1Adam Smith’s children
Adam Smith’s children should venture into the fashion and design industry. This industry has a strong basis as their father’s music industry as his music is still in the people’s hearts. For instance, the three children can design concerts only in remembrance of their father’s concert. In mind that we are in a technological world, they can design t-shirts with their father’s name on them. By doing this, his legacy will still be remembered. Fashion and design can set a production industry in a unique and better way to help protect their father’s copyrights. Moreover, the three children can either decide to brand things such as mugs with the favorite instrument that their father was playing and then sell them to their father’s funs. What will determine most is how they will design the place and make it unique from others. I recommend this type of industry as we are in the 21st century, and their father was in the art industry. Since their father was a renowned singer and wanted to participate in the show and promotion business, fashion will be essential as it can be used in theater and cinema halls when people are performing.
2)
There are various merits and demerits that Adam Smith might face in running the business.
- A) The business could be used as a source of income as people could come, for instance, to be trained on the various lesson they pay. They could also earn through your tubing as well as live performances. It’s also good for them to decide on the profit and loss sharing ratios.
- B) A strong commitment is built. To determine the business’s success, they must put some extra hours as well as devotion in running the business. Adam smith’s children must also build trust among themselves and a high level of accountability to ensure no wrangles.
- C) Builds some common values. This positions the business to a competitive edge, thus building some sense of pride and strength. They must come to a consensus when they have different ideas
Despite having some merits in running the business, there are some demerits which include;
1) Conflict. There arise several conflicts in the business, and if they are not amicably solved, they might lead to the business’s downfall. Therefore the three children must come up with ways on how they will resolve conflict among themselves.
2) Employing unqualified personnel. For instance, not all three children were interested in music; some could be doing it since their father’s will. This results in poor management, thus leading to the downfall of the business.
3) Their business was a partnership of the three children and not a sole proprietorship. Since it’s a partnership, the three share their roles equally, and each person will be responsible for his own. They will agree on the profit and loss sharing ratios, unlike a sole proprietor who enjoys profits and losses alone. They will register it under the partnership act, where they will include the minor who is below the age of eighteen years.
4
Although Adam worked hard to become a renowned singer before his death and wrote a will of how his children could promote, the business could have met several obstacles which hindered it from becoming successful. One of the major challenges they will face is a lack of adequate finances. This will be a great hindrance in fashion and design. They also require the capital to start the business. They may also face stiff competition when with their competitors in the same industry this may be a hindrance to their growth. You may also find out that his father’s fun had shifted, and they did not want to recognize the children; it might be hard to convince them back.
5)
To ensure the smooth and effective running of the business, the three partners can share their roles. Lizzy Smith, who is the oldest of all, can manage the business and thereby take a manager’s role. He will give instructions to the rest of the employees to ensure it runs smoothly. Elton smith can take up the role of a financial officer, which is a very crucial department. He must practice trust and keep all financial records in a good and proper manner. Chris Smith, a minor partner, can take up marketing the business to attract more customers. He can market the designed products through social media platforms, even advertising them through the media. This can still be done through organizing roadshows.