Corruption is the abuse of entrusted power for private gain. Corruption can take many forms. Examples of corruption include bribery (soliciting, offering or accepting a bribe in money or in kind) involving public officials or people in the private sector, conflict of interest, fraud, money laundering, embezzlement, concealment and obstruction of justice, and trading in influence.
Corruption undermines an organization’s effectiveness and ethical reputation, and can make it liable to criminal prosecution, as well as civil and administrative sanctions. Corruption can result in the violation of human rights, the erosion of political processes, impoverishment of societies and damage to the environment. It can also distort competition, distribution of wealth and economic growth. [ISO 26000: 6.6.3.1].
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Readings:
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- ISO 26000: 6.6.3
- See: Corruption Perceptions Index at:https://monkessays.com/write-my-essay/transparency.org/research/cpi/overview
- Matthews, C., & Gandel, S. (2015). The 5 biggest corporate scandals of 2015.Fortune. Retrieved from: http://fortune.com/2015/12/27/biggest-corporate-scandals-2015/
- The rationale for fighting corruption. (2014). OECD. Retrieved from:https://www.oecd.org/cleangovbiz/49693613.pdf
- Patra, B.V. (2016). The deliberate deception: Case study on Volkswagen emission scandal. Vilakshan: XIMB Journal of Management, 13(I), 139-148. Not the best written case, but topical and can drive discussion.
- Georgievski, B., & AlQudah, A., (2016). The effect of the Volkswagen scandal (A comparative case study). Research Journal of Finance and Accounting, 7(2), 54-57. https://www.researchgate.net/publication/292615368
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- Olken, B.A., & Pande, R. (2012). Corruption in developing countries. Retrieved from: http://economics.mit.edu/files/7589
- Rose-Ackerman, S. (1975). The economics of corruption. Journal of Political Economy, 4, pp. 187-203
- Hameed, S. & Magpie, J. (2014). The cost of corruption: Strategies for ending a tax on private-sector-let growth. Center for Strategic and International Studies. Retrieved from: https://csis-prod.s3.amazonaws.com/s3fspublic/legacy_files/ files/ publication/140204_Hameed_CostsOfCorruption_Web.pdf
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Assignment:
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The concept that corruption adds to the price of a product is an interesting one and one that is not often debated. In a short essay of 300 words, using at least 2 scholarly peer-reviewed references not listed as a part of this week’s assigned readings, create your argument supporting the idea that corruption DOES add to the price of a product. As part of your response to your colleagues following your initial post, point out at least one flaw that you see in your colleagues’ argumentation along with a suggestion on how to strengthen their post.
