PERCEPTUAL DISTORTION AT HY DAIRIES3IntroductionRochelle Beauport is one of the few women of color at Hy Dairies Inc. Due to the efforts of Beauport the sales of Hy Gourmet ice cream increased significantly in the last two quarters. Syd Gilman, the vice president of marketing at Hy Dairies was very happy with the performance of Rochelle. As a result Gilman offered her a lateral move from assistant brand manager to marketing research coordinator. Gilman believed this position would provide Beauport some high profile work experience and also it would enhance her career at the organization. However, Rochelle enjoyed brand management and thought the new research job as a back office work with no joy. She also believed that the new position will stop her from reaching to the top management. She felt being sidelined due to her colored complexity. Rochelle acknowledged thenew position unwillingly. Syd Gilman did not realize that he gave Beauport a wrong perception regarding the whole situation. Rochelle now has the tough decision to whether confront Gilman or leave Hy Dairies. Stereotyping and Social Identity Theory at Hy Dairies, Inc.Stereotypes are characteristics that are associated to a group of people due to their race, gender, and nationality (Heilman, 2012). The associated characteristics are generalizations of the involved groups while some people do possess the characteristics of their stereotype, it does not necessarily represent all people of the group. Stereotypes may not always be true and even if