Rumors at New Home



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tarix19.12.2023
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E-commerce case9

A brief summary
The New Home is a company which was founded in 1992 by Mr. Mayer. Initially, it was just a small company with 8 employees, specializing in the production of home appliances. However, over the course of years the company grew significantly, opening new branches in different parts of several countries, and this rapid growth was linked to the progress in an innovative bread machine production and its frequent improvement in the market. Not only the reliable and qualified product contributed to the incline of company sales but also the way of selling the product influenced significantly to the growth. Currently, with over 120 employees, The New Home operates in 6 different regions of Germany, and Mr. Thomas is the main manager. The sales system is based on strict organization, employees receive only commissions, all employees are very well trained; for each unit of goods sold they receive 50%. The company do not deal with complaints , the faulty equipment is replaced with a new one. The return rate has been just 1.7 % in recent 2 years.
Unfortunately, in recent times , there are several rumors have been spread among the staff about the company’s future and Mr. Mayer’s personal life. This misinformation has made employees as well as Mr. Thomas worry about the future of the company. Mr. Mayer, however, proved them wrong by stating that he’s not going to sell the company anyone. Instead, he claimed that the company is working with Japanese, launching a multifunctional device for monitoring the functions of the human body for pre-Christmas sales.
To this news the staff showed no reaction, and Mr. Mayer left the hall saying no word anymore.
Suggestions
As a worker of consultation company, I can say that these problems happening in the company are all related the miscommunication between Mr. Mayer and his company’s employees. In order to cope with this issue, I suggest that Mr. Mayer should provide his staff or at least Mr. Thomas with company’s future plans. For example, in this case he should have given information to Mr. Thomas or other staff about the collaboration with Japanese company, and it would have been much better for the employees to adapt this change. Also, making staff be aware of future changes in the company system might have prevented from any rumors that have affected the company’s productiveness.
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