auctioned As Part of Fraud Case 1). He tries to get advice from John Lancaster, his old friend from a different organization. He discloses the secrets of their company, which is not right. He further goes on asking of the legal actions that he should take which is seriously wrong. Matters within an organization kept with utmost secrecy and solved within the organization. Charlie ends up requesting Dick Patterson to accompany him to Frank Miller, an act of cowardliness. It is Frank Miller fault to Charlie’s unpreparedness. He should have introduced him to the French business protocols immediately he joined the France Company.

There is a clear act of ethical violence where Duval investigated without a court order. Duval can prosecute the Hathaway Company and the firm that does its auditing, and all persons involved in the happenings ((Larcker and Tayan 1).

The best solution to this problem is handling matters professionally. After a suspect of illegal activities in business, the court should be involved immediately to carry out the necessary.

Works Cited

Larcker, David and Tayan, Brian. The Management of Berkshire Hathaway; Case Number: CG-16. Date of retrieval January 1, 2009 http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1482085

Hathaway Jewelry Auctioned As Part of Fraud Case. Date of retrieval September 21, 2010. http://newyork.cbslocal.com/2010/09/21/hathaway-jewelry-auctioned-as-part-of-fraud-case/