633 Fight, Rhonda Hartz
This case provides us an insight into the Golden Years Investment Club and the conflict of group members when a newcomer challenges the views and ideas of the group’s experienced founder. The Golden Years Investment Club with a 34 year track record made up of middle-aged professionals, retirees, and homemakers who are considered amateurs in the investment world. Lenn Width, the founder of the investment club, has recently invited David Korn, a young architect, to join the group. Width and Korn have very opposing viewpoints when it comes to how to invest. Width has a very strict investment policy: “a stock must have been publicly traded for at least five years; its sales must be growing by 15 percent a year; and it’s got to have a return on equity of 10 percent or better.” David Korn wanted to take chances, drop old stock and invest in new ones.
The group comes to headway when Width decides to hold a secret meeting to have Korn removed from the group. Korn is asked to leave after a vote is taken. Unfortunately, even with Korn gone, Width is displaying his dictator style of leadership over the group.
The underlining cause for the disruption between David Korn and Lenn Width is that the Golden Year Investment Club had problems with all members of the group. There is a deeper issue that seems to be prevailing and that is Width’s tyranny over the group. This is brought to light when Korn arrives because Korn is bold enough to challenge Lenn. Throughout the case we hear member’s complaints of Width. It seems that Lenn rules the roost. It was ‘either his way or the highway’.
The underlying focus of the turmoil and discontent in the group was Lenn Width. Lenn Width was described as the septuagenarian leader of the Golden Years Investment Club and his strict investment policy was used by the club regarding the purchasing of stocks. Lenn Width exhibited the need for achievement, need...