...of the world’s greatest challenges”, the sole UN principle that addresses this issue is under-developed and is the least among the four focus areas of the Compact (as compared to human rights, labour, and environment). Furthermore, there are even less initiatives undertaken by the UN that specifically address the prevention of corruption in emerging markets, both in business and government sectors. We begin by providing a literature review of past research in our topic area, followed by a theoretical analysis of the causes of corruption in emerging markets. As part of this theory, we have identified five variables that are our focus: level of poverty, cultural boundaries and differences, access to education, amount of extortion and bribery in government and business, and level of transparency and accountability. Using these variables, we arrive at new conclusions and then provide a discussion on their implications for international managers. Throughout the paper, we also explore the magnitude of the effects that have resulted from the addition of Principle 10 to the Global Compact. Introduction A wide variety of research on corruption has been done over the past century: from studies on its effect on democratic voting procedures (e.g. Peters and Welch, 1980) to its consequences for small business in Russia (Barkhatova, 2000). The truth is that this ancient problem reaches far and wide, and that “it has had variegated incidence in different times at different places...
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...Quiz # 1 Note’s Chapter # 1-3 Business Ethics Chapter # 1 1. Why Business Ethics? * Business decisions under great scrutiny Global financial crisis created diminished stakeholder trust Deals with questions about whether practices are acceptable No universally-accepted approach for resolving issues 2. Business Ethics * Comprises principles, values, and standards that guide behavior in the world of business 3. Principles: Specific boundaries for behavior that are universal and absolute Freedom of speech, civil liberties 4. Values: Used to develop socially enforced norms Integrity, accountability, trust, Norms: Accepted behaviors. Morals: Rules of right conduct: right/wrong 5. A Crisis in Business Ethics * Consumer trust of businesses is declining, No sector is exempt from ethical misconduct, Stakeholders determine what is ethical/unethical ,Investors Employees, Customers, Interest groups, Legal system, Community 6. Why Study Business Ethics? * Reports of unethical behavior are on the rise, Society’s evaluation of right or wrong affects its ability to achieve its business goals, Studying business ethics is a response to Sarbanes-Oxley, FSGO, and stakeholder demands for ethics initiatives, Individual ethics alone is not sufficient, Studying business ethics helps identify ethical issues to key stakeholders 7. A Timeline of Ethical and Socially Responsible Concerns * Environmental issue, Civil right issue, increased employee employer...
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...The criterion for being selected was blind and no questions asked loyalty. Expertise and technical competence were secondary and qualifications based on ethical or code like civil service was not a factor in the equation. Machines served the less fortune to maintain power. As immigrants flooded into the U.S. with little English speaking ability and a need to provide for their families, ward heelers working for the machine boss would “come to the rescue.” The machines provided immigrant workers with business titles and under the table health code inspections to ensure their survival in the states. The local immigrant owned businesses were essential to the success of old party machines. Party machines served as a bridge between the government and immigrant workers. They provided legal help when necessary and bureaucratic assistant (PPT 2 slide 38). If an immigrants son, per say, was sent to jail, the ward heelers would be able to bail their son out of jail free of charge to the family. The machines had pull with local politicos, which allowed them to exchange...
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...consisting in delivering alerts and warnings to decision makers CI and crisis “ Lack of transparency can mean the management doesn’t see or doesn’t want to see important, vital competitive information. At time, this can lead to crisis.” Leonard M. FULD The secret language of competitive intelligence DEFINITION * BRUTAL,SUDDEN AND TRAUMATIC EVENT * Effect of surprise * Low probability (which make prevention difficult) * Considerable stakes (even the survival of the organization) * COMPLEX SITUATIONS WITH UNCERTAIN OUTCOMES * AN EXCEPTIONAL SITUATION REQUIRING “EXTRA-ORDINARY” MEASURES * Major impact * Fast reaction is imperative GOALS * You have to preserve your company’s activity, employees and assets, but not by any means * Laws, standards, ethics and ‘morality’ (which is a subjective – and risky – concept) * Do not forget that your strategy and communication must answer stakeholders’ questions and expectations * Responsibility and governance * Transparency regarding the events * Mid-term and long term consequences TYPOLOGY Three types of crisis * Those related you’re the company...
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...ACCOUNTING CHALLENGES: A Global Perspective Amber Welch May 17, 2014 BU481 Introduction Herbie Hancock once said, “Globalization means we have to re-examine some of our ideas, and look at ideas from other countries, from other cultures, and open ourselves to them. And that’s not comfortable for the average person”. Globalization pivots on the strength of the business behind it, the focused efforts by accounting and manageability of an industry of leadership, and standards that when faced with challenge, must meet the rising needs of the world. Born from the necessity of standardization, the hurdles of international business, and the wave pool that is the global economy, today, accounting at all levels faces challenges unlike any ever seen in history. To understand how to continue to move forward and face these challenges, it is important to first examine the standards in accounting, and to explore the differences in U.S. standards versus worldwide standards. To look at the development process and the governing bodies surrounding this change, and then examine what change will bring, and whether it is attainable. For continued growth, understanding the modern realm of international business and the changes being seen in accounting leadership as well as the growth of technology, and the mounting concern for ethics in the world environment is as vital as any other component. It is important to explore the economy of the United States versus the world, the impacts of...
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...Corruption: The Most Pressing Problem in Exporting and Importing 2013-2017 1 Corruption: An Overview Corruption exists all over the world, regardless of how social conservative, religious, or developed a nation may be. While some countries have taken an active approach to outlaw the practice, others have embraced the habit as a method in which to conduct business. Because of this disparity there are varying degrees of how prevalent corruption is by country. Transparency International, a global coalition against corruption, defines corruption as “the abuse of entrusted power for private gain” (Transparency International, 2012). As such, corruption is not limited to just one form or one sector of society and is a complex social issue that does not lend itself to an easy solution. Due to the nature of corruption it is difficult to quantify just how much money is lost to the practice each year. It is not until an organization is discovered engaging in corruption that a value can be placed on it. However, those are isolated incidents and the amount of money involved varies from one case to the next. A report in Global Financial Integrity stated that “illicit outflows increased from $1.06 trillion in 2006 to approximately $1.26 trillion in 2008” (Kar & Curcio, 2011). Illicit outflows consist of corruption, tax evasion, theft and embezzlement. Due to “abuse of entrusted power” corruption is difficult to measure and contain because of the human...
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...moral in their nature (Hosmer 1996: 1, Stark 1993). In the context of studying moral issues in business, the stakeholder approach has gained increasing support in recent years (Van Luijk 2000). It has been found to be a suitable tool for analysing a company's relations with its environment and for dealing with moral issues raised in these relations (Nasi 1995, Waters et al. 1986). To answer the demand for the research of moral issues in everyday business life, this paper is targeted at developing a framework for analysing moral issues in stakeholder relations. Furthermore, the aim is to operationalise the developed framework by developing itemised statements to be used as empirical measures in a survey research. The research question is: how...
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...different environmental factors are constantly changing, often drastically; making it challenging to manage. For instance, the political environment in another country may be quite unstable due to a recent election. Furthermore, violence and revolutions complicate when traveling through the host country. Another risk that presents itself is in the form of culture shock. Even if the managers are familiar with the host country’s cultural differences, cultures also evolve throughout time. Environmentally, managers must respond to the future forecasts to determine the probable impact, and to ensure the survival and growth of the organization as it interacts with its dynamic environment (Phatak, Bhagat, and Kashlak, 2009). The host country in question here is Brazil with its booming economy and market for growth. Although, Brazil is known for its many negative connotations regarding bribery, corruption, and organized crime; the conditions in the labor market however remain favorable. Unemployment is at the lowest it has been in years and the middle class continues to grow. With the growing middle class comes demand for consumer goods, specifically in the fashion and retail departments. Inflation has remained under control with the adoption of an inflation targeting system in 1999 (Overseas Business Risk – Brail, 2012). The exchange rate continues to be an issue though with the Brazilian Real up to US$1:R$2.02. Regarding the crime...
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...Name: Course name: Instructor’s name: Date: Business management plan Business success requires a breadth of knowledge and abilities and, in bringing together theory and practice. A business plan is an essential tool not only for those starting a business but also for those with existing businesses. A business plan is a guide to what a business will do, what it aims to achieve, how it will be accomplished and most importantly whether there is someone with the ability to do that. The business plan provides a complete description of a business idea, explaining its sales and marketing strategies, the management team, prediction of financial forecasts and operations. In short, a business plan enables a business idea to be transformed from the initial conception stage towards a fully reasoned and realistic plan of action (Blyth, M, 2013). A business plan also operates as a working document and essential management tool as it shows clearly how the business will proceed and the strategies it will employ. It enables possible obstacles to be avoided or minimized, targets to be focused upon and achieved, and effective structure to be put in place for a business strategies and finance. The business plan should be used as a guiding factor when it comes to decision making. It should be reviewed, modified and developed as the business evolves and progresses. It’s true that businesses that implement their business plan and keep it up to date can monitor their growth and are in a better...
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...| Good Business Ethics | [Type the document subtitle] | | [Type the author name] | | Table of Contents Table of Contents------------------------------------------------------------------ 1 Executive Summary-----------------------------------------------------------------2 Introduction--------------------------------------------------------------------------3 Research Finding #1 Why strong ethical decisions are important to companies. ----4 Research Finding #2 How Ethics affect the bottom lines---------------------------------5 Research Finding # 3 How does a Company Keep Everyone on the Same Ethical Road? ----6 Recommendations-------------------------------------------------------------------9 Conclusion---------------------------------------------------------------------------10 References----------------------------------------------------------------------------11 EXECUTIVE SUMMARY * Business ethics have a strong impact on all companies. When a company is written up for unethical performances the profitability of the company will be affected in a negative way. Every business needs to have a code of ethics that relates to its mission statement. An employee code of ethics does not tell an employee how to handle or micromanage every situation that may arise. A good code of ethics starts with the company’s mission statement. The company can take its mission statement and intertwine the company’s...
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...summer research fund is gratefully acknowledged. Abstract This paper describes the need and the search to date for a normative moral foundation for marketing. Social contract theory appears promising because of its clear correspondence to the exchange relationships central to marketing thought and practice. It is introduced in a specific formulation known as Integrative Social Contracts Theory. ISCT provides a coherent framework for resolving ethical issues arising between different communities and is therefore particularly appropriate because marketers frequently engage in boundary-spanning relationships and crosscultural activities. The application of ISCT to ethical decision making in marketing is explored through the use of bribery as a major illustrative...
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...------------------------------------------------- UNIVERSITY OF TECHNOLOGY SYDNEY ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- FACULTY OF BUSINESS ------------------------------------------------- Graduate School of Business ------------------------------------------------- ------------------------------------------------- Management & Organisations - 21800 ------------------------------------------------- ------------------------------------------------- Student Name: Arijit Banerjee ------------------------------------------------- ------------------------------------------------- Student Number: 11294636 ------------------------------------------------- ------------------------------------------------- Lecture Day: Monday 9 AM to 12 PM ------------------------------------------------- ------------------------------------------------- Lecturer: Dr. Walter Jarvis ------------------------------------------------- Tutor: Ms. Alison Lee ------------------------------------------------- ------------------------------------------------- UTS: BUSINESS SCHOOL OF MANAGEMENT PART A: The educational system in any country around the world is, by no doubt, designed to meet the ever growing hunger of Industrialization. Dubbed by Sir Ken Robinson (2010) as “the fast food model”, this...
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...Journal of Business Ethics (2007) 75:273–284 DOI 10.1007/s10551-006-9252-9 Ó Springer 2007 Cultural Values and International Differences Bert Scholtens Lammertjan Dam in Business Ethics ABSTRACT. We analyze ethical policies of firms in industrialized countries and try to find out whether culture is a factor that plays a significant role in explaining country differences. We look into the firm’s human rights policy, its governance of bribery and corruption, and the comprehensiveness, implementation and communication of its codes of ethics. We use a dataset on ethical policies of almost 2,700 firms in 24 countries. We find that there are significant differences among ethical policies of firms headquartered in different countries. When we associate these ethical policies with Hofstede’s cultural indicators, we find that individualism and uncertainty avoidance are positively associated with a firm’s ethical policies, whereas masculinity and power distance are negatively related to these policies. KEYWORDS: business ethics, codes of ethics, cultural values JEL: G300, L210, M140 Introduction Are there differences with respect to the ethical policies of firms that are headquartered in different countries? And are there differences among firms that belong to different industries? Chryssides and Bert Scholtens received his Ph.D. at the Universtiy of Amsterdam. Since 1999 he has been working at the Department of Finance of the University of Groningen, the Netherlands. His research...
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...invaluable for future projects. Regards, Chun-Chang, Tseng Executive Summary This report provides a described about the negative impact from the wrong leadership decision-made in Siemens. It provides two plans to solved the scenario and discuss how to access the two plans. Methods of solved the scenario are establishment corporate social responsibility and changed the leadership style to transformational leadership. Both the plans are able to improve the worst situations. Results of case analysed show that to help organisation transform reforming is an important direction for the company to reinvigorate. The report finds CEO is the helmsman of a company in future course. The correct leadership decision-making is the key to survival and development in a company. The role of CEO is not only policy direction, but also led the organisation to fulfill the task. CEO must be able to motivate employees, and to maximize employees' work efficiency. Moreover, in the process by...
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...Case Study: The Board Member’s Relative The text of this case is presenting us with what, often, managers are confronted with: a dilemma, and how after all they have to struggle to make an ethically decision. This response to the conference will be approached in three different phases using two different methodologies or frameworks, and a set of questions accompanying the case study to evaluate and analyze the situation or issue presented in the case in order to make a reasonable judgment and how to proceed to make an ethical decision. The text to be analyzed throughout this discussion is “the Board Member’s Relative” case study (case). 1. Using Browne and Keeley methodology The basis for evaluating the case here is some of the steps (issue, reasons, value assumptions and conflicts or descriptive assumptions, significant omitted information, and possible conclusions) developed by Browne and Keeley (2012) in their book titled: Asking the Right Question: A Guide to Critical Thinking. - What is the issue? What recommendation should be made? Ellie, the Purchasing manager is confused and confronted with this dilemma. - What are the Reasons? There are many reasons why Ellie is confused about what to do. Doing the right, the ethical thing, or please her boss. The most important reasons are: Camille’s Coverings is owned by a board member’s daughter. Camille’s Coverings is expressly presented and its bid handed to Ellie by the CEO...
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