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JOURNAL OF LEADERSHIP, ACCOUNTABILITY AND ETHICS
Walmart de Mexico and the Foreign Corrupt Practices Act: Stepping Over the Border and Stepping Over the Line
Author(s): Charles A. Rarick, Henry Williams, Casimir Barczyk, Adrian James
Citation: Charles A. Rarick, Henry Williams, Casimir Barczyk, Adrian James,(2018) "Walmart de Mexico and the Foreign Corrupt Practices Act: Stepping Over the Border and Stepping Over the Line," Journal of Leadership, Accountability and Ethics, Vol. 15, Iss.1, pp 43-50
Article Type: Research paper
Publisher: North American Business Press
Abstract:
This case examines the allegations of bribery of government officials by Walmart’s Mexican subsidiary and the subsequent investigation carried out by the U.S. Department of Justice. The primary subject matter of the case is the Foreign Corrupt Practices Act (FCPA) and the potential lack of effective leadership. The case reviews the important components of the FCPA, looks into the specific acts of potentially illegal behavior in Mexico and the United States relative to the incident, and proposes the question of how Walmart could have handled the situation more effectively. The case provides a view into potential pitfalls MNCs encounter when conducting business in developing countries with differing ethical standards.
