Starbucks Announces CEO Transition

After 13 years at Starbucks, including five as CEO and president, Kevin Johnson will retire. Company founder Howard Schultz will serve as interim executive as the search for a replacement begins.

The company statement includes the typical quotes: the board chair complimenting Johnson’s accomplishments, Johnson expressing pride and gratitude, and Schultz providing a vision. Of course, the company doesn’t explicitly address two of the biggest challenges Schultz will face, which a Wall Street Journal article calls out in the headline, “Former Starbucks CEO Howard Schultz to Return as Chain Faces Union Push, Rising Costs.”

Shares declined 24% in the past year, and it’s been a rough time for the company, as for all restaurants trying to regain their footing after the pandemic amidst rising prices, staffing shortages, and wage increases. In the statement, Johnson says that he notified the board a year ago of his plan to leave, and the WSJ article confirms the story with a quote from the board chair, “His decision to leave was his own, not the result of any board or outside push, she said.”

We’ll never know the truth, and expecting full transparency in these situations isn’t realistic. Perhaps it’s a mix, anyway. The board may want a leadership change to address difficult issues, including improving relations with employees and unions, and Johnson felt internal and external pressure to leave.

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More Companies Eliminate the Annual Performance Review

For many years when I worked for large companies, I was responsible for the annual performance review process: identifying competencies, creating forms, training managers, and tracking those yearly conversations that were often painful for everyone involved. Since then, more and more companies are eliminating the annual review.

The tight labor market seems to be the biggest impetus for the recent wave. With more frequent reviews, managers can increase antsy employees’ salaries, hoping to retain talent. However, companies are cautious because more frequent reviews may set expectations that employees will always get an increase. Instead, managers have other retention tools, such as increasing benefits and giving one-time bonuses.

This recent news reminds me of a 2016 article. But at that time, the impetus was to increase feedback. When an annual process exists, some managers rely too heavily on that one meeting in lieu of giving feedback when needed throughout the year. Eliminating the review also reduces anxiety and ends a rating system that some see as inaccurate or unfair.

Of course, the best feedback is ongoing. Ideally, managers and their reports have a relationship where either can initiate a conversation at any time to encourage accountability and improved performance.

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Announcements About Leader Departures

Company announcements about leader departures typically follow a standard format, but content and medium choices communicate history and context. Two recent examples illustrate these types of messages:

  • Meta, Facebook’s parent, announced that Peter Thiel, a long-time investor, will step down from the board. The company chose a press release for the news, also posted on the Meta website. As expected, the press release includes positive quotes from CEO Mark Zuckerberg and from Thiel. What’s not said is found in a Wall Street Journal article: Thiel is a supporter of former President Trump and two Senate candidates who have spread false claims about election fraud. Thiel has also resisted changes to Facebook to quell misinformation on the platform.

  • Peloton announced that John Foley, the company founder, will step down. Like Meta, the company chose a press release and posted it on the Peloton website. Although the statement names Foley as executive chair and includes a quote from him, we don’t see the typical complimentary quote about his leadership. A New York Times article titled, “Peloton’s Future Is Uncertain After a Swift Fall from Pandemic Stardom,” cites several problems at the company: “The chief executive stepped down as a glut of unsold machines, negative TV portrayals, activist investors, and a recall plagued the fitness company.” A personal message, below, from Foley to Peloton customers explains more of his perspective.

These messages are a type of bad news—and they are examples of persuasive communication. Foley’s email tries to convince “members” that the company will continue to thrive and that Barry McCarthy, as the new CEO and president, is the answer. Foley uses logical arguments, such as the number of current users, and credibility, such as McCarthy’s past success, to persuade. He also uses emotional appeals, complimenting customers and their stories. He reassures customers by describing what won’t change—a persuasive strategy Adam Grant talks about in his book Think Again.

Whether Foley remains with the company—and what the future of the company holds—is questionable. In his email, he demonstrates some humility by introducing McCarthy but little accountability for what has happened to a company that was only recently a major success story.

Fellow Members,

There’s been quite a bit of news about Peloton in recent weeks, and through it all, you have stood with us. Thank you for all your support and encouragement! This year marks Peloton’s 10 year anniversary. My co-founders and I brought to life the concept of recreating the energy and benefits of a studio fitness class in the home to make getting healthy and staying healthy more achievable for more people. And together with you, we have built this incredible community from five people to 6.6 Million people, of all stages, ages, and backgrounds, leading healthier, happier lives. I remain inspired by you and your stories. Our north star has always been and will always be improving the lives of our Members. Your experience is what matters most and this is why we are making some changes to position Peloton for continued success the next 10 years and beyond.

Effective today, I will be moving into a new role as Executive Chair, and Barry McCarthy will be joining Peloton as CEO & President to lead the company. Barry is an incredible leader with a proven track record of working with founders to scale world-class businesses like Spotify and Netflix. In addition to the senior executive roles he has held at some of the world’s most successful media and entertainment brands, Barry has served as an advisor and board member at public and private technology companies. This appointment is the culmination of a months-long succession plan that I’ve been working on with our Board of Directors, and we are thrilled to have found in Barry the perfect leader for the next chapter of Peloton.

I care deeply about Peloton – our community, our team, and our ability to continue to motivate and inspire you through our world-class instructors and deep library of classes across fitness disciplines. And, because operating with a Members-first approach is one of our core values, I want to assure you that the changes that we’re making at the company across our operations will not impact our instructor roster, number of classes produced, or range of class modalities.

I still believe as strongly in this brand and in connected fitness as I did on Day One. But in order for us to continue to deliver the best possible member experience and lead us into the future, I need to hand the day-to-day reins of running the business to a seasoned and gifted executive who has helped transform and grow some of the world’s best streaming media companies – first in video, then in music, now in connected fitness.

I’m so excited to partner with Barry and for you to see what he brings to this brand and community. Please join me in welcoming him to the Peloton team. And I hope to see you on the leaderboard soon!

John Foley

Activision Acquisition Announcements Omit Information

Microsoft’s acquisition of Activision significantly boosts the company’s prospects in the gaming space. In a statement, Microsoft said, “This acquisition will accelerate the growth in Microsoft’s gaming business across mobile, PC, console and cloud and will provide building blocks for the metaverse.” Games under assets now include millions of players of “Warcraft,” “Candy Crush,” “Call of Duty,” and others.

As expected, Microsoft’s announcement doesn’t include bad news about Activision—reported just the day before the acquisition. Rampant sexual harassment allegations resulted in more than three dozen terminated and another 40 disciplined employees. The day after the acquisition, the Wall Street Journal reported, “Activision Blizzard’s Workplace Problems Spurred $75 Billion Microsoft Deal.” Similarly, Activision CEO Bobby Kotick’s email to employees fails to mention that the company may have been in trouble before the agreement.

As usual, what is not said is often as important as what is said. Both messages announce good news and omit the bad news. This story illustrates that positive business messages are also persuasive messages.

Ask for Help in Rich Media Channels for Better Results

New research confirms what you might already think: you are most likely to get the results you want when you ask someone in person.

Experiments indicate that people are more compliant when communication takes place over richer media channels. Requests made face-to-face are most likely to be fulfilled. Second best is Zoom and then phone calls. Email and text requests are least effective. Survey participants thought richer channels would be more effective, but they underestimated the differences.

Cornell University researcher Vanessa Bohns sums up the results:

“We tend to think people will weigh the costs and benefits and make a measured decision about whether to agree to something, saying ‘yes’ only if they really want to. But in fact, people agree to all sorts of things, even things they’d rather not do, because they feel bad saying ‘no’ in the moment.”

Of course, this raises issues of integrity. Taking advantage of people who feel uncomfortable refusing a request will damage trust and credibility over time.

Mailchimp Acquisition News

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Mailchimp’s acquisition announcement is an example of a positive message. In an email and statement on the website, Co-founder and CEO Ben Chestnut reveals the news in the third paragraph. The single sentence is in bold type, but it takes a while for the reader to get the message.

Chestnut provides reasons for the acquisition in this paragraph:

Together with Intuit, we’ll deliver an innovative small business growth engine powered by marketing automation, customer relationship management, accounting and compliance, payments and expense, and e-commerce solutions, creating a single source of truth for your business. We’ll also be able to offer more personalized support and onboarding, expand our international footprint, and scale our teams to innovate faster and deliver the solutions you want and need.

Both sentences, long and jargony, use “we” as the subject. I wish he had explained the decision in more natural, conversational language written from the reader’s—”you”—perspective. Why should I care? How will the change help me manage my business, etc.?

Students could rewrite the entire message and do a better job. The message is positive—and it could be persuasive. Otherwise, it could be interpreted as bad news, not good.

Grubhub's Goodwill Message

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Grubhub is demonstrating gratitude with an ad directed primarily toward restaurants. The company benefitted greatly during a tough year for restaurants. During COVID restrictions, food delivery services did well, raising prices and cutting into restaurants’ margins. Grubhub and others have been criticized for hefty commissions and for listing restaurants on their sites when they weren’t affiliated with the service.

Now that restrictions are lifting, analysts predict that delivery services will continue to thrive. Still, an AdAge author notes that Grubhub needs to “remain relevant as in-person dining comes back.”

In the commercial, Grubhub speaks to restaurant workers:

“Here’s to you, restaurant. Thank you, from the bottom of our stomach. . . . Without you, we wouldn’t be Grubhub. We’d just be ‘hub.’”

Will the commercial ring false? Will it feel to restaurant owners and staff that Grubhub is manipulative or insincere? I don’t know. Obviously, the secondary audience is diners.

Senders of true goodwill messages, for example, messages of appreciation, don’t expect anything in return. Thank-you messages may bring about favor, but they are not intended for future reciprocation.

Amazon Announces New CEO

In a news release, Amazon announced that CEO and Founder Jeff Bezos will be stepping down, transitioning to role of Executive Chair of the board. He will be succeeded by Andy Jassy, currently CEO of Amazon Web Services. The change won’t take place until the third quarter of 2021.

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The news is announced in two short paragraphs within the company’s fourth quarter results:

Amazon is also announcing today that Jeff Bezos will transition to the role of Executive Chair in the third quarter of 2021 and Andy Jassy will become Chief Executive Officer at that time.

“Amazon is what it is because of invention. We do crazy things together and then make them normal. We pioneered customer reviews, 1-Click, personalized recommendations, Prime’s insanely-fast shipping, Just Walk Out shopping, the Climate Pledge, Kindle, Alexa, marketplace, infrastructure cloud computing, Career Choice, and much more,” said Jeff Bezos, Amazon founder and CEO. “If you do it right, a few years after a surprising invention, the new thing has become normal. People yawn. That yawn is the greatest compliment an inventor can receive. When you look at our financial results, what you’re actually seeing are the long-run cumulative results of invention. Right now I see Amazon at its most inventive ever, making it an optimal time for this transition.”

In a longer message to employees, Bezos writes in the same conversational style, but he is more inspirational. The email is also posted on the Amazon public site.

The change is big news and garnered the lead Wall Street Journal story today with the headline, “Amazon CEO Change to Come Amid Regulatory Scrutiny.” The article cites Amazon’s 44% profit increase in the fourth quarter of 2000 as well as the challenges ahead:

“But Amazon also faces the biggest regulatory challenges in its history, with multiple federal investigations into its competitive practices and lawmakers drafting legislation that could force Amazon to restructure its business. Tension with regulators and lawmakers has directly embroiled Mr. Bezos, who was called to testify in front of Congress last summer for the first time.”

Bezos also was in the news recently because his ex-wife, MacKenzie Scott, donated $5.9 billion in the past year. A New York Times article contrasts her philanthropy with criticism about Bezos’s extraordinary wealth and lack of attention to environmental issues and employees’ concerns. A Vanity Fair author writes, “She got even [for his having a public affair] by doing what he does not: sharing his unbelievable, unconscionable, indescribable wealth with those he makes his money off of, i.e. everyone else in the world.”

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Disneyland Announces "Sunsetting" of Annual Pass Program

With economic uncertainty during the COVID-19 pandemic, Disneyland remains closed, and the company announced the end of its annual pass program. The 40-year-old program offered unlimited park visits, exclusive discounts, and other benefits.

Disney’s statement explains the reasons and offers customers ways to get a refund for existing passes. In the segment below and another for Premier Passholders, the writers use “sunsetting” three times. The euphemism is a curious choice, and I wonder why “ending” isn’t used instead. Perhaps “cancelling” sounds too harsh?

“Sunsetting” indicates phasing out, and some passholders can enjoy discounts for a limited time. But the program is clearly ending. Dictionary.com refers to a “sunset clause,” and a tech site provides this definition: “Sunsetting, in a business context, is intentionally phasing something out or terminating it.” Both have legal undertones and, in my view, should be avoided for a consumer audience.

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Wishing Someone Well

News outlets are reporting that President Trump wishes Ghislaine Maxwell “well.” An associate of Jeffrey Epstein, Maxwell is charged with child sex-trafficking and has pleaded not guilty.

President Trump knew Epstein and Maxwell and met them “numerous times over the years.” according to his interview with Axios. When an Axios interviewer questioned the president’s previous statement that he wishes her well, he explained what he meant:

"Her boyfriend died in jail, and people are still trying to figure out how did it happen. Was it suicide, was he killed? And I do wish her well.”

“I'm not looking for anything bad for her. I'm not looking bad [sic] for anybody.”

“I do. I wish her well.”

“I wish her well. I'd wish you well. I'd wish a lot of people well.”

Discussion:

  • What does it mean to “wish” someone “well”?

  • What's your view of President Trump’s comments? Appropriately empathic towards Maxwell, compassionate, insensitive towards victims of sexual abuse, polite, or something else?

  • The president defended his initial comments. Should he have done so or changed his approach? Why?

Aston Martin's New CEO Message

British sports car manufacturer Aston Martin is replacing its CEO with Tobias Moers, currently at Daimler. The current CEO, Andy Palmer, tried to improve sales but hasn’t been successful. A Wall Street Journal article refers to the move as a way “to resuscitate a storied brand that has been on life support.”

The company’s media statement includes the usual quotes from the board chair and the outgoing and incoming CEOs:

Tobias Moers said: “I am truly excited to be joining Aston Martin Lagonda at this point of its development. I have always had a passion for performance cars and relish the chance to work for this iconic brand which I was close to on the technical side at the beginning of the partnership between the two companies. Following the arrival of Lawrence, as Executive Chairman, the significant investment from his Yew Tree Consortium, the completion of the equity raise and the reset, I believe that there is a significant opportunity to harness the strengths of the business to successfully deliver the planned product expansion and brand elevation. I am looking forward to working with Lawrence and the whole Aston Martin team to build a stronger business for our customers, our employees, our partners and our shareholders.”
 
Andy Palmer said: “It has been a privilege to serve Aston Martin Lagonda for almost six years. The launch of many new products including the new DBX demonstrates the dedication and capability of our employees. I would like to thank my management team and all the staff for their hard work and support, particularly during the challenges presented by COVID-19. I am proud of you all and it’s been an honour to work with you.”

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Discussion:

  • In what ways is the Aston Martin CEO announcement typical? How does it differ from similar CEO change announcements?

  • Read the statement for writing style. What observations do you make? Do you notice any differences between this statement, for a British company, and those for other companies?

Motion Charts

A New York Times article, “What Does Opportunity Look Like Where You Live?,” includes motion charts depicting life expectancy, commute times, and other variables across the U.S.

Although imperfect, the charts show changes over time. The movement is an effective way to dramatize differences between groups, as Gapminder has done with UN data for years.

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Discussion:

  • The bubbles move when they are first loaded on the page, but I can’t seem to “interact” with them the way I expect to with an “interactive graphic.” What did you expect? Could these be improved?

  • Some charts have a truncated axis; for example, one about life expectancy starts at 60. What are the implications, and should this be avoided?

  • What, if anything, surprises you about the data presented?

Companies That Returned Federal Funding

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Controversy swirls as companies grapple with whether to keep or return federal funding for the COVID-19 crisis. Distributions from the Paycheck Protection Program (PPP) seem unfair as some small businesses—the intended recipients—can’t get forgivable loans, while some larger businesses received millions of dollars that, at least in some cases, isn’t needed as emergency funding.

As the first and most highly publicized company, Shake Shack returned $10 million. Forbes tallies several others, including Ruth’s Hospitality Group, Sweetgreen, and the Los Angeles Lakers.

Store image source. Food image source.

Discussion:

  • What’s your view of companies that returned money compared to those that didn’t?

  • How should a company decide whether to return the funding?

  • Shake Shack doesn’t include a press release on its website or a tweet about the decision. What’s your view of this approach? Should the company promote the decision more boldly? Why or why not?


Lysol Disputes Claims of Cure

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During his press conference, President Trump questioned whether disinfectants could be used internally to fight the new coronavirus:

“I see the disinfectant that knocks it out in a minute, one minute. And is there a way we can do something like that by injection inside, or almost a cleaning? Because you see it gets inside the lungs and it does a tremendous number on the lungs, so it would be interesting to check that.”

The president later said, “I was asking a question sarcastically to reporters like you just to see what would happen.” But Lysol executives are concerned that people may take the idea seriously and try to treat themselves. Reckitt Benckiser, which makes Lysol products, issued a statement, “Improper Use of Disinfectants.”

Lysol image source.

Discussion:

  • Watch the president’s comment during the press conference. What’s your view of his speculation?

  • Analyze the Lysol maker’s response. What works well, and what could be improved? What is appropriate or inappropriate for a brand’s parent to dispute the president’s claim in this way?

CDC Guidelines to Airlines About COVID-19

The Centers for Disease Control issued recommendations to airlines and their crews to try to address COVID-19. The web page begins with the purpose:

“This document provides interim recommendations for the commercial airline industry about the Coronavirus Disease 2019 (COVID-19)  first identified in Wuhan, China. CDC reminds air carriers of the requirement under Title 42 Code of Federal Regulations (CFR) section 71.21 to report to CDC ill travelers  who have certain signs and symptoms during flight, and all deaths onboard,  before arrival in the United States. This document also contains recommendations for managing ill travelers onboard if COVID-19 infection is suspected.”

Next is a “Situation summary,” followed by guidelines for handling ill passengers aboard a flight and for cleaning a plane after a flight.

Other sections on the CDC website address “Reporting Death or Illness” and “Managing Ill Passengers/Crew.”

Discussion:

  • Who are the primary and secondary audiences for CDC’s website? What are the organization’s communication objectives during the COVID-19 outbreak?

  • Review the CDC website from the home page. How easy is it to find information? How clear is the information you do find? In summary, how well does the organization meet its communication objectives? What could be improved?

Disney Names New CEO

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After 14 years as CEO, Bob Iger will be replaced by Bob Chapek, who has led the company’s parks and resorts division. The Wall Street Journal reports that insiders didn’t see the change coming.

A press release states that Iger will stay on as executive chairman through 2021. The release includes the typical quotes from the exiting and incoming leaders, and both men are complimentary toward each other and the company. But this release also includes a rather lengthy quote from Susan Arnold, the lead director of the Disney Board. She begins by describing the board’s process:

“The Board has been actively engaged in succession planning for the past several years, and after consideration of internal and external candidates, we unanimously elected Bob Chapek as the next CEO of The Walt Disney Company. “

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Discussion:

  • Analyze the press release: audiences, communication objectives, organization, content, and writing style.

  • What are the main points you take away from reading the release?

  • Assess the quotes, particularly the ones from Arnold. Why do you think the company is emphasizing certain points?

Dupont Announces New Leadership

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Dupont has a new CEO, and he looks a lot like a former CEO. Ed Breen was previously appointed CEO in 2015 and was replaced about a year ago. He has been serving as chief executive and will now serve in both roles.

Breen describes the company’s position:

“While we made some progress in 2019, we did not meet our own expectations and we now need to move aggressively to secure our foundation for growth. We have solid businesses, but, as we discussed on our recent earnings call, we need to accelerate operational improvement and make sure we are taking appropriate action to deliver on our commitments for the year.”

In a press release, the company also names a new CFO, Lori Koch, who was previously the head of investor relations.

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Discussion:

  • Analyze the press release: audiences, organization, content, and so on. What business communication principles are followed, and how could the statement be improved?

  • Compare this release to other leadership change announcements. How does it differ? Consider the tone and quotations.


Starbucks' Sustainability Commitment

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Starbucks CEO Kevin Johnson published a statement of the company’s commitment to sustainability, outlining several new initiatives. Johnson explains the rationale for the commitment, what the company has already done, and what plans are in place for the future.

The message lists three “preliminary targets” for 2030:

  1. A 50% reduction in carbon emissions in our direct operations and supply chain.

  2. 50% of our water withdrawal for direct operations and coffee production will be conserved or replenished with a focus on communities and basins with high water risk. 

  3. A 50% reduction in waste sent to landfill from stores and manufacturing, driven by a broader shift toward a circular economy. To underscore this commitment, we are pleased to join Ellen MacArthur Foundation’s New Plastics Economy Global Commitment, setting ambitious circular targets for our packaging.

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Discussion:

  • Analyze the statement: the audience, communication objectives, organization, writing style, etc. What works well, and what could be improved? Why is “preliminary targets” italicized?

  • How well does the company meet its communication objectives with this message?

  • How, if at all, does this message change your perception of Starbucks?

Letter from WeWork Employees

As WeWork plans layoffs, employees are asking for input into what happens to them and their peers. Referring to themselves as WeWorkers Coalition, the employees wrote a letter to the management team.

To the We Company Management Team:

WeWork’s company values encourage us to be “entrepreneurial, inspired, authentic, tenacious, grateful and together.” Today, we are embracing these qualities wholeheartedly as we band together to ensure the well-being of our peers.

We come from many departments across the company: building maintenance, cleaning, community, design, product, engineering and more. We believe that in the upcoming weeks we have the unique opportunity to demonstrate our true values to the world. This is a company that has inspired many of us, challenged us, and has been a formative personal and professional experience for those of us who began our careers here. WeWork has been not just a workplace, but a source of friendships and inspiration along the way.

We also believe our product can have a lasting positive impact on the world. We want to improve workplace happiness for millions of office workers and support small and medium sized businesses in their entrepreneurial efforts. We have been proud to support these goals and dedicate our time and talent to achieve them. This has been our story so far.

Recently, however, we have watched as layers are peeled back one-by-one to reveal a different story. This story is one of deception, exclusion and selfishness playing out at the company’s highest levels. This is a story that reads as a negation of all our core values. But this story is not over.

Thousands of us will be laid off in the upcoming weeks. But we want our time here to have meant something. We don’t want to be defined by the scandals, the corruption, and the greed exhibited by the company’s leadership. We want to leave behind a legacy that represents the true character and intentions of WeWork employees.

In the immediate term, we want those being laid off to be provided fair and reasonable separation terms commensurate with their contributions, including severance pay, continuation of company-paid health insurance and compensation for lost equity. We are not the Adam Neumanns of this world — we are a diverse work force with rents to pay, households to support and children to raise. Neumann departed with a $1.7 billion severance package including a yearly $46 million “consulting fee” (higher than the total compensation of all but nine public C.E.O.s in the United States in 2018). We are not asking for this level of graft. We are asking to be treated with humanity and dignity so we can continue living life while searching to make a living elsewhere. In consideration of recent news, we will also need clarity around the contracts our cleaning staff will be required to sign in order to keep their jobs, which are being outsourced to a third party. Those of us who have visas through WeWork need assistance and adequate time to find a new employer to sponsor our respective visas.

In the medium term, employees need a seat at the table so the company can address a broader range of issues. We’ve seen what can happen when leadership makes decisions while employees have no voice. We will need to see more transparency and more accountability.

We also need the thousands who maintain our buildings and directly service members to receive full benefits and fair pay, rather than earning just above minimum wage.

We need allegations of sexual misconduct and harassment to be taken seriously, acted on immediately and resolved with transparency.

We need diversity and inclusion efforts to materialize into real actions, not just talking points at company meetings.

We need salary transparency so we can surface and address systemic inequalities.

We need an end to forced arbitration contracts, which strip employees of their right to pursue fair legal action against the company.

We need all of this, and more.

In the long term, we want the employees who remain at WeWork, and those who join in the future, to inherit something positive we left behind. We want them to never find themselves in this position again, and for that to happen, they need a voice.

With this letter we are introducing ourselves, the WeWorkers Coalition. We are taking full advantage of our legal right to establish this coalition, and in doing so, we hope to give the future employees of WeWork the voice we never had.

We want to work with you. Please join us in writing a better ending to this chapter of the WeWork story.

By this Thursday at 5:00 p.m. EST, we would like to receive confirmation of your receipt of this letter and an indication of your willingness to meet us.

The WeWorkers Coalition

@weworkersco • info@weworkersco.org • #weworkers-coalition

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Discussion:

  • What principles of business writing do the employees follow?

  • What persuasive strategies do they use in the letter? Find examples of logical argument, emotional appeal, and credibility.

  • What do you consider the strongest and weakest arguments?

  • What leadership character dimensions are illustrated in this situation?

Business Leaders Sign Letter to Top Officials

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Fifty CEOs and business school leaders signed a letter to President Trump and other top-ranking politicians urging action to allow for more international applications. The letter comes after a report by the Graduate Management Admissions Council showing declining applications.

Report conclusions follow:

[A]llowing top talent to study and work in the country of their choice helps create jobs, not take them. It offers insight into changing trends for historically talent-attracting and talent-supplying countries. Business school applications are a powerful metric—and forecast—of the success of individual economies in prioritizing talent and therefore leading innovation and growth. A survey of these latest metrics shows change in our midst—and for certain economies, warning signs for the future.

In their letter, the business leaders write that the U.S. is “needlessly capping our growth and can do better.” They urge U.S. politicians to allow more movement by taking the following action:

  • Removing “per-country” visa caps, modernizing our visa processing system, and reforming the H-1B visa program to make it possible for the most talented people to have a reasonable chance of gaining entry to the United States.

  • Creating a “heartland” visa that encourages immigration to the regions of the United States that could most use the vitality of these talented individuals.

Discussion:

  • Analyze the letter. Who are the primary and secondary audiences? What are the communication objectives? How do you assess the organization and writing style?

  • What persuasive communication strategies do the writers use? Which are most and least effective?

  • Analyze the report using the same questions.

  • How well does the infographic summarize the report conclusions? What could be improved?