- 6 - position. He was hired to help SCC diversify into consumer electronics. Within 2 years, SCC had established a separate consumer electronics division, with Herold as vice president. This was the division that was eventually spun off with Herold first as co-owner and eventually sole owner and that is the petitioner in this action. Herold is a workaholic, sometimes working 60-70 hours a week. At one point, his workaholism contributed to a marital breakup. He is also a micromanager, involved in all aspects of the company's operations. For example, he personally interviews every new employee and determines and distributes each employee's annual bonus. He is responsible for every business plan at the company. He personally reviews every major sale, does the sales forecasting and sales reporting, and has designed petitioner's sales report. The success of petitioner's business derives almost entirely from its relationships with manufacturers and customers. Herold is deeply involved in each of these essential relationships. Petitioner occupies a unique niche in the industry in terms of size. Most of its competitors are either much smaller or much larger in terms of sales volume. The smaller firms tend to have annual sales ranging from $5 to $15 million, and sales of the industry giants are in the billions of dollars. Petitioner's sales were $35 to $45 million during the subject years. To help petitioner thrive in this environment, Herold devised a strategy of identifying and aggressively pursuing large customers thatPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011