Friday, October 18, 2019
Case study ---Twinkie-eating vultures Essay Example | Topics and Well Written Essays - 1000 words
Case study ---Twinkie-eating vultures - Essay Example A vulture capitalist is an investor who has used sections of the terms of an investment deal in a company to grab rights of the company or the valuable parts of the company (Cyr, 1998). This is a sharp contrast to a venture capitalist who always invests in the company likely to excel in the market and bring profit to the investor. The case of Hostess Brands Inc is run by vulture capitalists who are always looking for ways to invest in a company that will likely not bring profit in the present so that they bring out the takeover clauses which will end up in the forfeiture of the companyââ¬â¢s assets. This will make the vulture capitalists sell off the parts constituting the company and this will make them earn profit while the company collapses. This is according to Goldstein (2011) explanation. Twinkie-eating Vultures With the hobbling of the Hostess Brands Inc.; the media through the vulture capitalists have been informing the masses that the products they use to get from the Hos tess Brands like Twinkies, Ding Dong and Ho Hos since they believe that the Public Sector Unions are solely responsible for the collapse of the company. This is the first tactic that the vulture capitalists use when they are blaming the other concerned parties for the collapse of the firm or company in this case they ensured that Bakery, Confectionery, Tobacco Workers and Grain Millers International Union were blamed for the collapsing and meltdown of Hostess Brands Inc. The work of BCTGM is to represent the interests of employees within the organizations. In the Hostess case the BCTGM was very influential on the employeesââ¬â¢ interests in the company and as such it can be deemed that the conservatives who are the vulture capitalists had seen this as a controversy and as such they had to take the blame for the Hostess Brands Inc. shortcomings. According Kotz (1994) the public unions are always highly controversial among the conservatives who always advocate the downsizing of the public sector and will always blame the unions for their losses and deficit. The union itself was represented in the Hostess Company by around 5,600 employees and this can be argued that they did not bring the company down. Instead the managers left in charge are responsible for being incompetent and bringing the company to a close as they had announced. To the capitalists the employees were of no importance to the employers not with the sacrifices they made on behalf of the company. The union which has the mandate to put the interests of the workers before anything else took a great exception on the Hostess Brands Inc. The BCTGM workers never inquired on getting more money from the company, neither did they ask for any benefits to be accorded to them nor did they ask for better pensions. The union workersââ¬â¢ basis was that they wanted to ensure that the company in the end should have had a great turnover and mobility. This would have brought the company to a profit making fir m. One of the main emphases in any company should be the contested exchange logic. The logic of contested change basically implies that when it comes to labor the production process must not be perceived as the combination of labor in conjunction with non-labor inputs instead it should be seen as also the process whereby the labor on actual work is also derived from workers. With
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