These bribes are not necessarily illegal under argentine law

Assignment Help Operation Management

Reference no: EM131719136

A few years ago, IBM announced that it had fired the three top managers of its Argentine division because of their involvement in a scheme to secure a $250 million contract for IBM to provide and service the computers of one of Argentina's largest state-owned banks. The three executives paid $14 million of the contract money to a third company, CCR, which paid nearly $6 million to phantom companies. This $6 million was then used to bribe the bank executives who agreed to given IBM the contract. These bribes are not necessarily illegal under Argentine law. Moreover, the three managers argued that all companies have to pay bribes to get new business contracts, and they are not doing anything that managers in other companies were not. Keeping this info in mind answer the following: Should IBM allow its foreign divisions to pay bribes if all other companies are doing so?

Reference no: EM131719136

Questions Cloud

Effectively managing conflict section : describe the styles of conflict handling that are presented in the “Effectively Managing Conflict” section of Managing Conflict and Negotiations.

What items should be debited to the land account : Valley Ski Incorporated has developed a tract of land into a ski resort. What items should be debited to the land account

Examples of hidden information or hidden action : Draw from your own experience to provide three examples of hidden information or hidden action (at least one of each) that could adversely.

President to replace the federal reserve board : Legislation has just been proposed to permit each President to replace the Federal Reserve Board.

These bribes are not necessarily illegal under argentine law : These bribes are not necessarily illegal under Argentine law.

Discuss about the major drivers in supply chain management : The five (5) major drivers in supply chain management are the customer, the cost, flexibility, time, and quality.

Determine the average household size : In the 2000 census of the United States, it was determined that the average household size was 2.59 persons per household.

Explain the functionalities of the chosen information system : Information Technology in Business - Identify and explain the functionalities of the chosen Information System. The key functions of its IT hardware

Social media as communication method in business : Discuss your thoughts about social media as a communication method in business.

User Account

All Pages