In your judgement, should a U.S. company operating in a foreign country in which collusive price-fixing...

In your judgement, should a U.S. company operating in a foreign country in which collusive price-fixing is not ilegal obey the U.S. laws against collusion? Explain!

Solutions

Expert Solution

According to the US antitrust laws, such acts of an American company calls for a criminal action against the company no matter the country they are operating in or the laws of the country. Therefore, even if it is legal for the country to be corrupt, accept a bribe or be collusive and indulge in price fixing strategies. For a US-based company to be a part of any such process is not treated any differently from the way it would have been treated if they had committed such an act in their own country. The policies of the antitrust laws are absolute and take into account this distinction based on the exact situation that we are facing in this problem. Therefore, the company has both legal as well as an ethical responsibility to have to adhere to the laws set by the US government.

keosha answered 1 year ago

Next > < Previous

Related Solutions

Success of a company investing and operating in a foreign country depends on the competitive advantage...

Success of a company investing and operating in a foreign country depends on the competitive advantage of the company. The entry strategy of a company in a foreign country could be technology based, quality based, or cost based. Explain what each strategy means in your own words. 2. In a knowledge economy, knowledge is the intensive factor of production. Comparing China and America, which country do you think has competitive advantage in a knowledge economy, China or America? Explain and...

Think of the U.S. as the domestic country and Great Britain (GB) as the foreign country....

Think of the U.S. as the domestic country and Great Britain (GB) as the foreign country. Let “e” stand for the domestic price of one unit of the foreign currency. If e = 1.80, then Group of answer choices none of the other options. $1 would cost approximately £1.80. a guitar in GB listed at £1,800 would cost $1,000. a guitar in the US listed at $2,160 would cost £1,800. $1 would cost approximately £0.56. Suppose Thailand has seen a...

How would inflation in a foreign country affect the value of foreign profits for a U.S...

How would inflation in a foreign country affect the value of foreign profits for a U.S investor?

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 104,000 pounds. The subsidiary immediately borrowed 250,000 pounds on a five-year note with 8 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 354,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary...

Boston Company organized and began operating a subsidiary in a foreign country on January 1, 2015,...

Boston Company organized and began operating a subsidiary in a foreign country on January 1, 2015, by investing LCU 46,000. This subsidiary immediately borrowed LCU 115,000 on a five-year note with 7 percent interest payable annually beginning on January 1, 2016. The subsidiary then purchased for LCU 161,000 a building that had a 10-year anticipated life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, the subsidiary rents the building for three...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 100,000 pounds. The subsidiary immediately borrowed 240,000 pounds on a five-year note with 6 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 340,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 94,000 pounds. The subsidiary immediately borrowed 225,000 pounds on a five-year note with 9 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 319,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 63,000 pounds. The subsidiary immediately borrowed 160,000 pounds on a five-year note with 10 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 223,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by...

Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 98,000 pounds. The subsidiary immediately borrowed 235,000 pounds on a five-year note with 5 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 333,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary...

Subjects