1. Stakeholders include competitor, customer, employer, employee, media, supplier, etc. Identify and explain THREE most affected stakeholders in Mercedes Chan’s case. 2. Evaluate any TWO of the six factors in the Issue Intensity model to determine how important the ethical issue is to Mercedes Chan. State specifically your conclusion whether the issue intensity is high OR low to her. 3. (i) There are SIX stages in the Stage of Moral Development model . Choose ONE stage from the model and state clearly which stage you have chosen. Explain specifically whether Mercedes Chan would follow her manager’s instruction to induce the victim to purchase the product or act as whistle blower if she was at that stage.

Case: Police say 32 arrested in HK$55m loan fraud Suppose Mercedes Chan was the young employee of the company, who had been pushed by her boss to increase profit of the company; the 20-year-old customer was the victim; and the ethical issue was about Mercedes Chan’s ethical dilemma if she should make profit by all means or act as whistle blower in the case study. The case was set at the moment just right before the 20-year-old customer was lured into paying the loan. Mercedes Chan kind of sensed the company’s trick but her supervisor forced her to “seize the opportunity “to make profit by all means. She was considering whether she should still induce her customer to pay the loan. Questions: 1. Stakeholders include competitor, customer, employer, employee, media, supplier, etc. Identify and explain THREE most affected stakeholders in Mercedes Chan’s case. 2. Evaluate any TWO of the six factors in the Issue Intensity model to determine how important the ethical issue is to Mercedes Chan. State specifically your conclusion whether the issue intensity is high OR low to her. 3. (i) There are SIX stages in the Stage of Moral Development model . Choose ONE stage from the model and state clearly which stage you have chosen. Explain specifically whether Mercedes Chan would follow her manager’s instruction to induce the victim to purchase the product or act as whistle blower if she was at that stage. 3. (ii) Explain which management function is Mercedes Chan’s manager performing when dealing with people? Which decision making condition is faced by Mercedes Chan?