Ethics Artifact Paper

Ethics Artifact Paper

Introduction

Ethical conduct of companies from around the globe has become the most debatable topic, particularly company's ethical relationship with their external stakeholders like (investors of companies, their customers, and law enforcement agencies) (Deloitte, 2013). Companies operating across USA are striving hard to ensure that their entire business activities are in accordance with ethical regulation and standards set by industry and country, however, while working in emerging markets these companies face severe ethical issues, when dealing with (vendors, business associates and partners, and others). Ensuring ethical and legal compliance, and implementation is some my considered as mammoth task, primarily because multinational companies are observed of engaging with numerous third parties, and with this probability of one party involving in corrupt practices is extensively high, and that ultimately raises the percentage of occurrence of legal and reputational risk. Meanwhile, recent survey conducted by Deloitte financial advisory services “look before you leap” disclosed that numerous high-level executives of well-known USA companies have shown alarming signs of increasing issues related to compliance and integrity risk in emerging market. Moreover, according to the chairperson “Wendy Schmidt” of Deloitte advisory services, the most alarming discovery of this survey was the confidence level of some of companies executive, which were extremely confident about their business process, and in affectively managing the prevailing issues in emerging market. Reviews and strategies of more than 126 executives were gathered, out of which 75 percent executive were belonging from USA. Some of the important facts of the survey are listed below

Around seventy percent of the company's executives were found tremendously worried about the raising issues particularly (compliance and integrity-related risk issues) while initiating business in emerging markets (Deloitte, 2013). Meanwhile, around seventy-one percent of companies executive are of the view that within last two years, these issues have become prominent in last two years.

According to forty percent of companies and industry executive, corruption and bribery by government official is the major factor of increasing the risk of compliance and integrity, whereas, according to twenty six percent executives dual nature of conducting business are primary are their major issue in emerging market.

In addition to this, survey further disclosed that around thirty-eight percent executive were exceptionally confident about their ability of resolving the issues particularly (compliance and integrity) while initiating business in emerging market. Meanwhile, around thirty percent of the executives were not confident of their ability of ...