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An epic bribe scandal at Petrobras, a major oil company controlled by the Brazilian government, that broke out in 2015 shocked the economic and political system of Brazil. Put simply, the company insiders, outside suppliers and contractors, and politicians colluded and stole billions of dollars from the company via kickbacks, bid riggings, overcharging for construction projects, and the like. The Petrobras scandal led to a sharp drop of the company share price, laying off thousands of workers, and tilting the national economy toward recession. The scandal also seriously tarnished the image of Brazil as a promising emerging market. Discuss in detail what happened at Petrobras and then investigate how the company’s governance and the country’s political culture may have contributed to the scandal.
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