DECREASING DESIRES TO
COMMIT FRAUDULENT BUSINESS PRACTICES
TO INCREASE SUSTAINIBILITY

Presented to

Professor Philippe Colas
Concordia University (JMSB)

Prepared by

November 9, 2011

LETTER OF TRANSMITTAL
TO: Philippe Colas, Department of Marketing, Concordia University (JMSB)

Corporate scandals can be defined as widely publicized incidents involving allegations of managerial wrongdoing, disgrace, or moral outrage on the part of one or more members of a company (Stefano Bonini & Diana Boraschi, 2010). This phenomenon shows how some businesses have been led by greed and self-interest rather than corporate social responsibility. Being involved in common business frauds such as insider trading, tax fraud, and embezzlement has advantages, but also bring upon many risks to company employees and the industry as a whole. Today, Corporate scandals have attracted considerable attention because of their large, negative effects on shareholder value. (Stefano Bonini & Diana Boraschi, 2010)
In this report I will be exploring the reasons, a high level chief officer would commit a massive corporate fraud, and the fraudulent practices involved in concealing it. Research will be conducted in two forms: A primary source analysis through a survey specific to local business managers, and a secondary source analysis via peer reviewed scholarly articles, articles, newspaper, books, and the Internet.
Yours Sincerely,
Kyle Feigenbaum
Kyle Feigenbaum

TABLE OF CONENTS
LETTER OF TRANSMITTAL ii
EXECUTIVE SUMMARY 1
INTRODUCTION 2
Corporate Businesses Led By Self-Interest 2
Purposes of the Study 2
Scope of the Study 3
Sources and Methods 3
RESULTS OF THE STUDY 4
Motivations to Commit Business Fraud 4
Importance of Social Responsibility 5
CONCLUSIONS 6
RECOMMENDATIONS 6
APPENDIX 7
WORKS CITED 9

LIST OF FIGURES

Figure

1 Composition of Survey Sample …………………………………………………....…. 3
2 Awareness of Corporate Scandals …………………………………...………………...4
3 Executive Satisfaction With Income ………………………...……………..………… 4

EXECUTIVE SUMMARY

Purpose of the Report

The core purposes of the report are to 1) attain information on the motivations to take part in fraudulent business practices 2) get a general perception on the effects of corporate scandals on human sustainability 3) develop reasonable recommendations to ultimately decrease the desire to take part in a corporate scandal and increase corporate social sustainability.

A questionnaire survey was formed to learn about the knowledge and to asses the motivations to commit corporate fraud. A simple random sample of 16 surveys was handed out to local business managers. Surveys were handed out to both, males and females. Primary data was also collected through several scholarly peer-reviewed articles from numerous business management journals.

Corporate Responsibility of Montreal Business Owners

What was found through this research is that the population is aware of corporate scandals and realize that American business executives are affected by greed and self-interest. There is a lack of knowledge amongst the general public about the actual magnitude of harm that mass scandals have on human sustainability. The study also demonstrates that males tend to be less satisfied with their annual income than females. While the great majority believes corporate fraud not only affects business executives but also the industry and particularly the employees around them.

Recommendations for Decreasing Desires to Commit Fraud

Based on the findings from the survey of 16 respondents, the following recommendations are made in order to decrease the desire to take part in fraudulent business practices.

1. A company of large scale should conduct in-depth investigations for all of its high-level executives in order to avoid hiring ones with ulterior motives.
2. A company should oversee all of its department’s business practices in order to avoid deceptive ones. Thus a company is