Joey's Blog

 Walmart, the world’s third largest corporation, was caught in a bribery scandal. The bribes, totaled to $24 million, were paid to Mexican government officials in 2005 in attempt to win market dominance. The bribes “bought zoning approvals, reductions in environmental impact fees and the allegiance of neighborhood leaders.”  A corporation as successful and influential as Walmart should comply with business ethics instead of ignoring local laws to meet its own growth targets. As the scandal came to light, none of the Walmart de Mexico leaders were disciplined. In fact, the driving force behind the bribery, Eduardo Castro – Wright was promoted to vice chairman of Walmart in 2008. Walmart violated business ethics. Walmart knew of these allegations but were afraid of damaging their reputation for high ethical standards. Although it may be the way things are done in Mexico, the multinational corporation should consider ethical relativism.  Walmart took the easy way in, but there is no easy way out of this.

Sources:

Vast Mexico Bribery Case Hushed Up by Wal-Mart After Top-Level Struggle

BUSTED: Wal-Mart Caught In Massive Bribery Scandal That Goes All The Way To The Top