,MNE3704 Assignment 2 (COMPLETE ANSWERS) Semester 2
2025 – DUE September 2025;100% trusted ,comprehensive and
complete reliable solution with clear explanation
QUESTION 1
Read the following case study and answer the questions that follow:
Case study: Five Sisters and Two Executors
Stuart Campbell was a self-made Australian billionaire. Most of his
wealth was tied up in one of the country’s largest mines, but he was also
partial owner of a film production company in the UK, a tech start-up in
Silicon Valley, and a number of smaller companies around the world.
Stuart was not much for governance, organization structure, or formal
systems.
Stuart was married and had five daughters. The first two, in their late
30s, had worked in their father’s businesses in administrative roles and
had left the firm when they got married and had children. The other
three daughters were all single. The third daughter was a successful op-
ed writer on political issues who published under a pseudonym in order
to protect the family name, and the two youngest were finishing college.
Stuart’s two oldest daughters and their families lived separately but the
Campbell clan met regularly and enjoyed being together on holidays.
Everything changed when Stuart died suddenly in a car accident in 2013.
Stuart had left a simple irrevocable trust, with only one directive: his
estate was to be divided equally among his five daughters, who were to
work out an Australian Shareholders Agreement (ASA) in order to
access their inheritance.
, Six months before Stuart died, he had held the family’s first succession
planning meeting. It did not lead to any results or actions. Stuart had left
no plan for transition or succession, and the beneficiaries found
themselves unprepared to take over Stuart’s huge mining business and
other investments around the world.
The five sisters spanned a range of life stages, interests, ambitions,
experience, and knowledge of the business. They had a very tough time
in the first couple of years, a period they described as “super stressful
and very emotional” because of both external pressures and internal
challenges.
The Two Executors
Stuart had appointed two outside executors for his estate. The two told
the sisters that Stuart had asked them to help his five daughters “run his
businesses after he died because they didn’t know how to run a business
or speak the language of business.” The five sisters, the sole
beneficiaries of Stuart’s vast wealth, felt they had no control over their
father’s estate. They couldn’t make any decision without the executors’
approval, nor could they remove the executors because they had no
power to do so. Their mother was of no help because she told them they
needed to listen to the executors if the business was going to survive.
The sisters felt that the two executors had created lifetime jobs for
themselves: they were paying themselves large salaries and had
entrenched themselves in their positions. It didn’t look like they had
plans to leave any time soon.
The five sisters knew they didn’t have the tools, knowledge, or
experience to manage the businesses on their own, so they hired experts
and advisors to help them develop governance structures, leadership
skills, and strategy for the family. They decided that they would become
the only directors of the board of the family’s business empire and
appointed the oldest as CEO and the next oldest as COO. They worked
out an agreement with the executors and paid them a substantial amount
of money to leave.
2025 – DUE September 2025;100% trusted ,comprehensive and
complete reliable solution with clear explanation
QUESTION 1
Read the following case study and answer the questions that follow:
Case study: Five Sisters and Two Executors
Stuart Campbell was a self-made Australian billionaire. Most of his
wealth was tied up in one of the country’s largest mines, but he was also
partial owner of a film production company in the UK, a tech start-up in
Silicon Valley, and a number of smaller companies around the world.
Stuart was not much for governance, organization structure, or formal
systems.
Stuart was married and had five daughters. The first two, in their late
30s, had worked in their father’s businesses in administrative roles and
had left the firm when they got married and had children. The other
three daughters were all single. The third daughter was a successful op-
ed writer on political issues who published under a pseudonym in order
to protect the family name, and the two youngest were finishing college.
Stuart’s two oldest daughters and their families lived separately but the
Campbell clan met regularly and enjoyed being together on holidays.
Everything changed when Stuart died suddenly in a car accident in 2013.
Stuart had left a simple irrevocable trust, with only one directive: his
estate was to be divided equally among his five daughters, who were to
work out an Australian Shareholders Agreement (ASA) in order to
access their inheritance.
, Six months before Stuart died, he had held the family’s first succession
planning meeting. It did not lead to any results or actions. Stuart had left
no plan for transition or succession, and the beneficiaries found
themselves unprepared to take over Stuart’s huge mining business and
other investments around the world.
The five sisters spanned a range of life stages, interests, ambitions,
experience, and knowledge of the business. They had a very tough time
in the first couple of years, a period they described as “super stressful
and very emotional” because of both external pressures and internal
challenges.
The Two Executors
Stuart had appointed two outside executors for his estate. The two told
the sisters that Stuart had asked them to help his five daughters “run his
businesses after he died because they didn’t know how to run a business
or speak the language of business.” The five sisters, the sole
beneficiaries of Stuart’s vast wealth, felt they had no control over their
father’s estate. They couldn’t make any decision without the executors’
approval, nor could they remove the executors because they had no
power to do so. Their mother was of no help because she told them they
needed to listen to the executors if the business was going to survive.
The sisters felt that the two executors had created lifetime jobs for
themselves: they were paying themselves large salaries and had
entrenched themselves in their positions. It didn’t look like they had
plans to leave any time soon.
The five sisters knew they didn’t have the tools, knowledge, or
experience to manage the businesses on their own, so they hired experts
and advisors to help them develop governance structures, leadership
skills, and strategy for the family. They decided that they would become
the only directors of the board of the family’s business empire and
appointed the oldest as CEO and the next oldest as COO. They worked
out an agreement with the executors and paid them a substantial amount
of money to leave.
