Enron Business Ethics

Words: 2133
Pages: 9
Open Document
Corporations are all around us these days. No matter whether one is buying a pair of shoes or a new laptop, whether he is looking for a soft drink or some kind of sport equipment, one has to choose among the options offered by the supermarket, the shopping center, or the website where all these are available. No matter whether one lives in the USA, in China, or in Bulgaria, he or she can still buy one and the same items from one and the same brands. The globalization is now on a whole new level and those international brands are fighting on one and the same market. And all they want is the approval of the people who will buy their goods and services only. And to win this approval the companies now need to be ethical, because once you sell someone …show more content…
The fall of Enron, which was one of the biggest energy companies in America, was reviewed by Paul Healy, the James R. Williston Professor of Business Administration at Harvard, and Krisha G. Palepu, the Ross Graham Walker Professor of Business Administration at Harvard, who state that “despite the elaborate corporate governance network, Enron was able to attract large sums of capital to fund questionable business model, conceal its true performance through a series of accounting and financing maneuvers, and hype its stock to unsustainable levels” (2). This problem with Enron’s management led to the decrease of their public image by both the public and investors. The public didn’t want to be supplied by them and increased the demand for other energy companies, investors stopped to invest in the firm, leading to the crash of Enron in both the stock and bond market, eventually leading to its bankruptcy. This example of non-ethical practices by a huge corporation shows that despite the gigantic revenues of $111 billion dollars, a company can be totally shattered by ignoring the ethical standards and speculating with the public. Since its fall, Enron has become a warning sign for many big corporations for the importance of following corporate social responsibility. An utterly different corporation in terms of business ethics, the Royal Dutch Shell Plc, one of the biggest petroleum companies in the world, presents a totally different aspect. In the research “The Relationship between Corporate Social Responsibility and Profitability: The Case of Royal Dutch Shell Plc”, Ekatah Innocent, Logistics Manager at Midax Logistics, bases its measurement of corporate social responsibility on the content analysis of the annual reports of Royal Dutch Shell Plc.
Show More

Related Documents: Enron Business Ethics

Enron's Business Ethics Failure Essays

2. The Fall of Enron ...............................................................................4 3. Enron's ethical dilemmas ..................................................................6 4. Conslucions .......................................................................................7 5. Bibliography ......................................................................................8 1. Overview The goal of this report is to analyze business ethics in the context…

Words 1463 - Pages 6

Ethics Paper5

essential to the progress of all individuals and of any nation. Ethical values are crucial to the functioning of all business in general and society as a whole. Business and society depend on individuals making personal ethical decisions that are fundamental to responsible business operations and to an orderly society. "The purpose of ethics in accounting and business is to direct business men and women to abide by a code of conduct that facilities public confidences in their product and services" (Dr…

Words 833 - Pages 4

Essay on accounting ethics

This is a 6-page essay discussing ethics and governance in business. It identifies one specific organization and critically evaluates its performance in relation to the key principles of business ethics. It provides background information about the organization, information about ethical dilemmas within the organization and possible ways these dilemmas can be solved. It relies on 15 sources and is presented in Harvard format. Enron and Ethics Introduction Enron is an American company based in Houston…

Words 1855 - Pages 8

enron exposure Essay

A shows the case study and part B shows the analysis. In Part A, I have chosen the company based on historical case. Enron Corporation, an American well known energy company who used to be a leading company in the whole world. They played a vital role when there was no government rule in the energy market. They act as a middleman in the market. They rapidly expanded their business and attract the people to invest in their company. They became greedier and wanted to made more money within a few days…

Words 3361 - Pages 14

Enron As The Stain On The American Business World

Ethics Paper Kaitlin Porter 11/16/2013 To go from having more than sixty-five billion dollars in assets and being called “the most innovative company of the year” in 2000, to being the largest Chapter 11 filing in U.S. History to declare bankruptcy, Enron will forever be known as the stain on the American business world (Gibney, 2005). From the outside, it was Wall Street’s beautiful baby, a company that every CEO aspired to copy, on the inside though, it was an empty hole full of cheating…

Words 1888 - Pages 8

business research ethics Essay

Business Research Ethics Jessica Vinson University of Phoenix RES/351 Instructor: April Summerford The purpose of my paper is to discuss the business ethics of a company that is said to be one of America’s biggest fraud case. The article that I found was about a company called Enron. The article discusses Enron’s business practices and the unethical research used in order to expand the business that caused many lives to be damaged, and many futures ruined. Ethics…

Words 723 - Pages 3

Enron the rise and fall Essay

Running Header: Unethical Business Research Unethical Business Research Corrie Johnson Res/351 December 23,2013 David Dean Gualco Enron was among the largest trading firms in the area of energy, communication, and natural gas in the nation. Ken Lay originated it in 1985 in Houston, Texas with the intention of liberating businessmen from government regimentation. However, Enron leaders set the wrong tone by not establishing an ethical committee…

Words 703 - Pages 3

Essay about FInished Bizz Ethics

Keenen Orie 10/9/2012 Dr. Proctor Business Ethics Paper In our society today, we are faced with ethical decisions that require our judgment. There are many concepts in ethics, but the definition is narrowed down into two aspects which are right and wrong. Philosophers believe our moral values are our values that guide how we ought to behave which is our ethical guideline. Ethicists believe that there is always a right thing to do based on moral principle. But, on the other hand, there are others…

Words 1013 - Pages 5

Enron - Ethical Dilemma Essay

greatly transformed in our lives since the great Enron, Xerox and other huge corporations proposed big profits showing earnings of billions of dollars and yet in reality facing bankruptcy. These corporations faced great trouble with the federals and state for manipulating financial statements. But not only corporations can be blamed on this, accounting firms were involved in this as much as the corporations were. With the business stand point, ethics comprises of principles and standards that guide…

Words 1139 - Pages 5

The Case Of Bernie Madoff And ENRN

Farinella BUS 340 10 December 2014 Testini The events surrounding both Bernie Madoff and ENRON led to disaster. Bernie Madoff, a ponzi schemer, swindled his investors out of 65 billion dollars and lost up to 50 billion dollars. He secured himself in prison for the rest of his life when, at 71 years old, he was sentenced to 150 years in prison for 11 felony counts including securities fraud, wire fraud, and perjury. ENRON followed suit with faking people into believing that everything was okay. In fact,…

Words 933 - Pages 4