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Ernesto Poza
Gupta Garments and Amit’s First 100 Days
Teaching Note
Case Summary
This case captures the predictable tension between the generations of a family in business. The incumbent genera–
tion knows the secrets to the business’ current success; the next generation joins the business with its own vision
of what the future holds and the opportunities that changes in the marketplace, technology, supply chains, and
Suggestions for Use
This case is ideal for use with MBA students taking entrepreneurship and family business courses. While recent
graduates may enjoy a knowledge advantage regarding best practices in management and governance of a family
Suggested Discussion Questions
The following questions are general in nature, and are aimed at helping students focus on the case issues and
prepare for class discussion. Some questions may be assigned as short essays in advance of class and used to open
discussion.
1. Pre-class Preparation Questions (assign as short essays)
• AmitplanstoreturntoworkinthefamilybusinessimmediatelyaftergraduatingfromhisMBAprogram.
What alternatives, if any, would you suggest he consider, and why?
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2. Class Organization
20 minutes—introduction to the case, the students discuss their case prep essays
The following questions are designed to focus the class discussion on key learning outcomes.
1. What should Amit do first upon returning to Gupta Garments?
ItisevidentfromthecasethatGuptaGarmentsisasuccessfullyrunfamilybusinesswithalongtraditionof
quality. It has been managed and run by its founders, Anil and Ajay Namally, with a lot of passion and drive.
2. What should Amit be careful not to do?
As the first MBA in his family business, Amit returns with advanced knowledge and broad global vision,
which can help him contribute to the company. But this knowledge and education can also give rise to
3. What relationships should Amit develop further, and whose support should he enlist?
Anil is expected to be active for another five years in the family business, and Amit is now working directly
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4. What is Amit’s power base for bringing about the change that will allow Gupta Garments to benefit from
the opportunities seen, and what is likely to be his biggest source of influence going forward?
First, Amit should gain support from Anil to bring about any needed changes. Having a company leader
champion the changes can largely reduce the internal barriers and doubts. And besides being chairman and
5. How can Amit improve his overall chances of success in bringing about the needed changes?
AlthoughAmitplannedtohelpGuptabecomeoneofthetopvenationalplayers,hemightbebetteroff
6. What approaches or family business best practices should be implemented in the interest of continued
success across generations at Gupta Garments?
First, in order to maintain and improve relationships and promote clear communication of business ideas
among family members, Amit could suggest setting up a formal family council and organizing routine
Third,begintodevelopasuccessionplan.AbigreasonforGupta’ssuccessisthefactthat,evenasafourth
generation family business, it is being run as an entrepreneurial firm that exploits the advantage of speed
and agility. It is essential that the company retain this characteristic as it is passed on to the next generation.
Although Anil is expected to remain active in the business for another 5 years, there is no clear succession
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Concluding Comments
Amit’s superior international business understanding and experience as well as his strong global network of per-
sonalrelationshipsareatremendousassetinGuptaGarment’sfuturedomesticandglobalexpansion.Perhapsas
a result of Amit’s newly acquired family business knowledge while in business school, some family business best