RE: Discussion

1. Read the Volkswagen Case #17 pages C-228 to C-235. Then answer the following questions:

Explain why ownership is largely separated from managerial control in organizations. Who should establish ethical controls: ownership or management, explain your answer.
Define organizational structure and controls and discuss the difference between strategic and financial controls. What role should structure and controls play in corporate ethics?
Where and how did ethics fail at Volkswagen?

2. Refer to the text, Chapters 10 and 11, and discuss the following:

Define corporate governance and explain why it is used to monitor and control top-level managers decisions.
Describe the relationship between strategy and structure.

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