(Solved) : 1 According Chapter Company Prone Engaging Unethical Practices Implications Companies 2 Et Q35835985 . . .

1. According to the chapter, who in a companyis most prone to engaging in unethical practices? What are theimplications for companies?

2.Why do ethics and integrity matter in acompany? How can a company best ensure highly ethicalpractices?

3. Review recent news releases about Avon. Doesthe company seem to have recovered from its ethical problems?

Read this Case Study, “Would Claims of Ethical Wrongoingby a Company Impact Your Buying the Firm’s Products?”

Headquartered in New York City, avon products is the world’slargest direct-seller firm, and by far the largest direct seller ofcosmetics and beauty-related items. Avon is the fifth-largestcosmetics and fragrancefirm in the world. the company receivessales from catalogs and online, but the vast majority of its salescome from about six million independent sales representatives in110 countries. Since 1892, avon has empowered women to be their ownboss and become leaders in communities and business. avon isstruggling to recover from poor management and global briberyinvestigations. Specifically, law firm Zamansky LLc isinvestigating avon’s employee personal savings account plan (the“plan”) for potential violations of the federal employee retirementincome Security act (“eriSa”). this federal act imposes fiduciaryduties to prudently manage and invest plan assets. according to theclaim, avon allegedly violated eriSa guidelines by its continuedoffering of company stock during a pending federal investigationfor violations of the Foreign corrupt practices act (“Fcpa”).Between 2010 and 2015, avon’s stock price fell from over $40 pershare to below $10 per year. the collapse in stock price relates tothe Fcpa investigation by the U.S. Department of Justice andSecurities and exchange commission that makes it illegal for U.S.companies operating in foreign countries to pay bribes orkickbacks. Separate shareholder lawsuits have alleged that avonengaged in Systemic Fcpa violations, and misrepresented itsrevenues from various foreign countries. one lawsuit alleges thatavon made numerous misrepresentations about the extent, reach, andcosts of the investigations against the company. according toZamansky, avon employees who purchased and held company stockthrough the plan since 2010 suffered substantial losses to theirretirement savings. Zamansky says Fcpa investigation andshareholder lawsuits raise serious issues over the prudentmonitoring and oversight of the plan by avon under ERISA.

Answer to 1. According to the chapter, who in a company is most prone to engaging in unethical practices? What are the implication…

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1) As per the case study, it is . . .