CASE SOLUTION FOR TEENA LERNER: DIVIDING THE PIE AT RX CAPITAL (A)

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Complete Case details are given below :

Case Name :      Teena Lerner: Dividing the Pie at Rx Capital (A)
Authors :           Boris Groysberg, Victoria W. Winston, Robin Abrahams
Discipline :        Organizational Behavior
Case Length :    25 pages
Solution sample availability : YES
Plagiarism : NO (100% Original work)

Description for case is given below :
Teena Lerner started her own hedge fund firm in 2001 after nearly 20 years as a star biotechnology analyst and hedge fund manager. After the start-up phase, her firm became highly profitable. In 2004, however, one of her four analysts lost a lot of money for the firm. If Lerner followed the existing compensation system, she would wind up significantly underpaying her other analysts, all of whom had performed well. Should she follow the compensation system or not? And what should be done about the underperforming analyst?

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