Kant's Auto Repair Shop

Key Facts A division manager at a franchised but independently owned auto repair shop has been giving a month volume quota by the owner of the shop. For every month that the manager meets the quota, he will be rewarded with a bonus that amounts to 20% of his monthly salary $4,500 this is a great opportunity for the manager to make some extra cash since he has two daughters and has mortgage to pay. If the manager fails to meet the quota he will be asked to leave, and a new manager will be hired or he will be demoted to a lower position with a smaller salary and he will not get any bonuses. During the summer there wasn’t any problem meeting the quota since people would bring their cars for maintenance before leaving on their vacation,
Providing monthly quotas that must be achieved, and also the manager should be treated with more pressure since there is no cliental, he should put more effort on doing optional repairs to help the company grow. From Ross’s view, there are many duties a manager, and a company faces for example not everyone goes on vacation all time, it’s a seasonal thing now that mid fall has arrived its normal for business to go down. If the manager sells optional repairs he would forget about fidelity, and not be fully honest. He would not be fair, to the people who don’t have experience with
He will be making the same amount of money and he would be under less pressure than he was. In addition, now the manager knows what’s expected in this franchise. From Ross view, it also shows fidelity how the owner let his manager relocate and go to another shop that need his requirements, without firing him since the job market is very tight. The manager is also fulfilling his loyalty towards the franchise, even though problems occurred he still wants to continue with the