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    Assessment 2 Information
    Subject Code: Subject Name: Assessment Title: Weighting:
    Total Marks: Due Date:
    BUS102 Introduction to Management Case Study 35% 35 Week 10 (3.55pm (AEDT) Monday 22 May 2017)
    .Assessment Description Length: 1100 – 1200
    From Volkswagen’s Dieselgate to Martin Shkreli the former CEO of Turing Pharmaceuticals to Sepp Blatter the disgraced former head of soccer’s international governing body 2015 did not disappoint on corporate scandals.
    The allegations weren’t as big as say Enron or Madoff the characters were just as captivating. Shkreli was defiant on Twitter. Perhaps the most blatant was Volkswagen which ran commercials of its engineers as angels even when company officials were setting up elaborate systems to lie to customers and get around pollution controls. Here are the most compelling corporate fiascos and alleged frauds of 2015.
    CASE STUDY: The 5 Biggest Corporate Scandals of 2015
    Chris Matthews Stephen Gandel Dec 28 2015
    The Volkswagen Emissions Scandal
    When Volkswagen revealed in September that it had installed software on millions of cars in order to trick the Environmental Protection Agencys emissions testers into thinking that the cars were more environmentally friendly than they were investors understandably deserted the company.
    Volkswagen lost roughly $20 billion in market capitalization as investors worried about the cost of compensating customers for selling them cars that weren’t compliant with environmental regulations.
    The company not only has to deal with compensating their customers but it will also need to contend with potential fines from regulators as well as a reputational hit that could severely affect its market share.
    FIFA Corruption Scandal
    The only surprising fact about the FBIs indictment of FIFA officials for racketeering fraud and other offenses was that the charges came from the United States where soccers popularity lags the rest of the world.
    The corruption part was the least remarkable aspect of the news as FIFA officials had long been suspected
    of taking bribes in exchange for granting broadcasting rights for games and hosting rights for events like the World Cup.
    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
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    Assessment Information
    The FBI also indicted five sports marketing executives at the same time. And the scandal spooked some of Americas largest corporations including Coca-Cola and McDonalds-top FIFA sponsors. These firms called on the governing body to fire its leadership and enact tough reforms.
    Toshiba Accounting Scandal
    No list of corporate screw-ups would be complete without a good old-fashioned accounting scandal. In September electronics conglomerate Toshiba admitted that it had overstated its earnings by nearly $2 billion over seven years more than four times its initial estimate in April. CEO and President Hisao Tanaka resigned from the firm and an independent investigators found
    that Toshiba had a corporate culture in which management decisions could not be challenged and Employees were pressured into inappropriate accounting by postponing loss reports or moving certain costs into later years.
    Valeant’s Secret Division
    In October short seller Andrew Left accused drug company Valeant of using a specialty pharmacy company Philidor to artificially inflate its sales. Valeant denied the charges. But the fact that Valeant had never discussed its close ties to Philidor raised questions about Valeant’s and Philidor’s sales practices. It also shook investors’ confidence in the acquisitive drug company which had racked up debt as it did deals.
    Valeant (VRX +1.28%) could still be on the hook if Philidor broke any laws. Valeant employees appear to have worked at Philidor under aliases to hide their identities. And Valeant had paid $100 million for an undisclosed option to acquire Philidor for no additional dollars whenever it wanted essentially giving Valeant ownership of the company.
    Valeant has appointed a special committee of its board and an outside investigator to look into the company’s ties to Philidor but it has yet to report its findings. Valeant said that Philidor sales never amounted to more than 7% of its total sales. Valeant’s shares fell 75% in the wake of these revelations to just over $70 from a high of $260.
    Also contributing to the stock fall was the fact that Valeant had been accused over the summer of price gouging buying up drugs and then rapidly raising their prices. A number of members of Congress including presidential hopeful Bernie Sanders have called for an investigation into the company’s drug pricing practices. And in early October the company confirmed that it had received a federal subpoena.
    Many well known hedge funders including Bill Ackman who has defended the company suffered big losses on Valeant stock in the wake of the scandal.
    Turing Pharmaceuticals and Martin Shkreli
    Martin Shkreli became known as the bad boy of the drug industry after his drug company Turing increased the price of a 62-year-old drug that treated HIV patients by 5000% to $750 a pill. But it’s what he did before that could land him in jail.
    In mid-December the government arrested Shkreli on charges of stock fraud related to his activities while at Retrophin the drug company he ran before Turing. The former hedge fund manager is accused of using shares of Retrophin to pay off investors who had lost money with a hedge fund he ran in the past. The government described Shkreli’s alleged behaviour as similar to a ponzi scheme.
    Shkreli who maintains he is innocent says there is little evidence of fraud because his investors didn’t lose money. Shkreli who has been defiant on Twitter about the allegations against him bought the sole copy of a Wu-Tang Clan album for $2 million. He has had called himself the most successful Albanian. Mother Teresa also an Albanian presumably would not be proud.
    Reference
    Matthews C & Gandel S 2015 The 5 biggest corporate scandals of 2015 Fortune 28 December viewed 9 March 2017
    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
    This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc. a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.
    Assessment Information
    Your Task:The assessment does not require an introduction conclusion or table of contents. Please refer to the marking criteria to assist as a guideline to help you complete the tasks.
    You are to research and answer all of the following:
    1. The case study has identified several ethical issues that have arisen with five different companies. Give a summary of the different ethical issues that have occurred with these companies. (150 words worth 5 marks)
    2. Ethical dilemmas can occur within an organisation which can challenge individual and management decision making. Explain where the responsibilities lie when it comes to managing ethical behaviour. Is it the responsibility of the individual or of management? (400 words worth 10 marks)
    3. Using one of the examples profiled in the case study identify what caused the breaches of ethical conduct. In your answer consider elements such as the management style of those in charge and the culture of the organisation. (300 words worth 10 marks)
    4. Some organisations promote their corporate culture as one that supports ethical behaviour. Using any organisation of your choice as an example explain the strategies they have in place to prevent inappropriate and unethical decision making from occurring. (350 words worth 10 marks)
    Reference guide: in-text referencing and reference list may include references using weekly readings text books news articles from respected publications and journal articles. Referencing should be in Harvard style – refer to Kaplan Harvard Referencing Concise Guide
    Use a minimum of one reference per questionKBS presentation guidelines: Arial size 11.5 font 1.5 spacingSubmission: PDF and submit to Turnitin by the due date. Late submissions will incur a late penalty.
    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
    This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc. a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.
    Assessment Information
    Assessment Marking Rubric
    Question 1
    Clearly understands ethical issues and gives comprehensive explanations
    Clearly understands ethical issues and gives in-depth explanations
    Understands ethical issues and gives sound explanations
    Shows some understanding of the ethical issues and provides explanations
    Shows limited understanding basic or no explanations
    150 words /5
    All aspects of the discussion are relevant
    Most aspects of the discussion are relevant
    Some aspects of the discussion are relevant
    Aspects of the discussion are sometimes relevant
    Meaning is unclear Many of the aspects of the
    Question 2
    No plagiarism Clearly understands
    Clearly understands responsibilities of individuals and management
    Understands responsibilities of individuals and management Some aspects of the discussion
    Shows some understanding of the responsibilities of individuals and management
    400 words /10
    management All aspects of the discussion are
    Most aspects of the discussion are relevant
    are relevant Discussion is supported by a
    Aspects of the discussion are sometimes relevant
    individuals and management Meaning is unclear Many of the aspects of the
    High Distinction Distinction Credit Pass Fail 85100% 7584% 6574% 5064% 049%
    Discussion is supported by a substantial range of credible and current sources
    Discussion is supported by a wide range of credible and current sources
    Discussion is supported by a range of credible and current sources
    Discussion is supported by some sources but not always credible and current
    discussion are not relevant Discussion is not supported by
    Sentences and paragraphs are well structured and clear so the reader can focus on what is written.
    Sentences and paragraphs are consistently well structured Vocabulary is comprehensive
    Sentences and paragraphs are mainly well structured
    Sentences and paragraphs are readable but with grammatical errors
    credible and current sources (does not use minimum references)
    Vocabulary is professional appropriate and extensive
    Vocabulary is limited Substantial errors in grammar
    Many grammatical vocabulary and spelling errors
    Grammar spelling and punctuation are flawless which allows the reader to focus on the message.
    presented in terms of KBS guidelines and assignment instructions with minimal exceptions
    presented in terms of KBS guidelines and assignment instructions with some exceptions
    spelling and punctuation Document professionally
    The main points and new technical terms are not explained or are ambiguous
    Document professionally presented in terms of KBS guidelines and assignment instructions
    In-text referencing and reference list format correct with limited errors
    In-text referencing and reference list format correct with some errors
    presented in terms of KBS guidelines and assignment instructions with a number of exceptions
    Document poorly presented and does not comply with KBS guidelines and assignment instructions
    In-text referencing and reference list format correct
    No apparent incidents of plagiarism
    Evidence of plagiarism Shows limited understanding
    responsibilities of individuals and
    of the responsibilities of
    relevant Discussion is supported by a
    Discussion is supported by a wide range of credible and current sources
    range of credible and current
    Discussion is supported by some sources but not always credible and current
    discussion are not relevant Discussion is not supported by
    substantial range of credible and
    sources Sentences and paragraphs are
    current sources Sentences and paragraphs are
    Sentences and paragraphs are consistently well structured Vocabulary is comprehensive
    mainly well structured Vocabulary is sound Some errors in grammar
    Sentences and paragraphs are readable but with grammatical errors
    credible and current sources (does not use minimum references)
    well structured and clear so the reader can focus on what is written.
    Minimal errors in grammar spelling and punctuation
    spelling and punctuation
    Vocabulary is limited Substantial errors in grammar
    Comments are poorly structured and unclear
    Vocabulary is professional appropriate and extensive
    spelling and punctuation
    Many grammatical vocabulary and spelling errors
    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
    Minimal errors in grammar spelling and punctuation Document professionally
    Vocabulary is sound Some errors in grammar spelling and punctuation Document professionally
    Comments are poorly structured and unclear
    No plagiarism
    No plagiarism
    In-text referencing and reference list format contains significant errors
    In-text referencing and reference list format incorrect or omitted
    This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc. a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.
    Question 3

    Clearly identifies where breaches occur
    Understands where breaches occur
    Shows some understanding of where breaches occur
    Evidence of plagiarism Shows limited understanding
    300 words /10
    demonstrate an understanding and is not supported by credible and current sources (does not use minimum references)
    Question 4

    Clearly identifies preventative steps using quality examples Most aspects of the discussion
    Identifies preventative steps using appropriate examples Some aspects of the discussion are relevant
    Identifies some preventative steps using some examples Aspects of the discussion are
    Evidence of plagiarism Able to identify limited
    350 words /10

    are relevant Analysis demonstrates an in-
    Analysis demonstrates a sound understanding and judgement supported by a range of credible and current sources
    sometimes relevant Analysis demonstrates some
    able to using examples Meaning is unclear Many of the aspects of the

    Grammar spelling and punctuation are flawless which allows the reader to focus on the message. Document professionally presented in terms of KBS guidelines and assignment instructions In-text referencing and reference list format correct No plagiarism Clearly identifies where breaches occur Analysis demonstrates comprehensive understanding and valid judgement supported by a substantial range of credible and current sources Sentences and paragraphs are well structured and clear so the reader can focus on what is written. Vocabulary is professional appropriate and extensive Grammar spelling and punctuation are flawless which allows the reader to focus on the message. Document professionally presented in terms of KBS guidelines and assignment instructions In-text referencing and reference list format correct No plagiarism Clearly identifies preventative steps using high quality examples All aspects of the discussion are relevant Analysis demonstrates comprehensive understanding and valid judgement supported by a substantial range of credible and current sources
    Document professionally presented in terms of KBS guidelines and assignment instructions with minimal exceptions
    Document professionally presented in terms of KBS guidelines and assignment instructions with some exceptions
    Document professionally presented in terms of KBS guidelines and assignment instructions with a number of exceptions
    The main points and new technical terms are not explained or are ambiguous

    Document poorly presented and does not comply with KBS guidelines and assignment instructions

    No plagiarism
    No plagiarism
    No apparent incidents of plagiarism

    Analysis demonstrates an in- depth understanding and sound judgement supported by a wide range of credible and current sources
    Analysis demonstrates a sound understanding and judgement supported by a range of credible and current sources
    Analysis demonstrates some understanding and judgement supported by some sources but not always credible and current
    where breaches occur Analysis does not

    Sentences and paragraphs are consistently well structured Vocabulary is comprehensive
    Sentences and paragraphs are mainly well structured
    Sentences and paragraphs are readable but with grammatical errors

    Minimal errors in grammar spelling and punctuation Document professionally
    spelling and punctuation Document professionally
    Many grammatical vocabulary and spelling errors

    In-text referencing and reference list format correct with limited errors
    In-text referencing and reference list format correct with some errors
    In-text referencing and reference list format contains significant errors
    Document poorly presented and does not comply with KBS guidelines and assignment instructions

    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
    In-text referencing and reference list format correct with limited errors
    In-text referencing and reference list format correct with some errors
    In-text referencing and reference list format contains significant errors
    In-text referencing and reference list format incorrect or omitted
    presented in terms of KBS guidelines and assignment instructions with minimal exceptions
    presented in terms of KBS guidelines and assignment instructions with some exceptions
    presented in terms of KBS guidelines and assignment instructions with a number of exceptions
    The main points and new technical terms are not explained or are ambiguous
    No plagiarism
    No apparent incidents of plagiarism
    depth understanding and sound judgement supported by a wide range of credible and current sources
    understanding and judgement supported by some sources but not always credible and current
    discussion are not relevant Analysis does not
    Vocabulary is sound Some errors in grammar spelling and punctuation Document professionally
    Vocabulary is limited Substantial errors in grammar
    Comments are poorly structured and unclear
    No plagiarism
    In-text referencing and reference list format incorrect or omitted
    Sentences and paragraphs are
    Sentences and paragraphs are
    demonstrate an understanding and is not
    This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc. a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.
    preventative steps and not
    Total /35
    Sentences and paragraphs are well structured and clear so the reader can focus on what is written.
    Sentences and paragraphs are consistently well structured Vocabulary is comprehensive
    mainly well structured Vocabulary is sound Some errors in grammar
    readable but with grammatical
    supported by credible and current sources (does not use minimum references)
    Vocabulary is professional appropriate and extensive
    presented in terms of KBS guidelines and assignment instructions with some exceptions
    spelling and punctuation Document professionally
    Many grammatical vocabulary and spelling errors
    Grammar spelling and punctuation are flawless which allows the reader to focus on the message.
    presented in terms of KBS guidelines and assignment instructions with minimal exceptions
    In-text referencing and reference list format correct with some errors
    presented in terms of KBS guidelines and assignment instructions with a number of exceptions
    The main points and new technical terms are not explained or are ambiguous
    Document professionally presented in terms of KBS guidelines and assignment instructions
    In-text referencing and reference list format correct with limited errors
    No plagiarism
    In-text referencing and reference list format contains significant errors
    Document poorly presented and does not comply with KBS guidelines and assignment instructions
    In-text referencing and reference list format correct
    In-text referencing and reference list format incorrect or omitted
    No plagiarism
    COMMONWEALTH OF AUSTRALIA Copyright Regulations 1969
    Minimal errors in grammar spelling and punctuation Document professionally
    spelling and punctuation Document professionally
    errors Vocabulary is limited Substantial errors in grammar
    Comments are poorly structured and unclear
    No plagiarism
    No apparent incidents of plagiarism
    This material has been reproduced and communicated to you by or on behalf of Kaplan Business School pursuant to Part VB of the Copyright Act 1968 (Act). The material in this communication may be subject to copyright under the Act. Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. Kaplan Business School is a part of Kaplan Inc. a leading global provider of educational services. Kaplan Business School Pty Ltd ABN 86 098 181 947 is a registered higher education provider CRICOS Provider Code 02426B.
    Evidence of plagiarism

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