Nonfamily employees in a family business may be caught in the crossfire between

Nonfamily employees in a family business may be

This preview shows page 5 - 9 out of 12 pages.

Question 10 Nonfamily employees in a family business may be caught in the crossfire between feuding family members. Selected Answer:TrueAnswers: TrueFalse Question 11 A parent might attempt to resolve a transfer of ownership by giving active children in the firm’s management _____ stock and giving nonactive children _____ stock. Question 12
Image of page 5
Mayer’s philosophy of never using debt to finance operations or expansion was born during the GreatDepression and passed on to his sons when they joined the family business. Today the multi-million dollar organization proudly follows Mayer’s practice under the leadership of Mayer’s great-grandsons and -daughters. This family’s commitment is based on: Question 13 When a parent retires completely and turns the firm over to a son or daughter, the firm ceases to be a family business. Question 14 Jan and Jill started a business 20 years. Jill recently stepped down; her daughter Jenny has agreed to start managing the company with Jan’s help; and the eventual goal is for Jenny to run the entire company. This process between Jan and Jenny is called ____. Selected Answer:c.
Image of page 6
mentoringAnswers: a. sibling partnershipb. family consortiumc. mentoringd. Two of the above are true. Question 15 Kinder’s Deli has been in business for three generations. A place was found for every Kinder child to work in the shop. The name Kinder meant fine deli meats. This family’s commitment is based on:
Image of page 7
Question 16 Bella decided to hire a nonfamily member as her successor instead of selecting one of her children. What might explain her decision?
Image of page 8
Image of page 9

You've reached the end of your free preview.

Want to read all 12 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture