Starbright Jewelers Harvard Case Solution & Analysis

Starbright Jewelers once operated with the joint operation of Roger Cosgrove and Michael Libretti, but after a few years because of changing economic conditions both of them decided to dissolve their joint operation. Later on, Cosgrove started his own business venture, Silver Shine.

Jennifer Johnson who worked in Starbright, for both partners before the dissolution was appointed at Cosgrove’s request. However, now she is following Cosgrove in Silver Shine and is simultaneously working part time for Libretti on Saturdays.

Libretti and Cosgrove often have get-togethers and it was one of these get-togethers at Libretti’s office, in April 2011, which led to the knowing of Cosgrove about the dilemma that occurred in Starbright with Libretti when Johnson had left her part time job in 2010.

As a replacement of Johnson Libretti took charge; she disclosed that Johnson, during her job stole about $120,000 from Starbright during her tenure of 2004 to 2010. Although Jennifer was a part of Silver Shine with Cosgrove, however, this had created a huge question for Cosgrove to find a solution for Jennifer. Nonetheless, Libretti also asked Cosgrove what actions he would take against this thief.

Now the time had arrived that Cosgrove had to take decision which could fulfill the expectations of many people who had an interest in that decision. He wanted to keep it confidential about the presence of a thief in his company in order to retain the reputation in the eye of its stakeholders. Although, this exposure could hurt his family’s well-being, however, Cosgrove also ensured that whatever the measure he takes should also be in support of his friend, Libretti.

Without investigation, Cosgrove did not want to take measures to tackle this issue; he took advices from multiple sources so that he could lead to a more appropriate decision. However, he was still bound in confusion about the direction to pursue that could be in the favor of each stakeholder.

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