Are businesses in corporate America making it harder for the American public to trust them with all the recent scandals going on? Corruptions are everywhere and especially in businesses, but are these legal or are they ethical problems corporate America has? Bruce Frohnen, Leo Clarke, and Jeffrey L. Seglin believe it may just be a little bit of both. Frohnen and Clarke represent their belief that the scandals in corporate America are ethical problems. On the other hand, Jeffrey L. Seglin argues that the problems in American businesses are a combination of ethical and legal problems. The ideas of ethical problems in corporate America are illustrated differently in both Frohnen and Clarke’s essay and Seglin’s essay.…
Companies in general may not perceive an action like moving jobs outside the United States as unethical. By doing the following learning Team “A” made a clear argument of how unethical outsourcing is to Americans; team A has defined the issue, the basis of the issue, identified the ground rules that caused the situation in the first place, what brought the change about, and what ethical systems were utilized. Team A also discussed the different levels of management and their ethical systems, and we proposed a plan for revising the ethical standards to resolve the issue.…
In today’s ever changing and competitive modern world of business, it is critical for the companies to have activities internationally. In order to prohibit frauds and illegal activities, several acts and documents have been elaborated. One of the documents is Foreign Corrupt Practices Act that has been enacted in the 1970’s, as a result of SEC investigation of several U.S. companies that made illegal payments to foreign governmental officials, politicians, and political parties (Barnes 73). The FCPA had a critical impact on the way U.S. firms do business. Companies that did not comply with FCPA have been subject of criminal and civil enforcement actions that later resulted in huge fines and sentences for their officers and employees. In addition, SEC is responsible for all civil enforcement while Department of Justice is responsible for all criminal enforcement. As a consequence, firms developed specific compliance programs that helped to avoid such actions. Event though the FCPA was passed, the Congress became concerned that U.S firms were disadvantaged to foreign companies who periodically paid bribes. Therefore, after years of negotiation in 1997, United States and other thirty three countries signed the Organization of Economic Cooperation and Development Convention on Combating Bribery of Foreign Public Officials in International Business Transaction. The FCPA is enforced by Department of Justice and SEC and its violation often occur outside of the United States. Therefore, business people must be knowledgeable about all business activity, including overseas activities (“FCPA Enforcement”).…
In a time where every organization is looked at under a microscope the price of unethical behavior is expensive. Companies like World Com, Enron, AIG, Health South, and a host of other companies add to the growing list of entities involving unethical misconduct of some sort. This paper will point out the price a Tyco paid when his ethics were in question. In addition to the outcome of events surrounding Tyco and the punishment imposed on its CEO, ethical breaches are also prevalent in us.…
In the 1970’s, hundreds of businesses were found to be making unethical practices in foreign countries. The Security and Exchange Commission (SEC) investigated and the findings compelled the US Congress to create the Foreign Corrupt Practices Act to require businesses to account for their business practices by providing records that portray an accurate documentation of the business accounting procedures. The Foreign Corrupt Practices Act (FCPA) was implemented to halt the bribery of foreign officials in the position to grant favors to American businesses to either obtain the ability to conduct business in the foreign country or to keep their businesses in the foreign country. Because America’s reputation was becoming so tarnished with accusations of foreign bribery, the United States Congress implemented FCPA to restore good faith in the ethical business practices of American businesses (Export-Import Bank of the United States, 2010).…
In the Organization for Economic Cooperation and Development (OECD) Guidelines for Multinational Enterprises, which sets voluntary principles and standards for business conduct, clearly outlines the negative aspects that comes from bribery. “Bribery and corruption are damaging to democratic institutions and the governance of corporations. They discourage…
In recent years, America has witnessed more unethical and illegal business activities than ever before. Among these are hacking, bribery, fraud, insider trading, employee theft, corporate scandals, and much more. Corporate scandals have resulted in public outrage about deception and fraud in business and a demand for improved business ethics and greater corporate responsibility .…
Multinational companies have to “engage in business practices to avoid negative consequences to their stakeholders” (Cullen, & Parboteeah, 2011, pg. 127). Multinational companies have to retain basic rights such as: pursuing fair profits and indicating duties provide equal wages for the employees. Prescriptive ethics is to direct multinational managers what they should and should not do.…
with people from the home country, whose standards should prevail? Even the best-informed, bestintentioned executives must rethink their assumptions about business practice in foreign settings. What works in a company's home country can fail in a country with different standards of ethical conduct. Such difficulties are unavoidable for businesspeople who live and work abroad. But how can managers resolve the problems? What are the principles that can help them work through the maze…
Managers and leaders of companies conducting business internationally face many ethical and moral issues. When companies conduct business with other nations many dilemmas may occur because of ignorance of the other nation’s customs and beliefs. Understanding the customs and beliefs of countries will improve the relationship between the individuals and teams conducting business. The best way to ensure improved success is to have the most experienced team members conducting the business with the other nation’s most experienced personnel. This ensures the business relationship will flow smoothly and will be more productive without insulting each nation. Managers must rely on the strengths of their company and know what the best method to conduct business is and how to obtain the most out of the work performed. All companies that conduct international business make every effort to minimize ethical and moral issues.…
As companies become more globalizes there is a stronger need for international executives who have international experience (Andrade, 2016). Challenges of knowledge, innovation, acquisitions and more can be further influenced by an HRM who has international experience and strategies. These practices which are coordinated and controlled properly can increase focus, and provide cohesion to the…
Hoffman, W.F, Lange, A.E, & Fedo, D.A. (1986) Ethics and the Multinational Enterprise. New York University Press of America…
Since the phenomenon of globalization, companies that decided to broaden their horizons have to face multiple challenges and their management functions need some adaptations. While going abroad, companies may become concerned with the subject of corruption that makes the business with foreign countries even more complicated. Even if there is a willingness to fight and reduce the corruption across the world, companies must be aware that this subject exists and must take it into account while dealing with foreign companies, their efforts to understand and adapt to local corruption influencing their success of failure.…
In business as in society, general unethical behavior is on the rise. This is evident in the myriad of news reports regarding unethical conduct by both large corporations and self- employed business owners that are a daily news occurrence. “In the last ten years, approximately two-thirds of America’s 500 largest corporations have been involved in illegal activity”. (Crossen, 1993 p.228) Unethical behavior can take down a company and the best way to cut down on unethical behavior is to manage unethical employees…
In reference to cultural corruptions, globalization can be the reason for moral issues through differing cultures from nation to nation. Businesswomen and businessman without the capability to surmount and adjust to a foreign nation may lose business related transactions single handedly due to moral issues. In addition, other problems may arise which include white-collar offences offenses.…