Eliot Spitzer: Pushing Wall Street to Reform

Eliot Spitzer: Pushing Wall Street to Reform Description

New York State Attorney General Eliot Spitzer faced a decision about how to stop wrongdoing committed by major Wall Street firms during the Internet boom. The equities analysts of Merrill Lynch and other Wall Street firms were charged with objectively advising retail investors whether to buy or sell publicly traded stock. The analysts had rated some stock a strong buy, while at the same time disparaging it in Internet emails as "a piece of junk" or a "powder keg." Spitzer concluded that the analysts sometimes issued such buy ratings on stock of companies because of a conflict of interest: the Wall Street firms the analysts worked for were making handsome fees for underwriting the companies' stock offerings and providing other services. The usual procedure when an enforcement agency such as the Federal Securities and Exchange Commission (SEC) discovered such a situation would be to complete its investigation and negotiate a resolution privately with the financial firm. If it could not resolve the matter, the agency would formally file suit against the firm in court. This option was open to Spitzer, but the 1921 New York statue gave him an alternative. Even before filing suit in court--and while continuing to investigate the firm further--he could broadcast his findings to warn the public and brand the firm with wrongdoing. This case investigates the decision Spitzer made, and its long-term implications for U.S. financial regulation and financial industries.

Case Description Eliot Spitzer: Pushing Wall Street to Reform

Strategic Managment Tools Used in Case Study Analysis of Eliot Spitzer: Pushing Wall Street to Reform

STEP 1. Problem Identification in Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 2. External Environment Analysis - PESTEL / PEST / STEP Analysis of Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 3. Industry Specific / Porter Five Forces Analysis of Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 4. Evaluating Alternatives / SWOT Analysis of Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 5. Porter Value Chain Analysis / VRIO / VRIN Analysis Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 6. Recommendations Eliot Spitzer: Pushing Wall Street to Reform case study

STEP 7. Basis of Recommendations for Eliot Spitzer: Pushing Wall Street to Reform case study

Case Analysis of Eliot Spitzer: Pushing Wall Street to Reform

Eliot Spitzer: Pushing Wall Street to Reform is a Harvard Business (HBR) Case Study on Leadership & Managing People , Texas Business School provides HBR case study assignment help for just $9. Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. Eliot Spitzer: Pushing Wall Street to Reform is designed and drafted in a manner to allow the HBR case study reader to analyze a real-world problem by putting reader into the position of the decision maker. Eliot Spitzer: Pushing Wall Street to Reform case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. Eliot Spitzer: Pushing Wall Street to Reform will also provide insight into areas such as – wordlist , strategy, leadership, sales and marketing, and negotiations.

Case Study Solutions Background Work

Eliot Spitzer: Pushing Wall Street to Reform case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The challenges involve – evaluation of strategic options, key role of Leadership & Managing People, leadership qualities of the protagonist, and dynamics of the external environment. The challenge in front of the protagonist, of Eliot Spitzer: Pushing Wall Street to Reform, is to not only build a competitive position of the organization but also to sustain it over a period of time.

Strategic Management Tools Used in Case Study Solution

The Eliot Spitzer: Pushing Wall Street to Reform case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

Texas Business School Approach to Leadership & Managing People Solutions

In the Texas Business School, Eliot Spitzer: Pushing Wall Street to Reform case study solution – following strategic tools are used - SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

We have additionally used the concept of supply chain management and leadership framework to build a comprehensive case study solution for the case – Eliot Spitzer: Pushing Wall Street to Reform

Step 1 – Problem Identification of Eliot Spitzer: Pushing Wall Street to Reform - Harvard Business School Case Study

The first step to solve HBR Eliot Spitzer: Pushing Wall Street to Reform case study solution is to identify the problem present in the case. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Spitzer Wall is facing right now. Even though the problem statement is essentially – “Leadership & Managing People” challenge but it has impacted by others factors such as communication in the organization, uncertainty in the external environment, leadership in Spitzer Wall, style of leadership and organization structure, marketing and sales, organizational behavior, strategy, internal politics, stakeholders priorities and more.

Step 2 – External Environment Analysis

Texas Business School approach of case study analysis – Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the Eliot Spitzer: Pushing Wall Street to Reform.

The external environment analysis of Eliot Spitzer: Pushing Wall Street to Reform will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm.

What is PESTEL Analysis? Briefly Explained

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Eliot Spitzer: Pushing Wall Street to Reform case study. PESTEL analysis of " Eliot Spitzer: Pushing Wall Street to Reform" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

How to do PESTEL / PEST / STEP Analysis? What are the components of PESTEL Analysis?

As mentioned above PESTEL Analysis has six elements – political, economic, social, technological, environmental, and legal. All the six elements are explained in context with Eliot Spitzer: Pushing Wall Street to Reform macro-environment and how it impacts the businesses of the firm.

How to do PESTEL Analysis for Eliot Spitzer: Pushing Wall Street to Reform

To do comprehensive PESTEL analysis of case study – Eliot Spitzer: Pushing Wall Street to Reform , we have researched numerous components under the six factors of PESTEL analysis.

Political Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Political factors impact seven key decision making areas – economic environment, socio-cultural environment, rate of innovation & investment in research & development, environmental laws, legal requirements, and acceptance of new technologies.

Policy Making Impact on Eliot Spitzer: Pushing Wall Street to Reform

Government policies have significant impact on the business environment of any country. The firm in “ Eliot Spitzer: Pushing Wall Street to Reform ” needs to navigate these policy decisions to create either an edge for itself or reduce the negative impact of the policy as far as possible.

Data safety laws – The countries in which Spitzer Wall is operating, firms are required to store customer data within the premises of the country. Spitzer Wall needs to restructure its IT policies to accommodate these changes. In the EU countries, firms are required to make special provision for privacy issues and other laws.

Competition Regulations – Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. Eliot Spitzer: Pushing Wall Street to Reform has numerous instances where the competition regulations aspects can be scrutinized.

Import restrictions on products – Before entering the new market, Spitzer Wall in case study Eliot Spitzer: Pushing Wall Street to Reform" should look into the import restrictions that may be present in the prospective market.

Export restrictions on products – Apart from direct product export restrictions in field of technology and agriculture, a number of countries also have capital controls. Spitzer Wall in case study “ Eliot Spitzer: Pushing Wall Street to Reform ” should look into these export restrictions policies.

Foreign Direct Investment Policies – Government policies favors local companies over international policies, Spitzer Wall in case study “ Eliot Spitzer: Pushing Wall Street to Reform ” should understand in minute details regarding the Foreign Direct Investment policies of the prospective market.

Taxation & Regulation Impact on Eliot Spitzer: Pushing Wall Street to Reform

Corporate Taxes – The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Corporate taxation can be divided into two categories – taxes on profits and taxes on operations. Taxes on profits number is important for companies that already have a sustainable business model, while taxes on operations is far more significant for companies that are looking to set up new plants or operations.

Tariffs – Chekout how much tariffs the firm needs to pay in the “ Eliot Spitzer: Pushing Wall Street to Reform ” case study. The level of tariffs will determine the viability of the business model that the firm is contemplating. If the tariffs are high then it will be extremely difficult to compete with the local competitors. But if the tariffs are between 5-10% then Spitzer Wall can compete against other competitors.

Government Scheme & Subsidies Impact on Eliot Spitzer: Pushing Wall Street to Reform

Research and Development Subsidies and Policies – Governments often provide tax breaks and other incentives for companies to innovate in various sectors of priority. Managers at Eliot Spitzer: Pushing Wall Street to Reform case study have to assess whether their business can benefit from such government assistance and subsidies.

Consumer protection – Different countries have different consumer protection laws. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them.

Political System & Stability, and its Impact on Eliot Spitzer: Pushing Wall Street to Reform

Political System and Its Implications – Different political systems have different approach to free market and entrepreneurship. Managers need to assess these factors even before entering the market.

Freedom of Press is critical for fair trade and transparency. Countries where freedom of press is not prevalent there are high chances of both political and commercial corruption.

Corruption level – Spitzer Wall needs to assess the level of corruptions both at the official level and at the market level, even before entering a new market. To tackle the menace of corruption – a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm.

Independence of judiciary – It is critical for fair business practices. If a country doesn’t have independent judiciary then there is no point entry into such a country for business.

Government attitude towards trade unions – Different political systems and government have different attitude towards trade unions and collective bargaining. The firm needs to assess – its comfort dealing with the unions and regulations regarding unions in a given market or industry. If both are on the same page then it makes sense to enter, otherwise it doesn’t.

Economic Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Social Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Technological Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Environmental Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Legal Factors that Impact Eliot Spitzer: Pushing Wall Street to Reform

Step 3 – Industry Specific Analysis

What is Porter Five Forces Analysis

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Eliot Spitzer: Pushing Wall Street to Reform case study. PESTEL analysis of " Eliot Spitzer: Pushing Wall Street to Reform" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

Step 4 – SWOT Analysis / Internal Environment Analysis

Step 5 – Porter Value Chain / VRIO / VRIN Analysis

Step 6 – Evaluating Alternatives & Recommendations

Step 7 – Basis for Recommendations

References :: Eliot Spitzer: Pushing Wall Street to Reform case study solution