Worldcom was the second largest long distance phone company in the United States. The former CEO Bernard Ebbers was sentenced to twenty five years in prison due to increasing revenue the wrong way to increase earnings. This company had the largest bankruptcy filing in the United States. Today‚ the Worldcom accounting scandal is known as one of the worst corporate white collar crimes in history. What were some psychological factors that led to this crime? Financial Pressures from competitors
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product can offer a certain level of value that‚ in fact‚ it cannot. E.g. the way lotion are made to portray light skinned people as if when a customer purchases lotion and apply to their skin they will also look like that. And further more on unethical practice are such things like expiry date not displayed on certain items. Some marketers do not display the expiry date on their products they offer and hence they make a heath hazard. Exorbitant pricing A key to marketing success is to engage
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Question 1 At the time Cynthia Cooper discovered the accounting fraud‚ WorldCom did not have a whistle-blower hotline process in place. Instead‚ Cynthia took on significant risks when she stepped over Scott Sullivan’s head and notified the audit committee chairman of her findings. Discuss the key criteria for the operation of an effective corporate whistle-blower hotline. Be sure to highlight potential pitfalls that should be avoided and reference professional codes‚ legislation and academic
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TECHNICAL NOTES Unethical Practices in Nigerian Engineering Industries: Complications for Project Management O. E. Alutu1 and M. L. Udhawuve2 Abstract: The purpose of the paper is to establish the unethical practices in engineering industries and identify the various factors that could encourage unethical practices in the nation’s life with a view to highlighting the findings for corruption-free management of projects. A sample of 226 was randomly selected for the study from a population of 12
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Case Study The Rise and Fall of WorldcomThis case study is about Bernard Ebbers CEO of Worldcom‚ Inc. and Scott Sullivan CFO of Worldcom‚ Inc. once they were boosted the company growth and they got awards. Later on they made frauds by using their influential tactics on employees and company’s board. Those are Assertiveness: it involves applying legitimate and coercive power to influence others by threatening or giving punishment. This tactic was used by sullivans office where they berated and intimidated
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Alberto Martinez. Unethical Business Practices The modern business world is characterized for being aggressive and competitive. Companies must be alert and always ready to take advantage of opportunities as quickly as possible. If companies are not aggressive enough they risk losing business to other competitors. For all these reasons‚ many people now question whether there is a place for ethics in this highly competitive capitalist
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Accounting Fraud at WorldCom Vanessa Gail Woods Strayer University Connor-Green/ACC 576 March 21‚ 2010 Accounting Fraud at WorldCom The break up of AT&T opened the long distance service market to small companies during the mid- to late-1980s and 1990s. Long Distance Discount Service (LDDS) opened in 1983 with moderate growth until its stock went public in 1989. CEO Bernie Ebbers decided to grow the organization through acquisitions (70 companies over the course of its lifetime)
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Management Planning Paper Vernita M. Blacksher Introduction: We will be evaluating the planning function of the upper level management of the Company formerly called WorldCom. We will look at some of the actions taken by upper level management‚ their decision making and what actions were taken to achieve short-term goals. We will be analyzing the influence legal issues‚ corporate social responsibility‚ and ethics had on WorldCom’s management planning
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Enron’s collapse was the result of unethical practices; alas‚ such practices had a long‚ ignominious presence. The Enron story begins with CEO Kenneth Lay‚ who in 1986 combined his Houston Natural Gas company with several other entities. Until 1996‚ Enron primarily sold natural gas. Yet‚ in a sign of trouble to come‚ in 1987 Lay overlooked evidence of financial misdeeds in the company’s Valhalla‚ NY unit as executives Louis Bourget and Thomas Mastroeni greatly inflated profits while embezzling
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or legal fundamentals are breached or blatantly disregarded. Ethics is a strong code of morality‚ which for an occupation such as banking‚ plays an important role in the well being of individuals‚ businesses‚ national and international economies. Unethical conduct manifests itself in various ways‚ including insider abuse‚ fraudulent dealings; irregularity/inaccuracy in rendition of reports‚ these are problems bordering on business ethics as evident in the Nigerian banking crisis. A multiple regression
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