Peter is a vice president in a large corporation. As part of his duties, he supervises fifteen managers; fourteen of these managers are men. Only one of the managers is a black man, and one is a white female. Peter is replacing one of the white, male managers. He has advertised the position both in house and outside, as required by his company's hiring policies. After reviewing all of the applications, he believes that Steve, an employee of the company for 12 years, is the most qualified applicant. However, in the pool of applicants there are three qualified women and two qualified black men. Morally what should Peter do? Required: a) Analyze whether it is ethical to hire Steve, even though this will still mean that (10 marks) the managers will have definite gender and race inequity? b) Evaluate whether it is fair to Steve to hire someone less qualified just to agree with Affirmative Action? (9 marks) c) Should Peter give up and let the other manager's vote on who should be hired? (6 marks) (Total 25 marks) Question 3 John Makwebo started off in business ten years ago in the year 2008 selling tomatoes by the road in Kalingalinga residential area of the City of Lusaka. He struggled to make ends meet because of the competition in the vegetable market. Rise in competition in the vegetable industry was largely attributable to growth of the vegetable market which products in Lusaka found its way to the biggest market place in Zambia, Soweto Market. Some quarters have even argued that competition has further been escalated to a higher level by participation of the "Chinese" in the industry. Two years after John started his business, his life took a different turn when he won lottery whose prize money was K5million (USD526, 316). With luck still on his side, John used this money to buy-off a medium sided company, Malonda Limited. Malonda Limited was a private family run company which had been in existence for 15 years by the time John Makwebo bought it. John Makwebo became the Managing Director of Malonda Limited. The Company was operating in a beverage industry, manufacturing an energy drink called "Mphavu." In its former years, the "Mphavu" brand saw exceptional growth in sales and profitability in both the existing market and new markets. Although Malonda Limited operated in a growing industry, the Company posted losses for the past seven years, coupled with a record high of negative cash flows. The Company struggled to survive in its now highly competitive industry mainly because of poor performance, incompetence of management, and a poor understanding of corporate governance, which largely was perpetrated by family members. In the latter days, Malonda Limited could not meet its financial obligations as and when they fall due, resulting in a serious threat of insolvency. Malonda Limited had a board which comprised five people of the same family. John decided that he was going to maintain the same company because he believed the company was still a good brand. "with a little more commitment, I can turn around this brand into a cash cow, he told himself." Three months after John acquired Malonda Limited, he was invited by a church mate to a corporate governance workshop which was held at one of the local hotels in the City of Lusaka, the Taja Panono Hotel. John was thrilled to hear and learn about. corporate governance principles. In fact, it was the first time he was hearing about the concept of corporate governance.. The week that followed after the Corporate Governance workshop, John was eager to implement corporate governance in his company. As the new Boss, John has asked you, in your capacity as General Manager to explain further how corporate governance came into existence in the world. Required Write a Report to the Managing Director to critically evaluate an international (25 marks) history of Corporate governance codes. Question 4 John Ross accepted a position at Cripple Creek Vocational University (CCVU), and he and his family made a permanent move. Soon, John Ross was promoted to Administrative Vice President, overseeing the purchasing department of the University. His oldest son, Jim, got a good job in educational equipment sales at Tiddley Computer Corporation in Fort Worth. As Vice President, John Ross quickly saw the need for 4 to 5 computers in his office. Although CCVU had a bidding policy, John Ross purchased Tiddley Corporation's computers direct from Tiddley for about $3500 each, when IBM clones were selling for around $2000 and the clone had more promising features than the Tiddley. Jim handled the sale and received a healthy commission on the sale. If the purchase had gone through the normal bidding process, the TC model would not have been selected. Tiddley's local Cripple Creek franchise dealer objected to Tiddley Corporation that his protected franchise had been bypassed in the deal. Required: Since John Ross was overseeing the purchasing department, and had the final decision authority, should purchasing have gone through the normal bidding routine? a) Is it ethical for a Vice President to bypass the normal routine to do business (4 marks) with a family member? b) Was John Ross' decision not to request for bids an ethical choice? (4 marks) c) Suggest what the College purchasing agent should do? d) Should anyone else at CCVU have any interest in this activity? (4 marks) (4 marks) e) To what extent was Tiddley's Cripple Creek franchise owner wronged, if at all? (4 marks) END OF EXAMINATION f) Discuss whether Jim should have made the sale, and received a commission? (5 marks)