Case Study 1. Mr. Khalid is the general manager of Al Kharusi Company based in...
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Accounting
Case Study 1. Mr. Khalid is the general manager of Al Kharusi Company based in Salalah. The business sells different kinds of dry goods, home tools and supplies imported from China. In its first three years of operations, the company has enjoyed more sales and profits because they are located in a marketable location and they have earned the trust and confidence of their customers. Al Kharusi has 20 staff members coming from different nationalities. The company provides free housing and food to selected staff members only based on their race and nationality. Also, medical insurance are only given to those staff who has worked in the company for more than 3 years. In the year 2018 the company recorded their first loss due to many competitors in the industry. The company owners asked Mr. Khalid to do everything he can to bring his marketing team to think of steps on how to recover from their losses. The marketing team told Khalid to start aggressive advertising and promote their stocks as made from Japan to attract more customers. Moreover, several stocks were already expired. Khalid instructed the staff to alter the expiration dates so it will appear that the stocks are still in good condition. In June of 2018, one of his senior staff in the Purchasing department, Mr. Malik had a big personal problem. He needs money for the treatment of his mother. In order to get the needed money, Malik decided to steal some of the company stocks and sell it outside to existing customers at a lower price. Malik did this act for 6 months and he was able to collect a lot of money so he decided to resign from the company by the end of the year. This action of Malik was never discovered by management. At the start of 2019, the company reported a huge loss and the manager Khalid is now so much under pressure on how to improve their company's financial status. Questions for Case Analysis in G YM - 2. If you are the manager, write at least four steps that you will do to solve the issues and improve your company's over-all condition. (the steps should be in full details ) (4 marks)

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