Why Firms Engage in Corruption: A Top Management Perspective

This study builds upon the top management literature to predict and test antecedents to firms’ engagement in corruption. Building on a survey of 341 executives in India, we find that if executives have social ties with government officials, their firms are more likely to engage in corruption. Furthe...

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Bibliographic Details
Authors: Collins, Jamie D. (Author) ; Uhlenbruck, Klaus (Author) ; Rodriguez, Peter (Author)
Format: Electronic Article
Language:English
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Published: Springer Science + Business Media B. V 2009
In: Journal of business ethics
Year: 2009, Volume: 87, Issue: 1, Pages: 89-108
Further subjects:B Corruption
B Social ties
B Rationalization
B India
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Description
Summary:This study builds upon the top management literature to predict and test antecedents to firms’ engagement in corruption. Building on a survey of 341 executives in India, we find that if executives have social ties with government officials, their firms are more likely to engage in corruption. Further, these executives are likely to rationalize engaging in corruption as a necessity for being competitive. The results collectively illustrate the role that executives’ social ties and perceptions have in shaping illegal actions of their respective firms.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-008-9872-3