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Family Business Governance by Keanon J. Alderson

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Case Studies

Case Study One
The Sibling Power Struggle

Otto Cresmer founded the Cresmer Manufacturing Company (CMC) in 1955 upon his immigration to the United States following World War II. He was an engineer in his home country of Switzerland. He and his wife, Katarina, started CMC. CMC designed radio tubes and eventually television tubes for the expanding postwar markets.

Over the years the company had to endure the loss of market share as new technologies were developed such as the transistor and the silicon chip, which rendered the company products obsolete. However, Otto’s core competency was in product design, and he continued to create new products that met the needs of newly developing and growing markets. The company is now the world’s ...

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