II) An analysis of key stakeholders in this scenario Family Fabrics Corporation is a company that has developed an outstanding fabric for cold weather gear. The product was proven to be very successful and the demand was sky high. This was the high point in the history of the Family Fabrics. In fact, it was the pillar of the local economy in Farnsworth, Massachusetts. The Family Fabrics had two-thousand employees, which were all from Farnsworth. The employees made up 10% of the town’s population. The family business was the largest and most successful company in the region and maintained excellent relationships with bankers and lenders. The family legacy goes back to the founding of the town in colonial times. Farnsworth family members have …show more content…
Employers and managers lost their jobs, which were about 10% of Farnsworth population. Customers were negatively affected because they could no longer purchase the popular Artic Cloth product. The company was also faced with negative numbers because without a company they were not selling or gaining any profits. In fact, they were still covering payroll while they were out of business. The town, its people, and town council were also put in a negative position. The Family Fabrics Corporation drove the town’s economy and this was a disaster to its economy. The company fire also had a negative impact on the company finance. In previous years, they had to be bailed out by a bank. Now with the company burnt down, they will struggle to pay back loans and the company will need to loan out more money for a new company building. Suppliers were notified of the disaster, but it was not pleasant news. Family Fabrics lost their excellent relationship with their suppliers and the previous bundle deals would no longer be available to the company. The suppliers were hit hard by the fire and no longer did Family Fabrics Corporation have power over suppliers or their prices. Insurance rates will also sky rocket for Family Fabrics. The fire will be in their insurance history for as long as they exist. The fire incident will always have a negative impact on future insurance rates because of the risk associated with the