Rehashing Dan Gilbert's Parting Shot at LeBron James

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But this model has a major downside. With James' departure, the Cavaliers now offer little that differentiates their brand from other entertainment options, both inside and outside Cleveland. The revenue streams will invariably dry up, as will the media spotlight. In short, the Cavaliers lost more than a player. They lost their identity—and the franchise value, revenue, and goodwill that came with James' affiliation. To the Cavaliers, James' departure was the equivalent of the gulf oil spill wiping away years of BP's share growth and corporate social responsibility initiatives.

3) Loyalty cuts both ways. When discussing a trade, sports fans usually examine its impact on the field. They forget the men involved just had a life-altering change foisted on them, usually without their foreknowledge or consent. They must pack up their families and adapt to a new team and community and different expectations. And chances are, many of them were once praised for their loyalty and told how indispensable they were.

Managers are taught they must show loyalty if they expect it back. After last season, Dan Gilbert replaced his general manager and head coach, despite their.663 winning percentage over five seasons. LeBron James certainly took notice. In fact, he probably asked himself, "If I tore up my knee, would Dan hesitate to ship me out of my hometown?" Fact is, Cavalier greats Austin Carr and Mark Price ended their careers with other teams. And every player knows appeals for loyalty from ownership are usually self-serving. Both Gilbert and James wanted the same end for themselves. As so with any business, change is inevitable.

4) You must understand the impact of your actions. With his letter, Gilbert got the last word and cleansed his hands. But he also created a perception that will reverberate in his future dealings. In many companies, employees carry an unspoken fear: Our superiors don't really care about us, and we're easily disposable when we get too old or earn too much. So the employees keep their heads down and lips pursed.

In truth, in his reaction, Gilbert revealed more about himself than about LeBron James. Fair or not, he basically confirmed all employees' worst fears: Their reputations will be sullied and contributions quickly forgotten once they're gone. Employees remember how their peers are treated on their way out. Regardless of how they feel, leaders must think before they speak and always take the high road. Chances are, the next LeBron will be reflecting on these events five years from now … and wondering if he'll be treated the same way when his Cavaliers contract is up.

Jeff Schmitt has spent 17 years in sales, marketing, project management, training, legal compliance, and recruiting. A former online columnist for Sales & Marketing Management, Schmitt lives in Dubuque, Iowa. You can reach him via e-mail or follow him on Twitter.

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