This is a tricky question as the act permits facilitation or grease payment but prohibits bribes. Since Jed is unsure relative to Geletex’s International Operations and compliance within this country, he would need to verify how permits facilitation or grease payment differs relative to bribes.
Must a business adopt the ethical standards of a host culture in order to succeed?
Since Geletex, Inc. has a Code of Ethics in place, Jed needs to bring attention to the way is handled globally in the countries that Geletex has decided to do business. Then a Code of Ethics can be created with every employee having knowledge of how business is to be handled in that country.
Are all of the actions in the various offices ethical?
At the very least the way business is being handled in the various offices is questionable with the need for rules to be established that can ensure a Code of Ethics is being practiced throughout all global offices.
If you were Jed, what ethical standards would you develop for international operations?
If I were in Jed’s position of Director of Compliance for the organization, I would work with the legal department gaining information concerning how business is handled in each country thereby establishing a Code of Ethics for each location based on the knowledge of that country’s culture.
Does Jed’s firm create any internal problems by allowing different conduct in different countries and cultures?
Yes – without a standard of conduct being established, each employee can do business in the manner that he/she deems necessary without operating ethically. This is a dangerous process that could incur major problems for the organization over time.
The American Bar Association reports that there have been only 16 bribery prosecutions under the FCPA since 1977. However, thousands of others have settled voluntarily rather than go to trial. Is the FCPA necessary for international business operations? Does it impede U.S. businesses’ success in other countries?
The FCPA is necessary for International Business Operations as this organization has at least some type of marginal rules for businesses; however, the organization needs to be more specific relative to ethical practice.
Yes this organization does impede US business success in other countries; however, it is the responsibility of US businesses to decide on a process that would be ethical while at the same time allowing the US to be success in its business within the other countries.
Works Cited
Ethical Theory and Business Books a La Carte Edition. N.p.: Pearson College Div, 2012. Print.
