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3.1 Out of Crisis: Innovations in the 1980s and Beyond

Can you imagine workers protesting to support their CEO? In this video, Zeynep Ton examines the case of Market Basket, which relied on “high road” business practices.

Video: Market Basket Case with Zeynep Ton

Attentiveness Question

Which of the following is not a key lesson from the Market Basket case?

Exercise 1

 Producers of low-cost goods and services need to rely on lean staffing in order to keep profits up. 

 Even in a low cost setting it is not only possible but also profitable to create a business model that creates value for customers, employees, and investors at the same time. 

Explanation

The Market Basket case shows that by having higher staffing levels than other low-cost supermarkets, workers can complete their jobs without errors while also spending more time addressing customer needs.

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