Sears auto case

a. Sears Auto Case (Week 7) (15% of final grade). Submit one per team (make sure all team members are on the cover sheet).

i. Identify the problem(s)/root causes

1. How important is the compensation system?

ii. How seriously should the CEO take the allegations?

1. Which of the allegations do you find problematic (and why)?

2. How strong are Sears’ counterarguments/defense?

3. Is Sears being unfairly targeted?

iii. Who bears the greatest responsibility in this situation?

iv. How well has management handled the situation? 

1. What have they done well and what have they done poorly

v. What should Brennan do now?

1. If he determines that the allegations are true, should he publically admit error?

a. What are the foreseeable impacts of the recommendation you are making in v.1 above?

2. Should changes be made, and if so, what?