Finance Magazine (Caijing Magazine) : Is It Bribery, or Business As Usual in China?
Is It Bribery, or Business As Usual in China?
2007-09-20 Caijing Magazine
German and U.S. investigations of multinational Siemens have helped pull back a curtain to reveal common business practices in China – from kickbacks to phony consultants – considered unethical and often illegal in western countries.
By staff reporters Li Qiyan and Zhang Zhuo
German industrial conglomerate Siemens is a respected and well-liked corporate citizen in China, but its reputation has been shaken by allegations of unethical business transactions in connection with a Shanghai investment.
The emerging case that threatens to tarnish Siemens China – a company with 46,000 employees at 130 facilities and 2006 sales topping 50 billion yuan – points to wide gaps between declared corporate ethics policies and real-life business practices in China, and differences between Chinese and western legal strategies for tackling company corruption. (more…)