In 1970 Xerox had a very progressive affirmative action program yet, once hired, black employees faced serious problems, due both to overt discrimination and to their exclusion from the informal networks of support, information and mentoring that the other salespeople shared. The black employees responded by establishing seven independent support groups around the United States. These black caucuses functioned as both self-help groups to prepare black employees for promotion and as pressure groups to push for policy changes within Xerox. In 1974 Xerox fears the caucuses are forming a national organization. Students must decide how to respond to this potentially dangerous situation.

Describes the compromise worked out between Xerox and the black caucus groups. The implications of this arrangement for Xerox and black employees over the next 16 years is also described.