Apparently, this situation has with the company is at a stage where decisions have to be made regarding the nature of the current situation. These decisions are financial and managerial concerning the overall running of the company in the time of existence. Does it require the same type of management style or has it graduated to another level and needs fresh tactics? Did the rapid sales growth initiative become more an asset or a liability? Greta Schweitzer had to answer this problem. Her background and educational qualification put her in the position to be of use. They also put her in a bad position with her family members.
Being from an extended family that solely owns the massive enterprise, she has to deal with egos, and cases of disagreement on account that most businesses in the same situation have flaws because of family bonds. These include embezzlement in some areas. In the first case, Pinchuk is directly responsible for the position of the company to date and, thus should have his later compensations tied to the sales revenue of the company along with the family wishes. Pinchuk is an asset that should be made use of because as much as he is quite unconventional in his methodology.
Dividends would not be a wise road to travel especially with the nature of the projected sales growth. As Greta questioned herself once that if the company was so successful, why did it need to borrow so aggressively if the sales paid off in more profit or more dividends? At a time of depreciation of currencies, they may be a disadvantage. The financial plan analysis needs to be taken into consideration Pinchuk’s method on receivables needs attention as it gave massive turnover from investment in the east. As for the unused assets, the odds agree with the plan that increased volume above breakeven volume will increase the profits quicker than usual.