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Wilson beeson President of Americana
Marco Owner of Manufacturing plant
Wilson and Marco close friendship/work
relations since 15 years.Marco model customer and prompt payer
Marco affected by Spanish economicfaltered.
Unpaid debt accounted to $4mn. in eightmonths
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Stimulus Event
Problem Definition
Information Search
Generating alternatives
Evaluation of alternatives
Choosing alternative
Implementing Decision
Gap performance
Board has instructedWilson to solve the debt
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Stimulus Event
Problem Definition
Information Search
Generating alternatives
Evaluation of alternatives
Choosing alternative
Implementing Decision
Gap performance
Opportunity:- unpaid debt moneycould be used for company.
Performance:- Top customer notbeing able to pay the bill.
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Stimulus Event
Problem Definition
Information Search
Generating alternatives
Evaluation of alternatives
Choosing alternative
Implementing Decision
Gap performance
How will Wilson acquire paymentfrom his close friend and topcustomer.
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Stimulus Event
Problem Definition
Information Search
Generating alternatives
Evaluation of alternatives
Choosing alternative
Implementing Decision
Gap performance
Primary information: Realistic situation about the market
scenario. Financial ability of Quintana through
companys representative.
Secondary information:News/Business Magzine/
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Stimulus Event
Problem Definition
Information Search
Generating alternatives
Evaluation of alternatives
Choosing alternative
Implementing Decision
Gap performance
Debt Settlement Part instalment payment Collateral Security (land
mortgage, personal assetmortgage)
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Debt settlement
Debt settlement
Marco can be asked to pay amount lower then the total
amount of debt as settlement according to his capacity.
The time required and the resources required for settlement
of this unpaid debt would be saved
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Part payment
Part payment/Installment method in
order to reduce the burden of lumpsum
payment.
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Collateral Security (land mortgage,personal asset mortgage)
Ask for a collateral security as asecurity against the recovery of the
payment and a certain tenure should be
given rendering the payment.
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Wilson should have a one on one conversation with
Marco
Offer a low debt settlement option as a goodwill
gesture by the company for being a model customer
Marco should be given a credit period time to arrange
for the funds.
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Wilson has taken the Decision under Uncertainity
The type of decision made could be understood from
Strategy used:
Rational
Type of problem
Non-structured
Type of manager
Sensing-thinking manager
7/30/2019 Unpaid Debt Case 2 Final
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Broad, Non-structured,Infrequent, MuchUncertainty
Both structuredand unstructured
Frequent,Structured,
Repetitive,Much certain
Programmed Decisions
Non-Programmed Decisions
ManagementLevel
TypeofProb
lem
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