Swot Analysis : Corporate Scandals

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Corporate Scandals In this essay will be evaluated the reasons that lead corporate such as Ahold and Tesco to overstate their financial records occurred at different periods of time but presenting the same cause such as management misconduct and a fraud in financial records. There is a concern about ethics of organizations and ethical behaviour in recent year in the capital market and this issue has become the main focus of the regulations bodies. The corporate governance role it does not seem enough to target companies working way and presentation on companies’ wealth in order to protect shareholders and potential investors. As example of that the situation occurred with Ahold once more repeats a decade later with Tesco. Ahold Corporate Scandal Ahold encompasses an international of food retail and foodservice that operates under their own brand name, it operates in Europe and the United States with about 775 oversees supermarkets. In 2002 Ahold presented a net sale of 62.7 billion and a loss of 1.2 billion, on the year following it was open an investigation in Ahold where were identified an equivalent to 880 million dollars in management irregularities excluding an additional of 73 million of intentional accounting irregularities related to improper purchase as well as a pre-tax earning reduction of an expected 856 million This investigations as conducted to questionable transactions including inaccurate documentation and control weakness which as lead to a

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