Employee Empowerment Essay

680 Words Jan 30th, 2012 3 Pages
Ronda Crispell
American Intercontinental University
Unit 4 Individual Project
BUSN300-1103B-08: Lower Division Capstone
September 18, 2011

Abstract
In this assignment the writer is tasked with writing a memo to the manager of the company addressing a recent or current event in the news and discussing the following two theories. First of all, in the area of human resource area, the theory to be discussed is moving toward an employee empowerment culture. The second theory pertains to the marketing area and addressed the theory of penetration pricing. For each of the above theories, the issue being addressed that started employing these theories will be discussed. Also, how the theory being followed leads to specific actions on
…show more content…
Until this day, Ford still utilizes participative management. There were both positive and negative results achieved. On the positive side, employee satisfaction increased and workers became less resistant to change because they were given a voice in these issues. On the negative side, some of the decisions being made by employees were time consuming and tension between groups increased. If the writer had been in the senior manager at Ford, mandatory training would have been given to the employees before empowerment was issued. Simply making a decision is not the complete process. These decisions must be made thoughtfully and responsibly and the employees need to be prepared for the consequences (Spreitzer, n.d.). The definition of penetration pricing is the act of charging a low price initially for a new product for the purpose of enticing buyers and to increase market share. A company that recently used penetration pricing is Apple. This strategy was utilized in presenting its 3G iPhone to the market. The price of the phone was around $200. Previous versions of the iPhone had prices of around $600. Apple implemented this strategy because at the time they did not hold a large part of the Smart Phone market. Apple achieved satisfactory results with this strategy. Because of the success of the iPhone penetration pricing, the company has since sold subsequent versions of the iPhone at even lower prices. Again, the purpose of the

Related Documents