CAN I GET SOME HELP WITH THIS 2 What are the three areas of

CAN I GET SOME HELP WITH THIS

2. What are the three areas of unethical behavior? Explain / discuss each area

Solution

Below are the three areas of corporate misconduct -

1. Mistreating employees - This includes various unethical practices of the employers towards its employees as below -

i) Exploitation of workers by turning workplaces into sweatshops solely aimed at increasing production by making employees work overtime.

ii) Paying low wages and restricting benefits to employees

iii) Maintaining unsafe work environment to the employees resulting in workplace accidents and other health issues.

iv) Retaliating actions against whistlebowers

v) Sexual harassment and discrimination of the employees

2. Financial misconduct - Below are a host of financial misconduct issues that are unethical practices against shareholders, investors, government and public -

i) Tax evasion and fraud

ii) Cooking accounting books through inflated projections in accounting entries

iii) Price fixing in association with competitors

iv) Insider trading

3. Misrepresentation - This includes unethical practices of misleading various stakeholders with key information of the firm for short-term or long-term gains. Below are few issues related to misrepresentation -

i) Misleading advertising viz. Puffer

ii) Improper accounting practices to misguided investors

iii) Illegal transactions that are unaudited

iv) Board members with conflicts of interest