Letting go isn't just hard for aging parents grappling with empty nest syndrome. Company founders sometimes display the same attachment to those they helped bring into the world, as appears to be the case with 71-year old Best Buy founder, Richard Shulze.
Since last week's resignation of Best Buy Chief Executive Brian Dunn—who reportedly misused company assets while in a relationship with a female subordinate—Shulze is once more tightening his grip over the 46- year-old retailer, potentially complicating the search for a new CEO, reports The Wall Street Journal.
Shulze, who owns almost 18% of Best Buy's shares and serves as chairman, picked both CEOs who succeeded him in the past. He also remains heavily involved with Best Buy through various business deals and the relationship his brother and daughter have with the company.
Shulze's continued influence could make the search for a new CEO difficult, at a time when the company is struggling to turn around its fortunes. The retailer lost $1.7 billion last quarter, and recently announced that it would close 50 big-box stores and lay off 400 workers as part of a larger plan to shave $800 million.
Whether Shulze's attachment turns out to be good or bad for Best Buy and its employees can't be predicted. The attachment of a founder didn't do much for Yahoo or Research in Motion. (The Wall Street Journal)
Sales Buzz
Tesco Store Cuts (Reuters)
On Wednesday, Tesco said it would cut back on store openings at Fresh & Easy, its loss-making U.S. arm. The U.K. supermarket giant rejected calls from some investors to pull out entirely. Tesco also curbed plans to expand its British operations, announcing that it would invest $1.6 billion in improving stores and its online shopping experience.
The New Inventory Clerks (Adweek)
Shoppers overwhelmingly want salespeople to have the ability to check inventory at other stores for out-of-stock items, according to new data compiled by eMarketer. They also want salespeople to have consistent knowledge about products whether they're in the store or not, reports Adweek.
Walgreens Hires OfficeMax's Slone (Retailing Today)
Walgreens named OfficeMax's Reuben Slone as senior vice president of supply chain management, effective mid-May. Slone will take charge of distribution, transportation, systems integration and engineering at Walgreens.
The Art of Sales (The Daily)
Author Philip Delves Broughton, says the best salesmen don't sell much, but rather convince their customers to act as evangelists or just incorporate selling into their lifestyles.
Marketing Buzz
PepsiCo's New PR Head (PR Newswire)
PepsiCo has hired Jim Wilkinson from Brunswick Group to take over as the snack and beverage giant's executive vice president of corporate communications.
NYT's Wannabe CEO (New York Observer)
A 30-year-old commercial real estate investor has submitted his resume to be considered as chief executive officer for the New York Times, reports the New York Observer. Zach Protzko said if made CEO he would take down the Times's paywall, and customize news to fit reader interests.
Overpaid CEOs. Again (Forbes)
Forbes contributor Ty Kiisel asks if CEO pay raises are commensurate with what leaders bring to their companies. U.S. CEOs raked in a raise of about $10.5 million each, translating into a pay raise of 16% last year. In contrast, the average American collected a raise of just 3% says a recent report on executive compensation.
EMI Jobs Gone (NYT)
Sony plans to lay off about 60% of EMI Music Publishing within two years if its proposed $2.2 billion takeover of the company is approved, reports the New York Times. The layoffs would be part of a push to save $70 million annually.
Buzz Around the Office
These otters look bewitched.
List of the Day: How to Approach a Job Search
1. Evaluate the company like a Wall Street analyst would.
2. Think beyond title and salary to longer-term concerns.
3. Ask yourself if this is really what you want to do.
(Source: CBS MoneyWatch)
