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Case Study: ENR Inc is a public energy company. Aside from energy business, the company is involved in trading of derivatives markets. Its annual revenue was $100 billion dollars, and it has 10,000 more employees. It is normal for a large company to have a stringent code of ethical standards. Good ethical standards re?ect the reputation of the company as responsible corporate entity. For six consecutive years, the company was named by the Fortune Magazine as one of the most innovative companies. AH LLP is an independent auditing firm and one of the top ?ve auditing ?rms. AH LLP is the auditing ?rm of ENR Inc as well as consultant. The ?rm maintain a good professional relationship and even beyond, because they considered it a valuable client, as it delivers huge professional fees in audit and consultation services in tax matters. Losing them, would certainly does affect the revenue of the ?rm and bonuses enjoyed by few executive of?cers. The auditing firm also acted as internal auditor of ERN Inc. The head of auditing team, who conducted an annual audit of ERN Inc, was offered one week vacation together with his family and all expenses were paid by the company. The auditing ?rm conspired with the executive of?cers of company to manipulate the outcome of the audit and in order to make it appear that it made a huge pro?t from its operation. The executive officers abused their power and privileges, manipulated information, engaged in inconsistent treatment of internal and external constituencies, put their own interests above those of their employees and the public, and failed to exercise proper oversight or shoulder responsibility for ethical failings that resulted in the sudden drop of its stock price from $100.00 to 50.26 cents.
Question: Discuss and identify how many issues on corporate social responsibilities {:CSR) and ethics.
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