dvised Afifah that he has recently had several meetings with the manufacturers of the product imported and distributed by TerFamos. The manufacturers are of the opinion that TerFamos can no longer provide the required levels of service. They have decided to cancel TerFamos’s contract and award the distribution rights to Norman’s company. Norman then asks Afifah to come and work for him. He offers Afifah a substantially higher salary than the one she currently earns. In addition, Norman asks Afifah to recruit TerFamos’s best operations staff to come to Norman’s company with her. He says: ‘The offer is exclusive to you and the deal with the manufacturer is indeed confidential, so don’t mention it to anyone just yet, especially to Rodzi.’ Required: Identify the primary stakeholders and explain the relevant facts and ethical issues in the situation above. With reference to the CIMA Code of Professional Ethics, identify and discuss the ethical principle(s) that Afifah should consider in dealing with this situation. Use the ethical conflict resolution process outlined in the CIMA Code to analyse the problem. Discuss the possible alternatives available to Afifah and recommend the course of action Afifah should take.
advised Afifah that he has recently had several meetings with the manufacturers of the product imported and distributed by TerFamos. The manufacturers are of the opinion that TerFamos can no longer provide the required levels of service. They have decided to cancel TerFamos’s contract and award the distribution rights to Norman’s company.
Norman then asks Afifah to come and work for him. He offers Afifah a substantially higher salary than the one she currently earns. In addition, Norman asks Afifah to recruit TerFamos’s best operations staff to come to Norman’s company with her. He says: ‘The offer is exclusive to you and the deal with the manufacturer is indeed confidential, so don’t mention it to anyone just yet, especially to Rodzi.’
Required:
Identify the primary stakeholders and explain the relevant facts and ethical issues in the situation above.
With reference to the CIMA Code of Professional Ethics, identify and discuss the ethical principle(s) that Afifah should consider in dealing with this situation.
Use the ethical conflict resolution process outlined in the CIMA Code to analyse the problem.
Discuss the possible alternatives available to Afifah and recommend the course of action Afifah should take.
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