According to her. smart entrepreneurs are doing well by doing good. She said. \"Business ethics is what is spearheading our growth. it creates an element of trust, familiarity and predictability in the business. Cultivating trust is not only an ethical and moral necessity but also a practical business necessity as work environments built on trust are more productive. This is because employees, customers, and others are more willing to go the extra mile for entrepreneurs, managers and business ventures they believe in. Therefore, entrepreneurs must exhibit ethical business practices in order to attract opportunities and operate successful business ventures. Secondly, the success of a business requires continuous planning which is a process that never ends. Preparing a good business plan is a must for all businesses because it is a roadmap to meeting short-term and long-term goals. All the stakeholders of a business are interested in the business plan for ascertaining continuity of the enterprise. In addition, Monica stated that the rapid growth of Monic Fashion Designers is fueled by the work of its personnel due to proper manpower planning. She said that her enterprise upholds the saying. \"Right man. for the rightjob\". She further said, " The difference between a successful firm and the unsuccessful firm is the quality of manpower it employs. Through proper manpower planning the management strives to have the right number and the right kind of people at the right place. at the right time to do things right which results in both the organisation and the individual receiving the maximum long-range benefits. hence success of the business venture \". Required: (a) (i) Define the term "business ethics". (1 mark) (ii) Explain the ethical business practices that Monica, as an entrepreneur may have used in performing business activities. (7 marks) (b) Discuss the different stakeholders that are interested in using business plans. (7 marks) (0) Explain the benefits that Monic Fashion Designers may have derived from human resource management. (5 marks) (Total 20 marks) Question 2 Makerere Tertiary Academy (MTA) is an institute for higher learning accredited by the National Council for Higher Education. It specialises in business related courses. It is located in Kavule, Makerere, a Kampala city slum. Kavule is a cosmopolitan area with a diverse population. It has people from all walks of life. that is, different educational backgrounds, age groups, religion, income levels. attitudes, values, perceptions and gender. Such a diverse society has both positive and negative impact on the activities of MTA. The economic status of the low income earners. and poor educational background may limit their ability to attach value to education of their children. Over the years, MTA has grown; it has two other campuses in Mukono and Kansanga. in addition, three new courses have been added on the curriculum without recruiting more staff. Lately the lecturers have been coming late for lectures. The students are not happy because of poor time management. They feel cheated and not getting value for their money. The directors have diversified the business and have now opened up a hardware shop in Kampala city. Being a new line of business, the managing director Mr. Kimbowa is spending most of the time at the shop. He is finding it a problem to coordinate the activities of the two different businesses. This has jeopardized the activities at the MTA resulting into poor service delivery. Required: Explain to Mr. Kimbowa the (a) factors he should consider in assessing the market potential of MTA in the new locations. (7 marks) (b) benefits of effective time management in the business. (5 marks) (c) social factors that are likely to affect business activities at MTA. (8 marks) (Total 20 marks) Question 3 During the recently held award ceremony for women entrepreneurs. Monica the proprietor of 'Monic Fashion Designers' was the keynote speaker. She shared her success story in business. She is a recipient of several national and international awards. In her speech she highlighted three factors that are responsible for her success: adhering to business ethics, proper planning and proper human resource management. Question 4 (a) Explain the challenges that owners of small enterprises face in managing their businesses. (8 marks) (b) Describe the characteristics of a sound motivational system. (5 marks) (c) (i) Define the term "credit policy\" of a business. (1 mark) (ii) Explain how a lender can obtain information to use in evaluating a credit applicant. (6 marks) (Total 20 marks) Question 5 (a) Explain how technological factors can affect business activities. (6 marks) (b) Explain the principles of creativity that guide entrepreneurs in generating business ideas. (4 marks) (c) (i) Differentiate between self employment and paid employment. (4 marks) (ii) Explain the factors that entrepreneurs should consider when creating their own businesses. (6 marks) (Total 20 marks) Question 6 (a) (i) State Herzberg'stwofactortheory. (2 marks) (ii) Explain how Herzberg's motivational factors influence performance of employees in an enterprise. (4 marks) (b) Describe the characteristics of private limited companies. (8 marks) (c) Explain the features of small scale enterprises. (6 marks) (Total 20 marks) Question 1 Ms Pearl Nakyeyune is a graduate of mass communication from Star University. 0n graduation she started practicing as a free lance journalist. She used savings of two years to open a grocery store. She eventually converted it into Pearl Supermarket. When Pearl started the business. she had no business plan. Her goals and objectives were not clear. She also had no experience and managerial ability to run a supermarket. Currently the business is facing severe financial constraints. The customers are complaining of poor quality products and lack of customer care. Pearl is worried that her business is bound to fail because of these challenges and many others. Recently Pearl bumped into her friend. Carol, and they had a chat about business. Carol advised her to change the form of business from sole proprietorship to a company. She highlighted some of the benefits of a company as being able to raise enough capital through sale of shares. She could even appoint directors who are more qualified and experienced in running the business. However, a company has to be registered with the Registrar of Companies. This requires preparation of a number of documents such as the Memorandum of Association. Pearl has no idea about these documents. She is therefore. seeking your services, as business consultant to help her prepare the documents and take her through the process of registering the company. Required: Explain to Pearl the: (a) advantages of using internal sources of financing. (4 marks) (b) documents to be prepared before forming a company. (8 marks) (c) reasons for business failure. (8 marks) (Total 20 marks)