QUESTION 71

Most forms of cancer are caused by

QUESTION 72

Which description is the best definition of a stem cell?

QUESTION 73

Which biotech method requires the use of the reverse transcriptase enzyme?

QUESTION 74

In eukaryotes, RNA processing of a pre-mRNA to create a mature mRNA includes

QUESTION 75

Genomic imprinting is

QUESTION 76

When cells are exposed to DNA-damaging radiation (such as UV light), the p53 protein _______ the repair of the damaged DNA, and ________the transition from G1 to S phase to allow time for the DNA damage to be repaired.

QUESTION 77

Familial Down syndrome is a result of which of the following?

QUESTION 78

Eastern Europeans like to feast on smoked meats. Those first-generation Americans of Eastern European descent who adopt the North America diet have a much lower rate of stomach cancer than those who maintain their traditional old-country diet. This suggests that cancer is

QUESTION 79

Pericentric inversion occurs when a chromosomal segment is

QUESTION 80

The phenomenon in which a gene determines a trait only under certain environmental circumstances (for example, below a certain temperature) but not under other conditions, is described as

Sensory Systems

General Sensory

1. Stimuli in the environment are detected by ___________. _________ detect stimuli in the outside environment while ________ detect internal stimuli. ________ detect chemicals; ________ detect pressure; ________ detect photons; _________detect changes in shape; ________ detect changes in muscle length
2. Receptors can only detect stimuli that is presented in the ___________. Smaller/larger receptive field allow for better precision. Receptors generate ___________ which triggers __________ in sensory neurons. Sensory neurons relay information to the _________ then to the __________ where stimuli is perceived.

Taste

1. Taste receptors are ___________; they are located in _________. ________ trigger salty taste; ________ trigger sweet taste; ________ trigger bitter taste; _______ trigger umami taste; ______ trigger sour taste.
2. _________ and _______ chemicals directly enter taste cells to depolarize them. __________ chemicals bind to receptors which activate second messenger system.
3. Taste cells activate neuron is CN _________ which relay the information to the __________ and then to __________ then finally to the _________ where taste is perceived.

Smell

1. Olfactory receptors are located _____________. Binding of odorants to olfactory receptors activates _________ which activates ___________ enzyme which converts __________ to ________. cAMP opens ________ to _______ the olfactory neuron. The olfactory neurons synapse in the _________ and then to the _________ where odor is perceived.

Vision

1. __________ photoreceptors are used for bright light conditions and for seeing _______. ________ photoreceptors are used form dim light conditions. There are ______types of cones. Blue cones respond best to light of _____; Red cones respond best to light of ________; and green cones respond best to light of _________. Rods respond best to light of _______.
2. The part of the photoreceptor that responds to light is the __________ which is made of ________ and ________.
3. In the dark, cGMP opens _________ on the photoreceptors which allows ______ to enter. This is called the __________ which depolarizes the ________ which releases ________ to inhibit bipolar cells. As a result, bipolar cells can’t activate __________. As a result, no _________ is generated in the optic nerve.
4. In the light, photons of light strike to photopigments to convert ________ to _______. This change activates _________ which activates __________ which converts cGMP to ________. A decrease in cGMP decreases the _________ current. As a result, bipolar cells are no longer inhibited by _______. Bipolar cells then stimulate _________ which generate action potentials in the ________.
5. The scotopic system uses many _________ to activate fewer ________ which activate fewer _________. This is an example of __________. This system uses _________ to respond to low intensity light
6. The photopic system uses __________ to activate __________ to activate __________. Due to the lack of __________, this system is not suitable for __________ but it is ideal for _________.
7. Visual pathway
   1. Bipolar cells synapse with _______ in the retina which, in turn, synapse in the ________; third order neurons then terminate in the _________ where vision is perceived.
8. Vision abnormalities
   1. _________ is also called nearsightedness; in this condition image comes into focus _________
   2. _________ is also called farsightedness; in this condition, image comes into focus ________
   3. _________ is condition that prevents the image from coming into focus
   4. _________ is normal vision

Hearing

1. The pitch of a sound is based on its ________. The loudness of sound is based on its ________. Loudness is measure using a _________ scale. 20 db is ________ times louder than the hearing threshold.
2. The receptor for hearing is the _________ which is located in the _________. The receptor has ______ and _______ hair cells. The __________ are responsible for hearing and the _______ are responsible for cochlear tuning.
3. The ________ are activated when their stereocilia __________ and are inhibited when the stereocilia __________. Bending of the stereocilia towards the _______open ________ to allow _______ to enter the cells. This causes depolarization of the _______ which activates ________.
4. Pathway
   1. Auditory nerve synapse in the _________ and activate secondary neurons which project to the ________ to activate tertiary neurons which project to the ________ to activate quarternary neurons which project to the _________ to activate 5^th order neurons that terminate in the _______ where hearing is perceived.  
5. Hearing loss
   1. Damage to the ________ leads to sensorineural hearing loss whereas obstruction or damage to the ________ may lead to conduction hearing loss.

Equilbrium

1. _____________ detect angular movements of the head; the _________ detects vertical movements of the head; the ________ detects horizontal movements of the head.
2. The equilibrium structures (apparatus) contain ________ which are depolarized when _________. These cells then activate __________ which terminate in the _________. Neurons then project to the _________ and then to the ________.

Evolution is a change in the frequency of heritable traits in a population over time.  Defined more narrowly, it is the change in allele frequencies over time.   The field of population genetics is concerned with alleles that exist within populations and how the proportions of different alleles change over time.

Charles Darwin’s major contribution to our understanding of the natural world was to recognize that organisms within a population vary in heritable traits that affect their ability to survive and reproduce.  This process is known as natural selection.  Although the fact that species evolve was accepted by many in Darwin’s time (the mid-1800s), natural selection was the first mechanism (or driving force) of evolution to stand up to extensive testing.  Today we know that genes are the basis of heredity, so we can rephrase natural selection in terms of genetics.  Because some alleles increase or decrease an organism’s ability to survive and reproduce relative to other alleles, some alleles are passed on at greater frequency than others.  As the population's allele frequencies change, so do it's phenotypic frequencies, making the population better adapted overall to the current environmental conditions.

We also now know that natural selection is only one of several mechanisms of evolutionary change. Today, we recognize the following four mechanisms of evolution.

1. Natural selection – the interaction between heritable, phenotypic traits and the environment that leads to differential reproduction among individuals in a population.  Although other mechanisms can cause changes in heritable traits over time, natural selection is the onlymechanism of evolution that shapes, or adapts, populations to better fit their environment.
2. Genetic drift – change in gene frequencies in a population due to chance or random events.  Genetic drift tends to eliminate genetic variation, especially in small populations where chance events can have large overall effects.
3. Gene flow – change in gene frequencies in a population due to the immigration or emigration of individuals
4. Mutation – change to the DNA of a gene.  Mutation occurs randomly throughout the genome.  It is the ultimate source of all genetic variation.  In a large population, a single mutation would constitute a very small change in allele frequency in a population, but a change nonetheless. Once a mutation occurs, its frequency may increase or decrease in the population due to the three mechanisms listed above.

Genetic variation is the raw material of evolution. Genetic variation within an individual (having more than one allele at a locus, or heterozygosity), can benefit organisms in a number of ways.  For example, if an individual is heterozygous and produces two different versions of an enzyme, these two different versions may function well under slightly different conditions (e.g. temperature).  Having both versions therefore allows a heterozygote to tolerate greater variation of that condition.  Genetic variation within populations may allow the population to adapt to future environmental conditions.  Even alleles that are mildly deleterious in today’s environment might prove beneficial if the environment changes.  It is important to remember, however, that whether an allele increases or decreases in frequency depends on whether it is beneficial or harmful in the current environment.  An allele that will prove to be beneficial in 1,000 years will decrease in frequency if it is harmful now.  Natural selection can't plan ahead.

Which of the following can cause changes in allele frequencies (evolution) in a population? Choose all that apply.

QUESTION 28

1. Current evidence indicates the first humans infected with HIV lived in

   		a. Haiti
   		b. Indonesia
   		c. Africa
   		d. San Francisco

2 points   

QUESTION 29

1. If nondisjunction occurs in one chromosome pair in meiosis I during gametogenesis, what will be the result at the completion of meiosis?

   		a. All the gametes will be diploid.
   		b. Half of the gametes will have an extra chromosome, and half will be missing one.
   		c. There will be three extra gametes
   		d. Two of the four gametes will be haploid, and two will be diploid.

2 points   

QUESTION 30

1. What is the reason that alleles of linked genes are usually inherited together?

   		a. They are located close together on the same chromosome.
   		b. The number of genes in a cell is greater than the number of chromosomes.
   		c. Chromosomes are unbreakable.
   		d. Alleles are paired together during meiosis.

2 points   

QUESTION 31

1. This is the pedigree of a family with dry earwax syndrome, a single gene trait. Individuals with dry earwax often need professional flushing of the ear canals to avoid blockage. Individuals with dry earwax also have less body odor, and are less likely to get breast cancer. Affected individuals are colored circles and squares. Open circles and squares indicate those with normal wet earwax. Based on the pedigree, does this dry earwax appear to be dominant or recessive?

   		a. Dominant: Almost half the family has it
   		b. Recessive: Mostly boys are affected
   		c. Dominant: Every affected parent has an affected child
   		d. Recessive: Unaffected parents can have an affected child

2 points   

QUESTION 32

1. Which of the following is an example of a genotype?

   		a. Blood type O
   		b. Curly hair
   		c. Dwarfism is defined as an adult 4’ 10” or shorter
   		d. Someone has two copies of the allele for brown eyes, BB

2 points   

QUESTION 33

1. In the table above, what does the word “stop” mean?

   		a. The ribosome will stop and release the completed peptide
   		b. The RNA polymerase will stop transcribing the gene
   		c. Mutations will not occur here
   		d. Primary transcript modification stops

2 points   

QUESTION 34

1. Which of the following does not occur in prokaryotic gene expression, but does in eukaryotic gene expression?

   		a. mRNA, tRNA, and rRNA are transcribed.
   		b. RNA polymerase binds to the promoter.
   		c. A poly-A tail is added to the 3' end of an mRNA and a cap is added to the 5' end.
   		d. Transcription can begin as soon as translation has begun even a little.

2 points   

QUESTION 35

1. Small nuclear RNAs, or snRNAs, have several functions including:

   		a. Preventing translation of mRNAs
   		b. Preventing transcription of new mRNAs
   		c. Cutting out introns during RNA processing
   		d. Preventing the DNA from unwinding

2 points   

QUESTION 36

1. This pedigree is for a family with Marfan syndrome. Marfan syndrome causes abnormal skeletal growth, long limbs, excessive height and sometimes heart defects. Dark-colored symbols are individuals affected with the disease, light symbols are phenotypically normal. Squares are males, circles are females. Using the pedigree, does Marfan syndrome look like it is dominant or recessive?

   		a. Dominant
   		b. Recessive
   		c. Co-dominant
   		d. Not enough information given

2 points   

QUESTION 37

1. Which enzyme catalyzes the elongation of a DNA strand in the 5' → 3' direction?

   		a. primase
   		b. DNA ligase
   		c. DNA polymerase
   		d. Topoisomerase

Robert was diagnosed with hypertension at the age of 39. In taking better care of himself., Robert a former college athlete found himself eating poorly, consuming too much alcohol, smoking, and spending too much time sitting in front of the TV since graduating. His personal habits have also caused him to gain a significant amount of weight. Robert is now on two high blood pressure medications to try and control his blood pressure. He also modified his lifestyle to include regular exercise, stopping smoking and moderate alcohol consumption and a sodium diet.

Robert’s, father had died earl from renal failure due to hypertension he took his lifestyle changes seriously. Robert now 56, is a triathlon athlete and very competitive and strived to first in his age group. In order to gain the edge, he needs, he hired a certified clinical trainer, Carmen. Robert was experiencing dehydration and fatigue while exercising, so he wanted help to find a way to drink enough fluids while training.

Carmen designed a way for Robert to assess his physiological status (PS)before, during, and after his workouts. A urinalysis was done before, right after, and six hours after a two-hour training run to determine his renal status a measure of his PS.

The table below shows Robert’s urinalysis data.

Questions

1. What does the color of Robert’s urine tell him about how concentrated or dilute it is? How does the urine color/concentration relate to the urine specific gravity at the same time?

2. The urine color and specific gravity can give Carmen information as to the hydration status of Robert’s body at three different times. What can she conclude from the information based on color and specific gravity?

3. Antidiuretic hormone (ADH) regulates the formation of concentrated or dilute urine. When is Robert releasing the greatest amount of ADH? Explain your answer.

4 Proteinuria (protein in the urine) after intense exercise is physiological (normal). However, protein is typically not present in urine. Why is that?

5. Trace glucose that was found in Robert’s urine six hours after his exercise, this concerned Carmen, however, Robert had a large meal an hour before the urinalysis. How could this affect the glucose in Robert’s urine?

6. Intense exercise can cause lactic acid to accumulate. How can Carmen tell Robert’s kidneys are trying to prevent acidosis? Describe this mechanism.

7. After reviewing Robert’s urinalysis data, do you think he should drink more water prior to starting his training to make sure he stays adequately hydrated? Explain your answer.

8. One of the medications the Robert takes to control his blood pressure is called an angiotensin converting enzyme inhibitor (ACE inhibitor), which inhibits the activation of angiotensin II. What are two of the mechanisms by which angiotensin II targets the kidneys to increase extracellular fluid volume, there are several?

Economic Growth and Poverty Reduction

The relationship between growth and poverty lies at the heart of development economics with

recent empirical studies showing that that economic growth is important for poverty reduction.

However, it has also been recognized that the distribution of assets, opportunities and incomes

influences the effect of growth on poverty reduction. For poverty reduction to occur, the

relevance of distribution and, as well, the importance of sources of growth has been

underscored. The challenge is to influence the pattern of growth such that proportionate

growth is generated.

Poverty can be categorized into income poverty and non-income poverty, reflecting human

development attributes. Poverty in Tanzania is pervasive with some 18.7 per cent of

Tanzanians living below the food poverty line and 35.7 per cent living below the basic needs

poverty line. Poverty is largely a rural phenomenon, as 87 per cent of all the poor live in rural

areas. Primary schools with gross enrolment reached 98.6 per cent in 2002 compared to 77.6

per cent in 1990, with net enrolment rising from 58.8 per cent in 1990 to 80.7 per cent in 2002.

The illiteracy rate is still high at 28.6 per cent. Access to health services has shown modest

improvement with 70 per cent of the sick visiting health facilities.

Access to health facilities is generally limited by the system of user charges (cost sharing)

coupled with a weak screening system for identifying deserving cases for exemptions.

Distance to health facilities is another factor hindering access. The population that has access

to clean water is 53 per cent in rural areas and 73 per cent in urban areas.

In the early 1990s, economic performance was extremely weak, with growth in GDP often less

than the growth in population. Growth appears to have increased steadily since the mid-1990s

when greater effort was put into institutional reforms. By 2002, the growth rate had reached

6.2 per cent, although it declined somewhat to 5.7 per cent in 2003, following the effects of

drought. The most recent information on poverty trends in Tanzania shows that, in spite of the

rising rate of economic growth, the declines in income poverty for the last decade were very

modest. The key challenge is whether, and to what extent, growth will translate into poverty

reduction over the coming years. Two crucial issues have been raised regarding these

achievements. The first issue relates to the sustainability of economic growth itself – whether

such growth rates, high by historical standards, will continue and reach eight per cent as

envisaged in Vision 2025. The second issue relates to whether this growth will be translated

into poverty reduction, contrary to the experience of the last decade. This will depend on the

sources of growth and how the gains from growth will be distributed among households.

Macroeconomic Policies and Poverty Reduction

The poverty focus of macroeconomic policies calls for a new framework that can capture some

of the trade-offs and distributional implications of traditional macroeconomic policies and

shocks. Macroeconomic policies that are meant to achieve pro-poor growth need to have the

elements to address the distributional impact of growth. Growth is pro-poor if it uses assets

that the poor own, if it favours sectors in which the poor work and if it occurs in the areas

where the poor live. These points, however, are rarely decoded into detailed reforms to make

policies pro-poor in practice. Pro-poor policies imply that the social and economic indicators

of poor people improve more rapidly than those of the rest of society.

Macroeconomic policies are likely to stimulate pro-poor growth by addressing two main issues.

First, macroeconomic policies may be designed to contribute to enhancing the basic human

capabilities of the poor. It has been argued that universal coverage of basic social services of

good quality is key for ensuring equitable growth. Second, macroeconomic policies may be

designed to contribute to fostering the concentration of growth in economic sectors that can

directly benefit the poor. Different sources of growth affect poverty and inequality differently

because they affect factor returns differently, and because the poor and the non-poor own

factors in different proportions. Poverty reduction is more likely to be achieved when a

significant share of growth originates from sectors in which the poor are active. The major

challenge to researchers is, therefore, to identify policies or a combination of policies that

generate growth without adverse distributional effects or, even better, generate pro-poor

growth with improving distributional effects.

In the context of Tanzania, recent experience has shown that in the macroeconomic policy

area, two main areas deserve special attention if macroeconomic policy is to be more

supportive of pro-poor growth. First is fiscal policy whereby tax policy issues regarding effort,

efficiency and equity are still on the agenda. Tax reforms have been driven by the need to

broaden the tax base and rationalize the tax system. Tax measures that have been taken

recently have been directed to stimulate investment and production in general. However,

large-scale investors have been given greater tax relief through Tanzania Investment Centre

(TIC) certificates, which are only available to investors above a specified investment threshold.

Small investors in the SME sector rarely hold TIC certificates.

On the public expenditure side, the challenge of making expenditures pro-poor lends itself to

setting priorities, targeting and allocating expenditures according to priorities and targeted

programs. The recent opportunity to enhance allocations to social sectors, following HIPC debt

relief, has improved allocations to these sectors. Second is monetary policy and financial

sector reform. Monetary policy that has been adopted in Tanzania has been driven by the goal of price stability. The target has been low inflation. Overall, it can be observed that high

inflation rates hurt the poor most. Therefore,

reducing inflation rates that has been done so far can be regarded as a pro-poor policy move.

However, there is concern that the narrow focus on price stability is not sufficient for poverty

reduction to be realized. There is need to make monetary and fiscal policy consistent with and

supportive of poverty reducing objectives such as growth and employment.

On the side of financial sector reform, the opportunity for these reforms to be pro-poor has

largely been missed to the extent the sectors which have least access to financial services

are groups which are associated with poor people, such as SMEs and rural activities.

QUESTION TWO                   

Poverty can be categorized into income poverty and non-income poverty, reflecting human

development attributes. Poverty in Tanzania is pervasive with some 18.7 per cent of

Tanzanians living below the food poverty line and 35.7 per cent living below the basic needs

poverty line. Poverty is largely a rural phenomenon, as 87 per cent of all the poor live in rural

areas

2.1 In light of the above, discuss the strategy that is used by Tanzania in order to ensure

an equitable distribution of income.                

2.2 The Tanzanian government adopted a policy of nationalisation as a way of putting

the major means of production and distribution into the hands of the majority.

Evaluate the costs and benefits of this policy in Tanzania.              

Read the following case study and answer the questions that follow. Professional and Ethical Conduct in the Public Sector One of the basic values and principles governing public

administration enshrined in the Constitution of the Republic of South Africa, 1996 (Chapter 10) is that “a high standard of professional ethics must be promoted and maintained. Ethics is a process by which we clarify right and wrong and act on what we take to be right, that is, a set or system of moral principles that are generally accepted. Ethics simply means what is right and wrong, what is acceptable or unacceptable and is intertwined with the value system of people. Ethics can also be seen as being relative, not absolute, as ethical behaviour is in the eyes of the beholder. Be that as it may, however, ethical conduct and behaviour normally refer to conforming with generally accepted social norms. Relative to ethics is professionalism, which entails a high standard of work and adherence to certain standards and principles pertaining to specific work to be done. Professionalism embodies skills competence, efficiency and effectiveness. Public institutions exist for the public good and employ public servants to render services to ensure a better life for all. The public sector is characterised by unprofessional and unethical conduct. The article unearths these and suggests strategies/mechanisms to address this ‘ill’. Can an unethical, unprofessional public servant be trusted to deliver services? Can, for example, a debtstrapped public servant who survives on borrowing money from micro-lenders, who cannot manage personal finances, be trusted to efficiently manage public funds and thus enhance service delivery? Can an incompetent, corrupt, disloyal, unaccountable, shoddy public servant who flouts the principles of Batho Pele and the code of conduct be entrusted with the responsibilities of ensuring a better life for all? In terms of Chapter 2 (Bill of Rights) of the Constitution of the RSA of 1996, all citizens of the country have a right to have their basic needs that promote their welfare met. Every government, therefore, must endeavour to promote the general welfare of its citizens. When PROGRAMME BACHELOR OF PUBLIC ADMINISTRATION MODULE PUBLIC ADMINISTRATION 2A TOTAL MARKS 20 MARKS a legislature identifies a need for a service to be rendered to a community, the legislature or parliament will create a department to render such a service. Only the legislature has a right to create, abolish, merge or amalgamate departments. One of the processes of public administration is human resource, thus for services to be rendered by a department there is a need for personnel to be employed and attached to specific posts within the organisational structure of the particular department. This process is accompanied by; inter alia, allocation of functions, delegation of authority, creation of communication channels and behavioural relationships. Such personnel employed, sometimes referred to as functionaries, are charged with the task of ensuring that a department’s or a municipality’s goals are achieved through efficient, effective performance of duties, the requisite for success being ethical conduct and professionalism on the part of the functionaries. Put differently, there is little or no hope of success in the delivery of services if the public servants are not professional and their conduct not ethical. Ethics refers to the standard which guides the behaviour and actions of personnel in public institutions and which may be referred to as moral laws. The modernisation of methods and procedures as well as technological progress is useless if the personnel who must apply the methods and procedures do not aspire to high moral standards. The question is whether the South African public service is governed or characterised by a high standard of professional ethics or not. What is the reality on the ground and what effect does it have on public service delivery? Poor, dishonest management of public affairs and corruption (immoral acts) are among the most important manifestations of unethical conduct. Maladministration and corruption in the public sector are usually widely broadcast and exaggerated, largely because the public sector is spending taxpayers’ money. For practitioners in the public sector, especially for public managers, it is important that there be guidelines according to which they must cooperate and administer and direct the public service, and place subordinates on the right track precisely to prevent corruption and eliminate maladministration. Bureaucrats are often suspected of lining their own pockets at the cost of the citizens. Opportunities for public servants to be involved in unethical conduct arise from the power they exercise in both the development and administration of public policy. Activities constituting unethical conduct The South African Public Service is characterised by activities which constitute unethical conduct and the following may be mentioned as examples with a sample being explained:  Bribery, graft, patronage, nepotism and influence peddling  Conflict of interest, including activities such as making financial transactions for personal advantage, and accepting outside employment during tenure in government without declaring this  Misuse of inside knowledge, for example, through acceptance of a business appointment after retirement or resignation  Favouring relatives and friends in awarding contracts or arranging loans and subsidies  Accepting improper gifts and entertainment  Protecting incompetence  Regulating trade practices or lowering standards in such a manner as to give advantage to oneself or relatives  The use and abuse of official and confidential information for private purposes. Public servants are not simply employees of the state, but have a constitutional role to play. These employees must be responsive to the government of the day and play a vital role in ensuring a better life for all by enhancing service delivery through the efficient, economic and effective use of resources. Public servants, however, have lives beyond the office and sometimes these lives have an impact on their work performance. This begs for employee wellness from the perspective that employees are most productive when they are well physically, mentally and financially. The question is whether or not a public servant who is unable to manage his/her personal finances and is heavily trapped in financial debt is able to efficiently and effectively manage public resources and be productive enough to meet the expectations of the public and the principles of Batho Pele, which seek to enhance service delivery without unethical behaviour. Factors that may enhance professionalism and ethics in the public sector The following may be seen as factors that encourage ethical conduct and professionalism in the public sector:  Training in basic skills to carry out official duties. Such training may include financial management so that public servants are able to manage own finances.  The introduction of a career system based on merit appointments.  Well-articulated and fair human resource policies on remuneration and conditions of service, training and development programmes should be implemented.  Recognition of good work through incentives and correction of poor performance, thus nurturing professionalism and pride  Legalising the Code of Conduct and Batho Pele principles – these will then be enforced against misconduct ranging from unethical to criminal acts.  Strengthening of human resource capacity to investigate unethical conduct in departments. The PSC reports that in KwaZulu-Natal not enough resources were made available to create posts and employ staff for this purpose  Conflicts of interest are rampant in the public service and in municipalities.  Discontinuing dual employment. The PSC has noted that some public servants also serve as part time councillors and this poses a threat to honesty, especially in bidding.  Exemplary leadership and political will are needed to in still ethics and professionalism because at times the problems start from the top and permeate the institution. Junior officials take advantage of such situations. Source: Richard, T. (2015). Professional and Ethical Conduct in the Public Sector. Africa’s Public Service Delivery and Performance Review.

QUESTION 1 One of the prime responsibilities of a government must be to build an environment of justice, transparency and trust. Discuss the factors that may cause unethical behaviour and what are the preventative measures that can be put in place within the public sector.

Please read the case provided below and answer the following question:

Red Bull- Waking a New Market

Little did Austrian business man Dietrich Mateschitz suspect when he visited Bangkok, Thailand in the early 1980’s his trip would launch not only a new product but also a new product category. Mateschitz international marketing director for Blendax a German tooth paste producer encountered Krating Daeng, “tonic syrup” that Red Bull Beverage Company had been marketing in Thailand for years. Mateschitz discovered that one glass of the product eliminated his Jet lag.

Returning to Austria, Mateschitz began a three year product development process that included developing the drinks image, packaging, and marketing strategy. In 1987 he obtained the marketing rights for Red Bull (the translated Thai name) from the Thai company and launched his marketing strategy.

Although marketers credit Red Bull with creating the “energy drink” category, the pursuit of drinks to enhance performance and well being is not new. Back in 1886 some folks in Atlanta introduced a product they called “Cocoa- Cola” that had extracts from cola nuts and coca leaves and advertised it as an “esteemed brain tonic and intellectual beverage”.

Red Bull is slightly carbonated drink that comes in a slender aluminum can that holds 8.3 ounces. The label indicates that it has 110 calories, 0 grams of fat, 200 milligrams of sodium, 28 grams of carbohydrates, 27 grams of sugar, and less than one gram of protein. Ingredients include sucrose, glucose, sodium citrate, taurine, glucurono-lactone, caffeine inositol, niacinamide, calcium –pantotheate, pyridoxine HCL, Vitamin B12, and artificial flavors and colors, all mixed in carbonated water.

Sounds delicious, don’t you think? Well that is part of the problem. Each of energy drinks ingredients has a specific purpose- but each has its own taste, and in some cases an after taste. It’s no easy matter to blend the ingredients to get not only the correct benefits for the consumer but also something the consumer will drink voluntarily.

Energy drinks have a number of different types of ingredients. The body takes carbohydrates and metabolizes them into glucose (sugar). Simple sugars produce a rapid rise in blood sugar, while complex carbohydrates produce a slower rise. By combining different types of sugars, a drink can produce glycemic response at different times.

Energy drinks sometimes include amino acids that are protein building blocks. Taurine for example is an important aid in the release of insulin and can prevent abnormal blood clotting. Because researchers have cited a deficiency of vitamins and minerals as associated with a lack of energy, beverage makers often include them in energy drinks. Niacin (Vitamin B 3) works with other vitamins to metabolize carbohydrates. Riboflavin (vitamin B 12) helps combats anemia and fatigue by helping to manufacture red blood cells.

Some drinks include botanicals such as gingko biloba, guarana and ginseng. Ginkgo biloba is purported to provide mental energy and sharpness by stimulating blood flow to the brain. Finally, most energy drink contains caffeine an alkaloid stimulant that body absorbs and circulates to all body tissues. Caffeine affects the central nervous system, the digestive tract, and the body’s metabolism boosting adrenaline levels to increase blood pressure and heart rate. Typically energy drink like Red Bull, contain the same amount of caffeine as a cup of coffee.

Packaging is also important. Some fruity beverages come in glass bottles, but many energy drinks that contain light sensitive vitamins, like B 12 , come in slender metal cans to prevent the vitamins from breaking down.

The Marketing Strategy

Mateschitz designed an unusual marketing strategy. “We don’t bring the product to the people” he argues, “We bring people to the product”. Initially when Red Bull entered U.S. market in Santa Monica California, it used traditional beverage distributors. But as the product gained popularity, the company began to pursue a more focused distribution strategy. Red Bull sales representatives now approach a beverage distributor and insist that he or she sell only Red Bull and no other energy drink. If the distributors will not agree, Red Bull hires young people to load the product in the vans and distribute it themselves.

The Company divided the United States into eight territories, with sales team in each area responsible for developing distribution and targeted marketing plans. The local team seeks to determine where people aged between 16 and 29 are hanging out and what they find interesting. First, the sales teams calls on trendy clubs and bars that offer drinks on premise. As incentives the team offers Red Bull coolers and other promotional items. Red Bull works with individual accounts rather than large chain because it has found that process goes much faster due to lack of bureaucracy. It has also found out that young people in local hot spots are open to trying new things and help generate a “buzz” about Red bull.

Second, the sales team also opens off premise accounts such as gyms, health food-stores, and convenience stores near colleges. The product sells for about $2 in convenience stores. In addition, “consumer educators” roam local streets and hand out free samples. The company has encouraged students to drive around with big Red Bull cans strapped to the top of their cars and to throw Red Bull parties focused on weird themes.

Contrary to the traditional promotional practice, Red Bull starts traditional advertising only after it believes a local market is maturing. The company’s philosophy is that media can only reinforce not introduce a brand. Thus, it builds demand even before it introduces the product at retail. Only about 19 percent of the $ 100 million the brand spent on promotion in 2000 was for measured media. Red Bull spends around 35 percent of sales on promotion. The company has also begun sponsoring extreme sporting events and athletes.

Does all this grass roots marketing work? Well, in 2001, Red Bull sold 1.6 billion cans in 62 countries, up 80 percent over 2000. In the United states , Red Bull entered the list of top 10 carbonated beverage distributors with a mere 0.1 market share but its case volume grew 118 percent over 200 to 10.5 million cases. Red Bull is the number one product in store 24 and had similar results at 7 eleven. It captures 70 to 90 percent share of the energy drink market.

With results like that, it did not take competitors to jump in. Pepsi bought South Beach Beverage Company (makers of So Be brand) and developed an energy drink it calls “Adrenaline Rush”. Coca-Cola jumped in with KMX. Even Anheuser – Busch, of Budweiser fame, joined with a product it calls “180” degrees. In early 2002, another Thai company Otsotspa entered the fray with its own energy drink called “Shark”.

Mateschitz does not seem concerned about competition. He knows Red Bull has a tremendous head start and strong local marketing teams. He already has plans to enter into Brazil and South Africa.

However, Mateschitz does have one concern. “It makes no sense to build a company on one product” he argues. So far he has put the Red Bull brand on only one other product. Luna Aqua is a still water that company claims it bottles only 13 times per year, during full moon when the moon reaches its full energy level. There is also variety of Luna Aqua that contains caffeine. But Mateschitz knows that it will take more than moon power to stay ahead of the competition in the energy drink market. You can bet he will be up all night, sipping Red Bull and developing new product ideas.

Now, assume that you have been appointed by RED BULL as marketing director; then answer the following questions:

Required Question

Question 01:Apply the theory of product Augmentation to Red bull , by explaining the different layers. Suggest improvements in the augmented layers that would give an edge for the company over it’s competitors?

#1: The Equilibrium wage rate in an industry is found by
-The intersection of the firm's demand curve for labor and the riems supply curve of labor
-The intersection of the market demand curve for labor and the marginal revenue product curve of labor
-The intersection of the market demand curve for labor and the market supply curve of labor
-negotiations between the union leadership and the manager of the firms
#2: A union that pursueda policy of restrictingentry iver time into the union would:
-Also have to negotiate to be sure that all membere were able to find jobs
-Fail to obtain benefits for their workers in excess of what the workers would get under open markets
-Generate rising real wages for its membership over time as long as demand..
-See real wages hold constant over time at whatever premium they could get initially
#3: For a monopsonist, marginal factor cost exceeds the wage rate since:
-The supply of labor perfectly elastic
-When new workers are hired the wage rate must be increased for all workers and not just the additional workers
-More workers have to be paid the prevailing wage rate
-The labor demand is downward sloping
#4: When examining the financial status of households, wealth is
-A stock variable and includes both tangible assets and human capital
-Synonyms with income
-A flow variable whereas income is a stock variable
-Not as important as income because wealtg doesnt change over time

#5: Much of a person's increased productivity cancbe linked to:
a. The price elasticity of demand for the product
b. The prevalent marginal tax rate
c. The income elasticity of demand for the product
d. On-the-job training
#6: A major problem with using the egalitarian principle to distribute income is that:
a. its difficult to know when an equal distribution or income has been achieved
b. it would eliminate the incentives that rewards provide in an economic system
c. it would not be fair to the wealthy
d. there exist no mechanisms to carry out such a scheme
#7 In an attempt to reduce the poverty rate, there has been a movement away from income maintenance programs to:
a. supplemental security income programs
b. reducing the age a person can retire at
c. encouraging people to get jobs
d. incorporating the Lorenz policy in decisions