When Doing The Right Thing Doesn’t Pay Off

Some of the most outstanding businesses in the world have cut some corners in recent years. Pepsi has kept the size of Doritos bags the same, but has cut the amount of chips in each bag by a noticeable amount. Hershey has reduced the size of its candy bars, and has also reduced the amount of actual milk chocolate put into each bar. And Irene Rosenfeld, the CEO at Mondelez, is reducing the brand equity of Cadbury Eggs by removing all dairy milk from the product and reducing the serving count from six to five.

Amidst all of this is the quirkiest large company in America: Tootsie Roll. The Gordon family has controlled 45% of the company’s voting stock for most of the corporation’s history, with the recent husband-wife duo running the company since 1962. Ellen Gordon inherited the business from her father, and she appointed her husband CEO in … Read the rest of this article!