Pricing Strategy - Case Study

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Follow Up, Contingency Plans

The acceptance of the offer is the initial litmus test for gauging the success of this entire exercise. On-going engagement and level of job and life satisfaction for Jane will be the on-going gauge of success. This latter follow-up plan will be implemented in a variety of formal and informal ways, via close a working relationship during the course of the next two years, and via formal performance reviews, where part of the exercise will be asking for formal feedback on how Jane is doing in her work, how satisfied she is with the working conditions and the pay, and what she thinks are areas that can be improved with regard to those (House and Wigdor, n.d.; Wahba and Bridwell, 1976).

The contingency plan consists of finding other suitable candidates and undertaking this whole exercise again, should Jane either refuse the offer, or once on board, decides to look for other work. The immediate contingency plan is to consider making a suitable offer to Betts Cook, as a backup (House and Wigdor, n.d.; Wahba and Bridwell, 1976).

Offer Letter

Dear Jane,

It is with great pleasure that I am making a formal offer for you to take on the manager role at the north side branch of Clean Car Care. I am heartened by the enthusiasm that you have expressed for the job, and I believe that you will be a great asset to the company. I hope we can work together for a very long time, and that you will find happiness, challenge and fulfillment in this manager role.

You position is a full-time, salaried position. The salary offered includes a base pay that puts a ten percent premium on your present salary. Your starting annual salary would be $34,650, with annual merit increases earned based on job performance. Benefits will include complete health insurance, and two weeks vacation for the next four years, going up to three weeks for the years following that. Aside from this, I am pleased to offer you maximum flexibility in scheduling your time at work, so that we will be able to minimize work on the weekends. If you decide to accept this job offer, 3Cs would be happy to assist you in the relocation process by providing $1,500 for house/apartment hunting services and $5,000 for normal and reasonable moving expenses.

3Cs is an employment-at-will employer, which means that we, or you, may terminate our employment relationship at any time, for any reason.

If you wish to accept this offer, please sign and date this letter and return it to me within the next 3 business days. If you have any questions regarding this offer, please do not hesitate to contact me. We look forward to your acceptance of the offer and working with you in the future.

Sincerely,

Arlan Autospritz

President of Clean Car Care

I accept the employment, and its terms, contained in this letter.

Signed ______________________ Date _________________

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References

Boswell, W. et al. (2009). Changes in Newcomer Job Satisfaction Over Time: Examining the Pattern of Honeymoons and Hangovers. Journal of Applied Psychology 94 (4). Retrieved from http://psytopaca.asso-web.com/uploaded/boswell-et-al-jap-2009-changes-in-newcomer-job-satisfaction-over-time.pdf

Cook, J. and Wall, T. (1980). New work attitude measures of trust, organizational commitment and personal need non-fulfillment. Journal of Occupational Psychology 53. Retrieved from http://www.jwalkonline.org/docs/Grad%20Classes/Survey/articles/psyclimate/noted/org%20comm%20scale.pdf

House, R. and Wigdor, L. (n.d.). Herzberg’s Dual-Factor Theory of Job Satisfaction and Motivation: A Review of the Evidence and a Criticism. Bernard M. Baruch School of Business and Public Administration. Retrieved from http://iptde.boisestate.edu/filedepository.nsf/bf25ab0f47ba5dd785256499006b15a4/a5e37417e7845b368725777300421b1a/$file/house%20wigdor.pdf

Judge, T. and Heneman, H. (2015). Chapter 12: Case Study Clean Car Care. Staffing Organizations 8th Edition

Wahba, M. and Bridwell, L. (1976). Maslow Reconsidered: A Review of Research on the Need Hierarchy Theory. Organizational Behavior and Human Performance 15. Retrieved from http://larrybridwell.com/Maslo.pdf