<p>I’m not sure if people will find this interesting on a national level, but it sure is the talk of the town around here! These people are not picketing for increased salary or benefits, but for their beloved CEO who was recently fired. </p>
<p><a href=“http://time.com/money/3024511/market-basket-ceo-demoulas-protest/”>http://time.com/money/3024511/market-basket-ceo-demoulas-protest/</a></p>
<p>Actually, it’s reassuring to know people still value what is good and right in the world and willing to stand behind their beliefs.</p>
<p>Yes gouf, it’s great! The local communities are supporting these employees in their efforts. Everyone I know loves to shop at these stores. They have quality products at the best prices around. Most of the prices are lower than Walmart, they treat their employes well with great benefits and the company still posts huge profits. In 2008 when the stock market crashed, the ousted CEO replaced $46 million lost in the employee profit-sharing plan with his own cash! </p>
<p>Good for them!! It’s nice seeing people stand up for what they believe is right. </p>
<p>This development is a breath of fresh air. </p>
<p>That is cool.</p>
<p>CEOs (and the rich in general) are demonized by most media outlets and the Left, but they have worked hard to be where they are and are tasked with the direction of a company. They have to deal with a great deal of stress, difficult decisions, etc. They are paid a lot, but that is at the discretion of company owners. We do still have the rights to property and the pursuit of happiness, right?</p>
<p>So it is refreshing to hear support for a winner.</p>
<p>It is an odd thing to watch unfold here. A bit of background is essential: Market Basket is one weird outfit driven by an amazing family fight. When the original parent Demoulas’ died, they left the company to Mike and George. George died and Mike then stole George’s family’s interests, something that was reversed in a massive lawsuit that’s the subject of books. The family still fights it out. And everyone seems to be named Arthur so you have to keep straight Arthur S. versus Arthur T. and so on. </p>
<p>The ousted regime - ousted by a switched family vote - had built the company into a ridiculously profitable machine that maintains low prices and very high service levels, like on the order of Wegmans. Walk into most markets and you see no employees and no one talks to you. In Market Basket, you find people everywhere and they offer to help you. Another example, as markets were reducing their fish departments - even reducing them to pre-packaged - they doubled theirs and more than doubled revenue and profits from them. They are most people’s go to source for lobster in the summer, with lines often forming. (Typically the price drops to $4/lb or less.) </p>
<p>The family group that took over fired everyone running the chain. There are a few financial reasons: they want less investment in new stores (and managed to delay opening 3) and more money distributed to family (see the first). The employees aren’t entirely interested in the fired management; they know the new goal is reduce headcount, trim benefits, etc. to make more money available for the family. Most people around here think they would be killing the golden goose but it’s their company.</p>
<p>People drive up to 45 minutes to shop at the Market Basket. Greed is going to kill the goose that lays the golden eggs.</p>
<p>At our local Market Basket, all registers are always open, every register has a bagger. Deli prices are outrageously cheap compared to other chains. I will cry if this chain goes under due to greed and stupidity. According to one store manager, his store has gone from $200,000+ of sales per day to less than 10K.</p>
<p>prezbucky, maybe you should read more about this. The “new” management are behaving exactly like the CEOs everyone hates: maximizing personal income at the expense of the workers and the health of the company itself. The former CEO, like the CEO of Costco, created something great by NOT being a cheap, greedy ■■■■■■■ who cared only about draining $$ from the operation. He ran the company in a humane manner, not a greed is good manner.</p>
<p>Consolation, I was going to type up a similar response with a reference to Jim Sinegal, too! 
Yeah… The media is not that stupid - they do not paint every CEO with the same broad brush, but a few Kozlowskis that get tarred and feathered by the media truly deserve it!</p>
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<p>My local Market Basket was deserted today. It felt like shopping at Shaws with just a couple of people wandering around. Shelves were stripped. No produce. No seafood. No bakery. No deli. Very limited meat. All the employees were outside with big signs urging people to boycott.</p>
<p>I hope they get back up and running soon. This is a complete and total disruption of the food supply chain here. The other stores are used to stocking for the usual two or three customers at a time they typically see. There shelves are empty, too. It’s breathtakng how much volume Market Basket does.</p>
<p>Loved that line “felt like shopping at Shaws” … so true. </p>
<p>The news is revealing old news as though it were new, that the family in control - they have an extra .5% or so - is looking to mortgage assets, sell off real estate assets and maybe look for a sale. The other side, the fired side, is now trying to buy them out. I would normally say no chance because this family defines dysfunction - to the tune of $1B plus - but the employee/customer reaction may make them see sense and get out before the assets they have diminish in value.</p>
<p>Just heard a report that the ousted CEO is trying to buy the company from his opposing relatives.
<a href=“Arthur T. Demoulas makes offer to buy Market Basket - The Boston Globe”>Arthur T. Demoulas makes offer to buy Market Basket - The Boston Globe;
<p>This family reminds me of a soap opera. </p>
<p>That being said–I like Market Basket. Great prices, huge selection–I go there rather than BJs because the prices are just as good and I don’t have to buy 500 rolls of toilet paper to get the cheaper price.</p>
<p>When union leaders want to disrupt their regular activities, they issue a call for … action. Speaks volumes! </p>
<p>Family business usually run into trouble as ownership becomes disbursed among those who work at the business and those who simply own it. The owners/nonworkers often see the owner/managers as paying themselves too much, featherbedding themselves and employees, and failing to deliver dividends or growth to the owners. The worker-manager/owners see the outside owners as leeches who don’t understand what it takes to run and preserve and grow a business.</p>
<p>This happens a lot. Jobs apparently didn’t like it that Wozniak still had his ownership of the stock after he stopped working at Apple.</p>
<p>I haven’t read up on the details of this grocery store issue. In this case it sounds like both factions work(ed) there but disagree on how to run things. </p>
<p>Business feuds are interesting. Tom Watson came to IBM in the depression after being fired from the presidency of NCR by it original founder. IBM was an “assembled company” cobbled together by some investors who bought some business machine companies and needed someone to run it. </p>
<p>Lee Iacocca was fired by Henry Ford (II?) over some kind of dispute about what Ford should be doing, and he wound up being a god-send for Chrysler. </p>
<p>This whole ordeal makes me realize how lucky we are to have not just one, but two Market Basket stores in my town. My only other local option is Shaw’s or a Hannaford’ near my work. I don’t like the prices at either of those. Earlier this week I bought produce at a farm stand (I would have done this anyways), meat at a butcher shop and dry goods at Target. Shopping the old-fashioned way! </p>
<p>I’ve never heard of Market Basket. Sounds like a great grocery store, pre-Family Feud.</p>
<p>The best thought in the time.com piece is mentioning how the present board is tone deaf regarding how this is playing out in the court of public opinion. They totally look like stereotypical greedy corporate exec’s and have no clue on how bad they look.</p>
<p>Honestly, if my son weren’t home for the summer, I’d probably have starved by now . . . but with him here, I’ve stocked up and the freezer’s full. And luckily we have options - Shaw’s is a bit further down the road, and there’s a wonderful little independent grocer in the next town over, complete with butcher, but there’s no question that my food bill is going to go up, a lot! (Pastrami, for example - $6.99 at Market Basket; $8.99 at Shaw’s!)</p>
<p>Don’t mind paying more for a couple of weeks, though (or even longer), if it will help send a message to the new management. It’s an ugly situation, and they’ve threatened to fire all the striking employees . . . so the strike needs all the customer support it can get!</p>
<p>A few years ago Market Basket was a “dirt floor” grocery. Not literally, but old, tired looking stores while the others were going fancy upscale. Then, Market Basket started replacing their old stores with fancy new superstores, often in the same shopping centers. I don’t know how Shaw’s and Hannaford stay in business. If they were smart, they’d slash their prices this week and try to convert some of Market Basket’s customers. Instead, being forced to shop there just reinforces Market Basket.</p>
<p>Across the board 25% to 30% cheaper and a bigger selection.</p>