Problem 1. Create a code of ethics for an organization of your choice. For each point in the code of ethics, describe an ethical dilemma, which would be resolved using the code of ethics.
Problem 2. Explain the components of the transaction cost theory and provide an example for each. The components are:
- Environmental Uncertainty and Bounded Rationality
- Opportunism and Small Numbers
- Risk and Specific Assets
Problem 3. What factors determine the appropriate authority and control structure in:
- a research and development laboratory
- a large department store
- a small manufacturing company.