Need help explaining what might be “good” or “not so good” about these facts with a case study. The information is for a business law class using Clarkson, Miller and Cross book.
Zack Zack Price is the CEO of Mesquite Munchies, Inc. (MMI), a group of four successful restaurants in the Southwest. One member of the MMI board of directors, Sydney Carton, has a daughter, Camille Carton, who has just started Camille’s Coverings, a business that supplies restaurant linens. Carton has approached Price to explain Camille’s business. Camille’s Coverings has adopted an environmental emphasis in its operations as a way of countering the industry trend toward the use of paper products in restaurants. Sydney Carton initially recruited Price as CEO, was instrumental in having the board select Price, and is one of Price’s strong backers. Carton supported Price when other board members were impatient with his new procedures, policies, and changes. Ordinarily, when someone approaches Zack Price with information on a new supplier, he takes the information and refers it to the purchasing/supply area or refers the person directly to the manager of purchasing. In this case, Zack personally presented the information to MMI’s purchasing manager, Ellie Washburn. Zack offered Ellie the Camille’s Coverings brochure and card and explained, “She is Sydney Carton’s daughter. She graduated with a degree in marketing from the State University last June and now has her own firm. See what you can do. Our contract with Sara’s Settings is up for renewal. Maybe we can do something.”