MAC2602
Assignment 1 Semester 1 2026
Unique number:
Due Date: 15 April 2026
QUESTION 1
A1: Eight ESG Factors Evident from the Scenario
1. Economic – High Unemployment and Low Household Income
Limpopo Province has high unemployment and low income levels. This reduces consumers’
ability to buy products, especially higher-priced organic juices. This can negatively affect
sales volumes and profitability.
2. Economic – Dependence on a Single Foreign Supplier
The company depends heavily on a supplier from China for plastic bottles. This creates risk
due to exchange rate changes, shipping delays or political issues, which can disrupt
production.
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, For additional support +27 81 278 3372
QUESTION 1
A1: Eight ESG Factors Evident from the Scenario
1. Economic – High Unemployment and Low Household Income
Limpopo Province has high unemployment and low income levels. This reduces
consumers’ ability to buy products, especially higher-priced organic juices. This can
negatively affect sales volumes and profitability.
2. Economic – Dependence on a Single Foreign Supplier
The company depends heavily on a supplier from China for plastic bottles. This
creates risk due to exchange rate changes, shipping delays or political issues, which
can disrupt production.
3. Social – Job Creation Opportunities
Building a local plastic manufacturing facility can create jobs in a province with high
unemployment. This supports social development and may attract government
support.
4. Social – Credit Risk from Low-Income Customers
A large portion of sales is made on credit to customers in a low-income area. This
increases the risk of late payments and bad debts, affecting cash flow.
5. Environmental – Water Supply Challenges
The municipality has ongoing water supply issues. Since water is essential for
production, this creates a serious operational risk and may interrupt production.
Assignment 1 Semester 1 2026
Unique number:
Due Date: 15 April 2026
QUESTION 1
A1: Eight ESG Factors Evident from the Scenario
1. Economic – High Unemployment and Low Household Income
Limpopo Province has high unemployment and low income levels. This reduces consumers’
ability to buy products, especially higher-priced organic juices. This can negatively affect
sales volumes and profitability.
2. Economic – Dependence on a Single Foreign Supplier
The company depends heavily on a supplier from China for plastic bottles. This creates risk
due to exchange rate changes, shipping delays or political issues, which can disrupt
production.
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, For additional support +27 81 278 3372
QUESTION 1
A1: Eight ESG Factors Evident from the Scenario
1. Economic – High Unemployment and Low Household Income
Limpopo Province has high unemployment and low income levels. This reduces
consumers’ ability to buy products, especially higher-priced organic juices. This can
negatively affect sales volumes and profitability.
2. Economic – Dependence on a Single Foreign Supplier
The company depends heavily on a supplier from China for plastic bottles. This
creates risk due to exchange rate changes, shipping delays or political issues, which
can disrupt production.
3. Social – Job Creation Opportunities
Building a local plastic manufacturing facility can create jobs in a province with high
unemployment. This supports social development and may attract government
support.
4. Social – Credit Risk from Low-Income Customers
A large portion of sales is made on credit to customers in a low-income area. This
increases the risk of late payments and bad debts, affecting cash flow.
5. Environmental – Water Supply Challenges
The municipality has ongoing water supply issues. Since water is essential for
production, this creates a serious operational risk and may interrupt production.
