95%(21)20 out of 21 people found this document helpful
This preview shows page 14 - 17 out of 32 pages.
these countries. Briefly, describe what you perceive are the risks of corruption, such aspaying bribes, that your selected company might face in these countries.Stepping away from France and the United States in order to show a drastic difference in Corruption Perceptions Index (CPI) scores a review of Japan and China has been conducted. A 14
FINAL PORTFOLIO PROJECTcountry’s CPI score “measures the perceived level of the public sector on a scale of 0 (highly corrupt) to 100 (very clean” (Transparency International, 2016). China’s CPI score of 37 recognizes that corruption is prevalent in China whereas Japan’s CPI score of 75 indicates that the country is relatively peaceful (Transparency International, 2016). While corruption can be seen in Japan it is a minor issue compared to China.Several scandals have been revealed in light government reform with regard to transparency in Japan. In an article in the Bloomberg report in March 2016, Toshiba, the well-known computer, and Technology Company, hid $1.3 billion in losses at their nuclear power operations (Shoenberg & Robinson, 2016). The loss became apparent after political reforms called for more transparency in corporate governance and risk management. The article suggeststhat governance is easy to fake and an outbreak of confessions have followed including Mitsubishi Motors, reviewed in a separate article, which admitted to falsifying data in April 2016regarding fuel economy in their vehicles (Fujikawa, 2016). Similarly, accounting fraud is prevalent in China. Longtop Financial Technologies is currently being investigated for fraudulent record keeping. Longtop Financial Technologies, during their yearly accounting audit,was questioned regarding discrepancies in reported vs. actual revenue (Norris, 2016). The articlegoes on to explore how Longtop Financial Technologies attempted to bribe and threaten their auditor Deloitte Touche Tohmatsu.Given the goods and services The Walt Disney Company provides it is my opinion that the company has taken the right approach. While setbacks have been seen over the years, including the slow progress of EuroDisney, the majority of The Walt Disney Company’s foreign market work has been highly successful.15