Solved INSEAD Case Study Solution: Ziqitza Health Care Limited: Responding to Corruption By Robert J. Crawford (Download Now)

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Structure of the Solution


Ethical Issue

Alternatives’ Evaluation


Sample of Solution


Ziqitza Health Care Limited (ZHL) is an emergency ambulance service provider which was founded in 2002 by five dedicated social entrepreneurs. The company was initiated to cater the desperate demand of high-quality ambulance service in India, which was derived from increased vulnerability of road accidents and deadly disease causalities. Ziqitza owned just one ambulance at the time of inception but realized exponential growth in the execution and potential of its operations over the last decade due to its operational efficiency, work ethics and distinguished corporate culture. Despite the intolerable culture of corruption in India, Ziqitza managed to avoid involvement in any sort of bribery. Even when Ziqitza needed four digit number it failed to get the desired helpline number for not paying a bribe to the concerned official. Ziqitza never compromised on its ethical code rather always preferred tussle with corruption culture. Moreover, the orientation of Ziqitza’s business model which is concentrated on public-private partnership has further leveraged the company’s stance on bribery.


Alternatives’ Evaluation:

            Tangled in such a rigid situation, Mangal is quite restricted as far as the alternatives are concerned. Few possible options in such a situation include

Giving Bribe to Govt. Official

            Since the core of trouble is the government official asking bribe for timely reimbursement of outstanding dues. The direct option is to pay 5% bribe and get the outstanding payment cleared in time. While paying bribe may prevent financial disruptions, but it would eventually hurt the reputation of the company which may affect the long-term sustainability of the company. Furthermore, being part of the corrupt culture would encourage more officers to ask for the bribe. Additionally, the employees and investors who consider Ziqitza as a transparent company unlike the other corrupt organizations would also be disappointed. Involvement of company in corruption would not only discourage the employees, but it would also impact their organizational commitment. Although, giving bribe is quite conventional and common in India, but it would leave a stringent impact on the company’s existence.



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