You are to develop a response to the scenario below based on what we have read/discussed in this OB (Organizational Behavior) course. Integrate your knowledge acquired through the OB (Organizational Behavior) course into the scenario. Identify some of the OB (Organizational Behavior) relevant issues involved, any additional information that would be helpful, and any recommendations you might offer based on your learning in the course.

Jim Massey, the founder and CEO of Massey Furniture Inc. is facing significant challenges in the near future. Massey Furniture Inc. is currently accepting bids from several firms to possibly begin manufacturing Masseys furniture overseas. If Massey ends up finding an acceptable manufacturer for their furniture overseas, they expect their profit margins to increase due to lower production costs. However, this would also mean significant changes to their current operations. This would mean eliminating a significant number of employees, including the entire domestic manufacturing labor force, and all mid- and upper-level management in the production department. Mr. Massey cares deeply about his employees and has worked hard to foster a family atmosphere at his firm. He fears that a decision to eliminate so many jobs could destroy the sense of loyalty and commitment he has established at Massey Furniture. However, given the companys needs to reduce costs, Mr. Massey feels he may have no other choice but to explain the logic of the situation to the employees and hope they understand.