Cocaheco's Failure

Satisfactory Essays
From the report presented at the end of the first contract signed, the conclusions ware clear, one of the most important was the confusion, that exists in restaurants, on the area of operation management, as they grow from a few stores to multiple stores (no standards and coordination throughout), combine with a lack of an organizational structure, able to lead the company to success with clear direction and professional support. To solve operational problems is extremely easy to do, the difficult job is to take a family own business to a professional one. This means; with new funding or without funding it is completely irrelevant, if the status quo of doing business remain and no changes take effect to confront the new reality, the question…show more content…
It is typical of people coming from underdeveloped to developed countries, to fallow the instinct to interact with what is familiar, with their peers, thinking it is the right thing to do, and follow advices given with good intension and not proper information
Experience shows 90% of family and small businesses generally fail, because of lack of leadership, decision making, or to become fully professional and competitive in the market. It is on Mr. Pacheco’s shoulders, as the family business leader, this decision rest, to keep the existing path – or - grow and prosper with a new structure.
The clear and obvious reports elaborated for him does not surprise any professional, the clear and obvious organizational proposal is clear as any leader would understand at first sight. It will be unacceptable and wrong for us to advise him to continue doing business as usual, it is our professional responsibility, and moral duty, to present him not only with the reality but with a pad out to success. We try to be as transparent as possible always with the truth, because it is the only way to do things
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