The company sold 60% of its shares to an international supplier looking to expand. Poor transition between the new CEO and previous owner, who retained board position, led to disagreements. As a result, the CFO, COO left and the company lost 15% market share. Personal values and differing leadership styles between the new, results-focused CEO and previous, transformational owner exacerbated tensions during the leadership transition and likely contributed to the poor performance and staff turnover.

1. Individual practice with peer evaluation
1. What happened? (Background, brief description of events, specific leadership
actions) What were the results? (Real or potential. Try to include both positive
and negative possibilities. Even if the event seemed clearly good or bad,
consider unintended consequences.)
The company I work for sold 60% of it shares last year to an international supplier that
was looking to establish themselves on the country. The original owners loose control
over the company and stayed as part of the board.
There was supposed to be a transition between the new CEO and one of the owners who
acted as CEO before, but this happened poorly. They didn´t quite liked each other and
the previous owner tried to keep control of the operations by all means necessary.
Ultimately, the CFO and the COO left the company due to poor yearly results and the
company lost 15% of the market share that same year.
2. Why did this happen? (Consider all possible factors, including the people and
the situation)
I believe the situation, especially the transition between the old and new CEO, was
carried out poorly.
The two of them are very different, they have a different set of values and personalities.
The old CEO, also former owner, always tried to approach leadership from a
transformational stand, trying to inspire and stimulate the rest of the team. The new one,
motivated only by results, presents a more transactional approach to leadership.
3. What class concepts are relevant to this situation? (Mention at least one concept
from class and how they can be used to interpret the situation.)
Personal values and leadership style were the primary areas identified on my analyses.
4. What did you learn from this? (Broader lessons that might apply to other
situations or problems.)
I learnt that it’s important to understand where you are heading and how you plan to get
there. Not everyone will follow your guidance just because someone else appointed you
as the CEO.