Section B $(22\%)-$ Compulsory Question

This question has more than one part. Answer the question in this section in the answer book provided. All answers must be written in ink.

The dishonest sales tactic adopted by some gym centres was to get young salesman to sound out potential customers by handing out promotional leaflets to passers$-$by on the street, and asking them to fill questionnaires at the gym centres. Riki and Mabel are the victims. They were made to believe they were answering a questionnaire, which was in fact an expensive and lengthy $10-$year gym contract worth HK$$172,000.$ Suppose Kaley, the young gym centres salesman, was pressured by managers to use this unfair sales tactic to get the "questionnaire" filled even Riki and Mabel $($victims$)$ are students.

Stages of Moral Development Model

$\backslash$table$[[$Level$,$Stage,Description of Stage$],[$Principled$,6.,\backslash$table$[[$Following self$-$chosen ethical principles even if they$],[$violate the law$]]],[,5.,\backslash$table$[[$Valuing rights of others and upholding absolute values$],[$and rights regardless of the majority's opinion$]]],[$Conventional$,4.,\backslash$table$[[$Maintaining conventional order by fulfilling$],[$obligations to which you have agreed$]]],[,3.,$Living up to what is expected by people close to you$],[$Preconventional$,2.,\backslash$table$[[$Following rules only when doing so is in your$],[$immediate interest$]]],[,1.,$Sticking to rules to avoid physical punishment$]]$

Figure $1$

$($a$)$ Kaley is facing the ethical dilemma in this case. Refer to Stage ONE of the Moral Development model $($Figure $1).$ Explain any ONE possible example of punishment Kaley would avoid if she follows her manager's instruction to lure customers to buy the expensive contract.

$(6$ marks$)$

$($b$)$ Stakeholders include customer, competitor, employer, employee, media, supplier, etc. Name and explain the behaviour of the MOST affected Stakeholder in the case Kaley EXCEPT customer.

$(10$ marks$)$

$($c$)$ The Issue Intensity Model consists of SIX factors. Refer to "Greatness of Harm", what is the closest number of Kaley's victims who will suffer from losses? What is the "harm" in this case? Explain your answer to this factor in detail.

$(6$ marks$)$