Which argument do you support

Assignment Help Financial Management
Reference no: EM131116389

Should an MNC Reduce Its Ethical Standards to Compete Internationally? 

Point Yes. When a U.S.-based MNC competes in some countries, it may encounter some business norms there that are not allowed in the United States. For example, when competing for a government contract, firms might provide payoffs to the government officials who will make the decision. Yet, in the United States, a firm will sometimes take a client on an expensive golf outing or provide skybox tickets to events. This is no different than a payoff. If the payoffs are bigger in some foreign countries, the MNC can compete only by matching the payoffs provided by its competitors.

Counter-Point No. A U.S.-based MNC should maintain a standard code of ethics that applies to any country, even if it is at a disadvantage in a foreign country that allows activities that might be viewed as unethical. In this way, the MNC establishes more credibility worldwide.

Who Is Correct? Use the Internet to learn more about this issue. Which argument do you support? Offer your own opinion on this issue.

Reference no: EM131116389

Questions Cloud

Explain how the theory of comparative advantage relates : a. Explain how the theory of comparative advantage relates to the need for international business. b. Explain how the product cycle theory relates to the growth of an MNC.
Is this acceptable under igaap : Is this acceptable under iGAAP? If so, explain how that treatment could affect comparisons to a U.S. GAAP company.
Explain the agency problem of mncs : a. Explain the agency problem of MNCs. b. Why might agency costs be larger for an MNC than for a purely domestic firm?
Various disclosure issues discussed in the chapter : Where can authoritative iGAAP be found related to the various disclosure issues discussed in the chapter?
Which argument do you support : Use the Internet to learn more about this issue. Which argument do you support? Offer your own opinion on this issue.
What is fraudulent financial reporting : Jane Eller by and Sam Callison are discussing the recent fraud that occurred at Low Rental Leasing, Inc. The fraud involved the improper reporting of revenue to ensure that the company would have income in excess of $1 million.
How will the political turmoil in a number of middle east : Web Question: How will the political turmoil in a number of Middle East countries in early 2011, such as Egypt, affect political risk? Try to use Web resources on ratings and spreads to come up with a quantitative answer.
What is the difference between a cpa : What is the difference between a CPA’s unqualified opinion or “clean” opinion and a qualified one?
Evaluate whether buc should sell the plantation now : A wealthy El Salvadoran has just offered $160 million for the plantation. BUC would have used a discount rate of 23% to discount the cash flows from its Honduran operations if the threat of expropriation were not present. Evaluate whether BUC should ..

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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