MBA II (Semester III) Examination, 2017
Paper XVIII BUSINESS ETHICS (CBCS)
Day and Date Saturday, 6-5-2017 Total Marks 70
Time 10.30 a.m. to 1.00 p.m.
Instructions Question number 1 is compulsory.
Attempt any two questions from Q. nos. 3 and 4.
Attempt any two questions from Q. Nos. 6 and 7.
1. Analyse the case.
Most businesses have to consider the impact of their activities on stakeholders.
Coca-Cola is no exception but their operations in the southern Indian state of
Kerala have caused widespread concern and a string of claim and counterclaim
by residents of the local community and the company.
In 1998 Coca-Cola set up a bottling plant in Perumatti in the southern state of
Kerala. Since it opened, local villagers have complained about the fall in the
amount of water available to them and have blamed the fall in supplies on
Coca-Cola who, they claim, use upto a million litres per day at the plant.
Coca-Cola claims that the shortage in the water is due to the lack of rains in the
region. Coca-Cola even sends round tankers of water to the region to help the
local community. Local farmers are claiming that their livelihood has been
destroyed since the building of the plant and that the number of people working
on the land has dropped considerably because they cannot survive.
Coca-Cola has become one of the most popular drinks in India. Following the
cleaning of the bottles, a waste sludge is produced that Coca-Cola have been
disposing off on the land of the local farmers claiming it was a useful fertilizer.
Following a BBC Radio 4 programme, samples of the sludge were analyzed by
scientists at Exeter University in the South West of England and found to contain
toxic chemicals including lead and cadmium- both of which can be harmful to
humans and further suggested that there was little or no benefit of the sludge as
a fertilizer. Recent tests by the local state laboratories found that the levels of
toxic chemicals is within safety levels but that it should not be used as a fertilizer.
In a separate development, sales of Coca-Cola have been hit by suggestions
that its drinks produced in India contained higher levels of pesticide residues
than was healthy A large number of bodies have joined in the campaign for the
local community demanding the plant be closed down and that tests be carried
out on Coca-Cola to assess its safety. A lawsuit to this effect was thrown out in
August which prompted Coca-Cola to issue an angry comment claiming that the
reports were scurrilous, unnecessarily scared large numbers of Coca-Cola's
customers and put thousands of jobs in its plants throughout India at risk.
Coca-Cola claims to employ in excess of 5,000 people in the country not to
mention the many thousands that are linked in some way to the product.
Analysis of the case.
Identification of the problem.
Suggest alternative solution.
Select best solution. 14
2. Short notes on (any two).
Principles of business ethics.
Individual influences on ethical decision making.
Ozone depletion. 14
3. Short notes on (any two).
Social responsibility and profitability.
Corporate governance in India.
Corporate values. 14
4. Short notes on (any two).
Waste management.
Discuss in brief ethical issues involved in IT.
Forces inducing social responsibility. 14
5. What is business ethics Describe its nature and factor affecting business
ethics. 14
6. Discuss in detail ethical issues involved in human resource management. 14
7. Discuss a suitable framework for ethical decision making in business. What are
the most important issues to be tackled in the process 14