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Bribery Raphaëlle Barlier, Magalie Kerdiles, Armand Marcireau, Adeline Selle Causes, Consequences Corporate Social Responsibility Master 2 – International Management Institute of Business Administration, Poitiers
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Introducing corruption « Corruption involves behavior on the part of officials in the public and private sectors, in which they improperly and unlawfully enrich themselves and/or those close to them, or induce others to do so, by misusing the position in which they are placed. » (World Bank, 2005) Transparency International (leading NGO dealing with corruption) Corruption hardly measurable Scoring by using standardized questionnaires Getting more and more broadcasted by the media
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Factors contributing to corruption Regulations, Authorizations and Taxation Level of public sector wages Penalty systems and institutional control Transparency of rules, laws and processes Examples by the Leadership
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Consequences of corruption Decrease in economic growth by : Lowering incentives to invest Weakening public infrastructures and quality of services Altering the composition of governments expenditures Analysis shows that an improvement from 6 to 8 on the corruption index would experience a 4% increase in investments rates
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Consequences of corruption Social effects : frustration and disillusions result in a weak civil society. Loss of truth in the political system. Obstacle to democracy and the rule of law. Environmental degradation : careless exploitation of natural resources.
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Fighting corruption NGO and Churches in action : West Africa Rules of conduct from private firms : EDC (Canada) OECD Convention against Bribery of Foreign Public Officials in International Business Transactions Recent improvement, but there is much more to do
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