Jessica Mei S. Paringit 47483 Mini Case: An Innovative Failure at JCPenney : Its Causes and Consequences 1. The new CEO tried to be innovative. Were the innovations introduced, more incremental or more novel? Please explain I think the innovation was more novel, even though it was not related to technological innovations; what the CEO tried was new to the firm and created new knowledge and used only some or little of a firm’s current product. 2. Do the innovations implemented by JCP sound interesting to you? Would you shop at a store with these features? Why or why not? Because other companies have similar setups, the innovation does not sound interesting. Johnson was initially creative, but his pricing plan was unclear. The approach of eliminating the company's markup price culture and replacing it with a pricing strategy of everyday low prices was not well received by customers. I would probably visit stores with these kinds of features for easy shopping with other stores, like coffee and more, but other than that reason, I do not see myself shopping in these kinds of stores. 3. What are the reasons that the innovations implemented by the new CEO failed? The CEO is well aware of a mismatch between his plan and other factors such as company executives, customers, sales policies, product lines, and marketing. Despite this, he persisted to implement the new system. The inconsistency arises from Johnson's desire to apply the retail model he achieved at Apple to the situation at JCP. However, in fact, business and individual plans must differ. Johnson hopes to replicate his success at Apple. Inc., in a different corporate environment, without taking into account other aspects. As a result, the adopted invention fails to succeed. 4. What recommendations do you have for turning around the performance of JCP? I would suggest for JCP reconsider the factors that affect its profitability and enforce a strategy that would enhance its performance. Mini Case: A Change at the Top at Procter & Gamble: An Indication of How Much the CEO Matters? 1. What makes a CEO's job so complex? Use the mini-case to provide examples that help support your answer. Because a CEO is effectively responsible for a company's total growth and performance, their job is incredibly demanding. Lafley was commended for his accomplishments at the corporation, but Mcdonald's was blamed for its downfall. The corporation believed that bringing Lafley back would effectively restore stability. Therefore, the CEO's job is so complex because it carries the burden of the future of the firm. 2. Is it a good practice to rehire a former CEO who has retired? Please explain the potential advantages and disadvantages of doing so. Rehiring a former CEO is critical since he is familiar with the company's culture. Furthermore, a previous CEO may readily gain employee trust; because the CEO is familiar with the company's activities, there will be less expensive for the organization in training him. On the other hand, since the CEO already retired, he might have less time to remain in the business organization. 3. What should P&G do to replace Lafley when he retires for a second time? What actions should they take to prepare for the succession? As early as possible, P&G should create a plan that would help them cope with the second retirement of Lafley. They should also train the next CEO so that he can familiarize himself with the business.