Discusses the foreign corrupt practices act

Assignment Help Business Management
Reference no: EM131155119

This article discusses the Foreign Corrupt Practices Act. Cultural differences may create a dilemma by US companies that operate in a global market.  There may be a conflict between what is an acceptable business practice in one country and what may be an illegal practice under US law.  A good example of a law that many argue may significantly hinder American companies that operate in foreign countries is the Foreign Corrupt Practices Act of 1977.   This Act deals with the payment to government officials in the form of bribes and how these payments are recorded on a company's books.  Typically,  these payments were not recorded or inaccurately described.  Hence, the accounting aspect of this Act.  The FCPA makes it a crime to bribe foreign officials as well as making misleading statements in a company's books.  This Act prohibits the bribery of foreign officials by American companies.  This applies to American companies that also operate in foreign countries.  Bribery may be a standard practice in countries.  It may be illegal but it may be such a common practice that it is overlooked and never enforced.  In some countries, bribery of this nature may not even be considered illegal.   As a result, an American company that is subject to this law may find itself in serious trouble for doing something that may be condoned by the country it is doing business in.  As a result, it has been argued that this has placed American companies at a significant disadvantage because it will or cannot legally "pay to play".  Other companies can bribe foreign officials with abandon to facilitate such things as the movement of goods, expediting regulatory approvals, etc. Imagine your company operates on a global scale and you need to move products in the most expeditious way as possible. What steps would you take from a corporate governance perspective to ensure that this law is adhered to on a global scale?  

Reference no: EM131155119

Questions Cloud

Which pillar is least important for a police officer to have : Of the six pillars of character, which one do you feel is the most important character for a police office to have? Why do you feel this way? Which pillar is least important for a police officer to have
How much can you withdraw each month from your account : You are planning to save for retirement over the next 35 years. How much can you withdraw each month from your account assuming a 30-year withdrawal period?
What would the value today be if payments occurred forever : What would the value today be if the payments occurred for 40 years? What would the value today be if the payments occurred for 75 years? What would the value today be if the payments occurred forever?
What is a final business model : What is a final business model?, and value proposition, and list your key assumptions, risks, and change management issues?
Discusses the foreign corrupt practices act : This article discusses the Foreign Corrupt Practices Act. Cultural differences may create a dilemma by US companies that operate in a global market.  There may be a conflict between what is an acceptable business practice in one country and what m..
Describe key factors in the case of windsor : From the second eActivity, describe two (2) key factors in the case of Windsor v. the U.S. that you believe led to the repeal of DOMA Provide specific examples from the video to support your rationale
Does the law protect each of the groups listed below : In the video, Prasad Setty presents the ways Google has used varied forms of research for evidence based decision making. Based on the video, what types of research have they used and for what types of issues?
Siemens simple structure : There is perhaps no tougher task for an executive than to restructure a European organization. Ask former Siemens CEO Klaus Kleinfeld.
Manager of the accounting department : Linda Sims is the manager of the accounting department and Jose Martinez is the manager of the sales department for a production company. This is a fast growing firm, and the staff of the accounting department (11 employees) is often over whelmed wit..

Reviews

Write a Review

 

Business Management Questions & Answers

  Create a balanced score-card for a fictitious company

Create a balanced score-card for a fictitious company.

  Explain employee can exclude from gross income

An employee can exclude from gross income the value of meals provided by his or her employer whenever: A. The meal is not extravagant.

  Two probs guide please

Describe the differences between authority, responsibility, and accountability as they apply to OSH program management.

  Explaining overall value of the globe project

What are the leadership implications of living in a flat world? Address the overall value of the GLOBE project.

  Discuss sc johnson''s business model as described

Discuss SC Johnson's business model as described

  Creating a decision tree

Chang Yung Chong is planning whether to open a new computer store called Power Byte Computers in West Lafayette, IN. Mr. Chong wishes to proceed cautiously since the market potential for another computer store is uncertain.

  Bricks also mortar organization such as at-t that uses

bricks-also-mortar organization such as AT&T that uses the internet for some things, such as customer service also business-to-business transactions? Explain why or explain why not?"

  Improving the quality of software development

Research the results of using effective quality management tools/techniques on improving the quality of software development. Write a 1-2 page APA style paper summarizing your research. You can focus on one or several aspects of the topic.

  What would their book value be next year

The Digby's balance sheet has $111,771,000 in equity. Further, the company is expecting $3,000,000 in net income next year. Assuming no dividends are paid and no stock is issued, what would their Book Value be next year?

  Why do you feel this way

Do you believe that we will experience significant global warming during this century due to air pollution? Why do you feel this way?

  Discuss leadership behavior

description of the predominant leadership behavior in an organization and the related follower outcomes. And are these outcomes positive or negative and why?

  Suggest five expected business benefits

Suggest at least five (5) expected business benefits that Especially for You Jewelers company might derive from a new system. Provide a rationale for your suggestions

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd