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CASE STUDIES-1 Using Low Quality Materials Khalid was recently promoted as Assistant Product Manager in Al-Maha Furniture, a manufacturer of quality furniture. During his work in the new position he has discovered that the Purchasing Manager had recently started buying an inferior (low quality) wood to make table. The table would last about half as long as the regular table; but the lower quality could not be detected by the buyer. When Khalid revealed this information to his boss, he was told that the Purchasing Manager was following orders from top management. The company was having financial difficulties and had to cut costs. The change in table quality was a quick and safe way to do so. Khalid argued that selling inferior merchandise as quality product was no way to solve budget problems, but his opinion was not heard by anyone in the management Al-Maha Furniture products are always known for quality which. He could imagine that image of the shop going down quickly as consumers began to experience the low quality materials in near future. What should Khalid do now? 1. What did Khalid discover in his company when he was promoted as Asst. Product Manager? 2. What was the reaction of his boss when Khalid informed him about this matter? 3. If you were in the place of Khalid what would you do? Case Study - 3 Commission A section engineer from Roads and Bridges authority demanded a 25% commission in secret payments for highway work contracts he issued. He made such an offer to Rashid, a 32 years old civil engineer who was the senior engineer of a new and struggling consulting company greatly in need of the work to earn profits. Rashid discussed the offer with other colleagues and staff in the firm, who told him it was his decision to make. Finally, Rashid agreed to the deal, citing as a main reason his concern for getting sufficient work to retain his current employees by paying them salaries in time. a. What was the offer of section engineer to Rashid and why did he accept the offer? b. What can be the effect of the deal on the of highway work? c. If you were in place of Rashid, what you would have done