Instructions: This assignment must be emailed to the professor as well as submitted to Blackboard for credit. Failure to do both will result in a zero.
Please read the assigned short case on Wal-Mart Inc. carefully and answer ALL questions below. Your response should be typed with a maximum of TEN pages excluding the cover page and any attachments. Use 1.5 spacing, Times New Roman, 12 point font with a 1 inch margin. Please include page numbers and sub-headings. The cover page should state your name, course number (with section) and date.
Please fully answer the following questions about the case in your report:
1. Summarize and discuss the core issue in the case. Do not repeat the entire case details but only pertinent information at the heart of the case.
2. Identify any ethical and/or moral dilemmas in the case. What is an ethical decision-making?
3. Did the company violate any law in this case? If so, discuss all potential legal violations committed by the company.
4. Using the three types of stakeholders (organizational, product-market and capital market), explain how this scandal affects each of the company’s important stakeholders such as employees, customers, suppliers and shareholders.
5. Suppose you are the CEO of the company. How would you react to this news? Provide a short and long term crisis management plan to handle this situation.
6. Did the incident affect Wal-Mart’s financial position? Compare Net Sales, Net Revenue, ROA, ROE and stock price for 2003-2004 (pre-scandal) and 2006-2007 (post-scandal). Note that the scandal was publicized mainly in 2005. Create spreadsheet line charts for each ratio and attach them AT THE BACK OF THE PAPER. [Discuss the charts in the body of the paper by citing them as figure 1, 2 etc.]
7. Going forward, does the scandal affect Wal-Mart’s international operations in both developed and emerging countries? If so, how?
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