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You are aware that Allied Industries recently acquired the medical supplies business of Blue Cross. Dr. Ganguly, founder and president of the company, has agreed to retire, and in line with our earlier discussion, I’m appointing you to replace him. At the outset, however, I want to warn you that Blue Cross has a history of mismanagement. As a distributor of medical items, its sales last year totaled approximately Rs. 30 crores, with net earnings of only Rs. 1.2 crores. Your job is to make sales and profits compatible with Allied standards. You are reminded that it is my policy to call for an independent evaluation of company progress and your performance as president after 18 months.
He was wondering what to say to him—and how. Do you have any suggestions for Puri?
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