BUS 245-03 Assignment 1 Fall 2013 Finance/Business in the news Elizabeth Johnson Bailout of the Auto Industry-Toyota There have been so many incidents of large corporations needing bailouts within the auto industry and Toyota is just one of the many that have needed government assistance because of financial troubles. Some people may wonder if it was or is ethically right to do something like this because of all the controversy behind it like the CEO's and the higher ups misusing the money the government gave them to bailout and help their companies. The government can not predict that so in their own way it is justified to keep the economy up and running. With the economic troubles in the US still at a high, the auto industry has taken
Businessmen came to Detroit from all over the world to see the operation for themselves and to try and take Ford’s methods to use themselves. Currently the Ford Motor Company is considered the fourth largest automobile producer. with 108 plants world wide and 300,000 employees. Ford had a revenue of 146.3 billion in 2008 which was a decrease from 2007. The numbers keep continuing to plummet due to the recent economic deficit in America and earlier the gas purge in 2008.
Current Ethical Issue in Business Learning Danielle Christine University of Phoenix Ethics in Management PHL 323 Laila Dabbagh Lambdin February 23, 2009 Current Ethical Issue in Business Learning Identify the ground rules manifested in the situation as well as which ethics theories apply. Circuit City is the nations 2nd largest retailer of consumer electronics, entertainment software and personal computers. On November 3, 2008, Circuit City announced that they would layoff and close 17% of it’s workforce by the end of the year. Due primarily to weakened economic environment and its potential impact on the timing of the overall sales of the companies inventory, cost and expenses. As a result of the companies deteriorating
When President Barack Obama took office, he was faced with the grim reality that two of America’s largest car manufactures were near extinction. His administration responded to this reality by enacting a plan to circumvent this fate. Today, the administration’s course of action is still a contested topic, and many Americans continue to argue whether the auto bailout was in the best interest of America. The President recognized
Few saw this devastation coming. The Mortgage Foreclosure Crisis was arguably the most significant for the economy since the Great Depression. It forced millions to lose everything they have and have to live in lower standards than ever before. Criminal acts have skyrocketed due to desperate Americans having nowhere else to turn to but illegal lifestyles. The Mortgage Foreclosure Crisis has set back our economy and the lifestyle of the average American has changed astonishingly
After the announcement of the scandal to the news Volkswagen’s stock price fell in value by a third immediately. Although the Group’s CEO Martin Winterkorn initially resisted calls to step down from his leadership role, he was resigned due to the pressure after all. In addition to this resign several executives from Volkswagen Group were suspended due to accusations (5). In order to understand and/or analyze the corporate governance issues that had missed during this scandal one can review the interviews of the key members of the Group’s
Capital One Melvin Jackson Professor Shawn Richmond Sr. Seminar in Business Administration May 31, 2010 Identify and describe the key environmental forces that have immediate strategic implications for Capital One. Two key environmental forces that have immediate strategic implications are political and economic. Legislators have been rallying consumer support to reform credit card policies due to the failing economy. Since so many consumers are without jobs or have taken pay cuts in the last few years, the ability for them to repay their debts is severely diminished. Credit card companies had been charging outlandish interest rate.
Since the stock market burst and NextCard no longer had access to the debt and equity markets. The credit card customers proved to be extremely high risks and resulted in large credit losses for the business. Once the large class-action lawsuit was launched and SEC began investigating, Robert Trauger of E&Y the audit engagement partner for NextCard called Oliver Flanagan his top subordinate on the 2000 NextCard audit to request revision to the prior year audit workpapers. Robert and Olive altered the report, however, Mullen retained a diskette with original workpapers and Flanagan obtained the diskette. Olive informed Trauger that it was destroyed but instead it was given to federal authorities.
For example the automotive manufacturer General Motors (GM), in 2008 and 2009, received approximately $13.4 billion in bailout money from the Troubled Asset Relief Program (Tarp, 2012). The money from this program was paid for by U.S. taxpayers and was intended to help the automotive industry through some tough financial times while restructuring occurred. Eventually some automotive manufacturers went through bankruptcy to survive (PolitiFact, 2012). This affected the global economy by showing instability within the automotive industry and resulted in the loss of clients throughout the
The attack was against our people, our institutions, and our culture. It then led to a war on terror that has been occurring for over 10 years now and seems like it’s never going to end. As we can see, the prices of gasoline have been fluctuating over the years but ultimately, the prices have been increasing in the last six years. In the recession that we are currently experiencing, the people that are the most affected are those that are living paycheck to paycheck. We are all currently experiencing an economic crisis and if the money going to the war was spent on raising salary wages or creating more jobs, people would not have to go through hardships.