International Marketing/Trade Essay

1008 Words Oct 28th, 2012 5 Pages
1. Should he pay the “commission” and, if so, to whom? Explain your reasoning. If he pays, how should he handle the situation with the sales manager and the vice president of sales? In your answer, include a discussion of the arguments in favor of paying and the arguments in favor of not paying.
I think he should pay commission to the Middle East Ministry’s advisor. Like the advisor and the agent lawyer said it is common for these deals. The German and the Italian vendors did it. Also local agent’s most of clients which means Canadian companies did it before. It is a huge deal and he has to take it. Also advisor negotiated only $75,000 off the contract price. And I think the reason is he is interesting in his commission not about
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It will be given another company. It may be the ethical one but somebody will pay this money and this one will get the deal.
2. Regardless of how you answered Question 1, is there a way he can avoid paying and yet still manage to salvage the deal? I think it is not possible. Other side has all the authorities and they are the one who will give the decision. They can reject you and make deal with other companies with making it seem legal. You cannot avoid it. The company who gives the money advisor asks, will be the one who makes the deal.
3. Briefly, what does the OECD stipulate about member nations’ obligations regarding bribery &corruption? Since Canada has ratified the OECD guidelines, what are the implications for Canadian business people selling to foreign governments?
OECD published Convention on Combating Bribery of Foreign Public Officials in International Business Transactions and Related Documents to prevent bribery and corruption. The aim of this convention was making the bribery of a foreign public official a crime under their laws (International Monetary Fund, OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions, 2001). This document recommends to member countries that:
• Member countries’ laws and regulations should permit authorities to suspend, to an appropriate degree, from competition for public contracts or other public advantages, including

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