CASE 5. JONA CAR RENTAL: BEFORE THE NEXT TEARDROP FALLS

For fourteen months, Mr. Jose Naguimbing acted as General manager of Jona Car Rental the company had branches in Angeles City, Olongapo City, and Baguio City. The main office was located in Makati city.

Jose succeeded his brother Pedro who founded the company and was well-liked by his subordinates. The car rental company was very lucrative when Pedro left it to established another business. Jose was very enthusiastic during the first months of his stewardship. At the fifth month, his staff members began losing confidence in his abilities to run the firm. One time, when a purchase order for the three units of Toyota Car was presented to him by the Office Manager for his signature, he signed it immediately. The manager filed the order with the dealer on the same day. The next morning, however,Jose instructed the manager to buy three units of Mitsubishi cars from a dealer.

When the position of branch manager for Angeles City became vacant, he appointed someone whom his immediate staff thought to be the least deserving of the three candidates. After three months, his staff members were proven right: the revenues of the branch were drastically reduced. Compared in the competitor of the area, the performance of the branch was dismal.

When Jose decided to established another branch. He asked his staff to identify three potential sites for him to choose from. He picked Laoag City. It turned out that Laoag City had the weakest potential. After a few months of operation, the branch not shown any sign of promise. In contrast, the competitor who put up a branch in Santiago City in the same year was registering substantial revenues. Santiago City was one of the potential sites forwarded to Jose for consideration.

What are the problems?

Case facts?

Give atleast 3 alternative course pf action justify your answer with theory or law.

Recommendation.

Conclusion.

Reference.