Dilemma essay format
In Lima, Peru, Jed reviewed financial records and discovered that the commissions expense for the branch was unusually high. Geletex pays its salespeople commissions for each commercial customer they recruit for cellular or long-distance services. Jed knows from experience that some companies pay unusually high sales commissions to disguise the fact the sales personnel are paying kickbacks in exchange for contracts. In the U.S., such payments would be commercial bribery and a clear violation of Geletex's code of ethics. When Jed confronted the Lima district manager and questioned him about the high commissions, he responded, "Look, things are different here. We've got a job to do. If the company wants results, we've got to get things moving any way we can."
In Stockholm, Sweden, Jed noted a number of college age student employees who seemed to have little work to do. Again, Jed questioned the district manager, who responded, "Sure, Magnus is the son of a telecommunications regulator. Caryl is the daughter of a judge who handles regulatory appeals in utilities. Andre is a nephew of the head of the governing party. They're bright kids, and the contacts don't hurt us. In the Scandinavian culture, giving jobs to children is part of doing business."
In Mumbai (Bombay), India, Jed noted that many different payments had been made to both the Indian government and government officials. When Jed voiced his concern, the district manager responded, "I can explain every payment. On this one, we needed the utilities [water and electricity] for our offices turned on. We could have waited our turn and had no services for ninety days, or we could pay to get moved to the top of the list and have our utilities turned on within 48 hours. On the check for licensing, again, we could have waited six months to get licensed or pay to expedite it and be licensed."
Jed is an expert on the Foreign Corrupt Practices Act (FCPA). The act permits "facilitation" or "grease" payments, but prohibits bribes. Facilitation opens doors or expedites processes; it does not purport to influence outcomes. Jed is unsure about Geletex's international operations and compliance with the law. He is very unsure about Geletex having an international code of ethics.
Answer the following question: What ethical standards should Jed develop and apply to Geletex's international operations?
2 pages, Times New Roman, 12-point, single spaced.