Make-up guide

Business Management

10th – High Level

Instructions

• This guide is a requirement for presenting the make-up exam. If you do not deliver the
guide fully completed for the Wednesday, June 7th, you cannot present the exam. • This
guide provides the topics you will find in the make-up test and you have the study case
you will use in the exam.
• Answer all the questions and deliver this guide the day of the exam, you can do it virtually
or physically.

Topics

• Corporate Social Responsibility (CSR)

• Types of business entities
• Leadership styles
• Break-even point
• Conflict resolution approaches
• Cultural clashes

Objectives

• To distinguish the types of business entities.

• Analyze the leadership styles and their appropriateness in different situations. •
To construct a break-even chart.
• To create strategies to avoid the conflict in the workplace.

Resources

• Presentations of the class in classroom.

• Topics explained In Kognity.
• Notes of the student’s notebook.

Tasks you need to resolve

1. Identify the business management issues in the case study (see question 2) and highlight them.

2. Make a description or summary of the previously identified business management topics (add
formulas, theories, examples or whatever you consider necessary to understand the topic.
TOPIC INFORMATION
 Corporate Corporate Social responsibility is when companies have self-regulation,
Social contributing to social goals, this way not only carries about the profit but
Responsibility also the planet and the people. This is why CSR is associated with PPP which
(CSR) consists of carrying about the people, planet, and profit meaning that the
products are sustainable for these 3ps.

In B-pharma we could see that they get into a problem because they were
testing on animals with the purpose of seeing the effects of a new drug, this
is why B-pharma needed to get into CSR, which consists of companies getting
more into contributing to social goals, meaning that the company is not only
interested in the profit but also the people and the planet. With the purpose
of B-pharma, don't continue with the negative publicity. The action that
B-pharma took was to contract a director of Corporate Social Responsibility
who is writing a manual on this aspect, so the departments of the companies
and the stakeholders were aware of the new objectives of the company,
related to the benefit of the community and the environment.

Types of B-Pharma, a public limited company, is one of the biggest multinational

business companies (MNC) in the pharmaceutical industry. It employs over 30 000
entities people globally. The corporate headquarters are in Tsukuba Science City,
Japan meaning that is a company that has a headquarter in a country but,
has operations in different countries. In B-pharma we could see that the
headquarter is in Tsukuba Science City, Japan, and have different subsidiaries
in other countries such as Canada, Chile, Mexico, New Zealand, South Korea,
and Vietnam. We could see that the multinational is organized on a tall
structure this is an issue because “this uniform approach to hierarchical
organization has not proved appropriate as it ignores cultural differences
between some of the countries where B-Pharma operates.” This means that
for a multinational is better a flat organizational structure than a tall
organizational structure because it leads to conflict.

Leadership In Canada, employees have repeatedly stated that they want more
styles delegation and a wider span of control. The Canadian subsidiary has recently
suffered lower levels of productivity compared to other B-Pharma
subsidiaries. This would be Autocratic leadership because the employees
don't have decision-making due to the major of decisions is taking by the
manager, without taking into account how this will affect the productivity in
each country like Canada that they do not conform with that type of
leadership.
 Break-even Is when the total revenue equals the total cost.
point
𝑓𝑖𝑥𝑒𝑑 𝑐𝑜𝑠𝑡
Its a formula: 𝑠𝑝𝑒𝑐𝑖𝑓𝑖𝑐 𝑐𝑜𝑠𝑡−𝑣𝑎𝑟𝑖𝑎𝑏𝑙𝑒 𝑐𝑜𝑠𝑡
Margin of safety: 𝐴𝑐𝑡𝑢𝑎𝑙 𝑆𝑎𝑙𝑒𝑠 − 𝐵𝐸𝑃

Conflict Susan understands that employees may be left demotivated and that
resolution productivity might suffer. She knows that Canadian employees respond well
approaches to financial motivation, so her solution to the problems is to redirect some of
her R&D budget to her human resources (HR) department in order to
implement performance-related pay (PRP). This is evidence that Susan
understands the employees are demotivated because they don´t receive
financial motivation, so she that understands the situation represents them
being a single union agreement, taking into account that employees aren't
motivated she knows that the correct way for Canadians is by money, she
tries to convince booths parts first the employees she knows what they want
to be productive and second HR have to take into account the motivation
sources that work for Canadian.

Cultural clashes This uniform approach to hierarchical organization has not proved
appropriate as it ignores cultural differences between some of the countries
where B-Pharma operates. She knows that Canadian employees respond
well to financial motivation. This is evidence of cultural clashes when one
culture competes for dominance, seeing that B-pharma doesn't takes into
account the motivation that goes well with the culture of each country,
producing conflict and less productivity. This occurs in B-pharma because all
the subsidiaries have the same tall organizational structure, leading that they
don't perform better because they aren't motivated, by the used to financial
motivation way in their country Canada.