Law Homework Solutions
Problem
#180358

Managerial Implications

OTA,

Please answer the following International business law inquiries:

A) You subcontract most of your manufacturing to suppliers in developing countries. What responsibility, legally and ethically, do you have to monitor conditions there? Is there any accountability?

B) You are a CEO of a small privately held organization. You have decided to expand your sales to include Eastern Europe, including Bulgaria and Japan. What difference does it make that both countries have ratified the OECD Anti-Bribery Convention? Could this be a factor in your business expansion plans?

C) Your organization in Indonesia uses a number of toxic cleaning solvents to clean manufacturing equipment. You could sell empty solvent containers and make money, or pay to have them disposed of in an environmentally safe way. Indonesia has minimal environmental regulation and the first option is legal in Indonesia, yet would violate United States law. What is your decision? Does your answer change if the profit or expenses of each option changes?


Solution Summary

This posting dicusses subcontracting in the context of globalization of business.

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