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Finance for managers module 8 Discussion

Finance for managers module 8 Discussion

Q Is there a conflict between maximizing shareholder wealth and never paying bribes when doing business abroad? If so, how might you explain the firm's position to shareholders asking why the company does not pay bribes when its foreign competitors in various nations clearly do so?

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No conflict is there between maximization of the wealth of the shareholder and no bribes being paid when business is done abroad. The shareholder can be regarded as the legal share owner in the private organization with the particular intend of profit increase. A vital role is played by the social responsibility and ethics for the company’s success. Suppose bribe is paid by the foreign rival that may