ADMS 1010 Chapter Notes -Stainless Steel, United Steelworkers, Vale Limited
7 Apr 2014
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Case 8: the end of monopoly: a new world at inco. 1972, headquarters was located in ny; edward grubb wanted to fix inco from its downward performance. Grubb worked at inco u. k. managing its subsidiary of inco; wasn"t reluctant to fire people. Before grubb"s arrival, henry wingate held the top position as ceo at inco since 1960. Wingate was retiring and choose albert gagnebin as his successor, but the board named. Grubb to succeed henry wingate; grubb received the title of ceo. 1969: poor labour relations exacerbating the country"s other troubles: difficult contract negotiations with the united steelworkers of america ended up striking for 4 months (17000 people) before new agreement was signed. 1971: sales dropped 25% and profits were more than halved: shares on the dow jones were changing and inco was becoming less of a blue chip company. Inco had suffered more than its competition, accounting for 80% of the industry"s decline while smaller competitors (falconbridge) fared better.
