The Fraud Scandal Of Glaxosmithkline

There are several reasons as to why these practices despite being globally unacceptable continue to grow and particularly in China. Firstly, China is seen to be in a battle with the West, so this could be used as a preparation for these battles. Secondly, china does this to steal or copy the latest in the fields of research, innovations and technology areas that are very costly, it does this in order to achieve parity with the west. Thirdly, China is involved in cyber-crimes to acquire

"In the past two decades or so, health care has been commercialized as never before, and professionalism in medicine seems to be giving way to entrepreneurialism," commented Arnold S. Relman, professor of medicine and social medicine at Harvard Medical School (Wekesser 66). This statement may have a great deal of bearing on reality. The tangled knot of insurers, physicians, drug companies, and hospitals that we call our health system are not as unselfish and focused on the patients' needs as people would like to think. Pharmaceutical companies are particularly ruthless, many of them spending millions of dollars per year to convince doctors to prescribe their drugs and to convince consumers that their specific brand of drug is needed in

The simplicity of doing business index evaluates the influence of direct policies disturbing businesses in a particular nation. According to the index, China was ranked the 89th out of 185 countries, whereas Russia, Brazil and India were graded the 120th, the 129th, and the 133rd, respectively. Therefore, China is the best option amongst the four in terms of providing a stable business environment. However, there are two significant drawbacks surrounding the Chinese regulatory framework that would critically concern GENICON. Firstly, the country has a track record of not protecting foreign intellectual property rights. As the knowledge base for the medical devices that GENICON are carrying is readily available, local manufacturers can effortlessly start manufacturing nearly indistinguishable products and sell them at lower prices. Second, policy implementation in China is often escorted with deflection, as implementation measures are carried out in unpredictable and contradictory manners. Unavoidably, the uncertainty around the regulatory system creates additional legal risks. As exhibit 3 shows, the corruption perceptions score ratifies the lack of transparency within the Chinese legal structure. According to transparency international index, China scored 3.6 out of 10 and was ranked the 79th,

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:

The Chinese government owns all the land and protection of property is decreasing. The corruption of the Chinese government continues as they reject core reforms such as disclosure of assets by officials, oversight of bodies, and lifting political restraints on citizens. To continue the problem China has a weak financial regulation, use of debt to overproduce, the culture of saving and not spending, and profound fear of innovative ideas. However, China’s use of

Market failure appears when there is a failure in allocation of goods and services. When the market is unsuccessful, the government is called to intervene and correct the failure. Over the years, government participation in the pharmaceutical market has been more wide-ranging than any other good or service. With the government’s ability to regulate, mandate, inform, finance and provide, their intervention to overcome market failure can be beneficial for the economy. Market failure plays a significant role in today’s economy.

Drug companies that test experimental drugs in foreign countries are acting unethically. They are acting unethically, such that they are not disclosing results from the tests. As per the national Pharmaceutical Control Bureau’s Web site, there are specific guidelines with which the experimenters would have to adhere to when dealing with drug reactions (Health-Asia, 2007, February 2). Following a practice like this is imperative because patient safety is number one. Additionally, recording results and sharing them is common decency for families that are affiliated with the person being tested. If something bad happened, such as death, families, if present and involved, should be notified. Another reason as to why I feel recording results is important is the fact that it allows for the experimenters/doctors to have visual data of what drugs work and what drugs do not work. This would enable them to potentially improve on any faults that are present in the drugs and prevent future casualties.

Over the past couple of decades, a sudden change has started to take over the way business is done. The time when no rules applied, and anyone could do what they pleased at the cost of others or the environment is rapidly ending. Instead, companies today have become aware that it is essential for them to employ ethics and morality in their actions, if not they will be heavily scrutinized and rejected by the public. This way of thinking also applies to the pharmaceutical industry, which over the past century has been rapidly expanding. Do to the fact that this industry can determine the health and lives of millions of people, it is imperative that this industry follow an ethical and moral path.

China government give opportunity for invest in the country such as give low corporate tax, directly start the business without any join venture with local partner, government will provide loan facility. If the firm breaks the law and regulations, government can immediately close down the firm.

Many countries with policies similar to China also have high rates of bribery and corrupt bureaucrats. In other, more democratic countries such as the US, starting a business is a simpler process and just requires the right capital expenditures. “Economic freedom is highly correlated with societies’ openness to entrepreneurial activity that creates new jobs and increases opportunity and choice for individuals in advancing their own well-being (Miller, 2011).

“GSK” According to its price differential strategy or price discrimination which is a sort of Monopolistic market power was separated from its customers, this power came from where? GSK had sufficient control over prescriptions drugs to determine significantly the terms on which other individuals shall have access to it and this power make GSK able to alter market price of prescription drugs in America.

Mr. Chong knows about recent cases of corporate bribery in Malaysia and in the retail industry. There had been scandals regarding foreign investors who bribed public officials or financed government programs to obtain business privileges or competitive advantage (Inkpen, 2010). Moreover, there was a recent case of bribery involving a Jextra’s country manager in the Philippines. More likely, this manager also encountered similar ethical dilemmas like Mr. Chong. Some individual factors that may have driven him to act unethically in the Philippines could have been pressure from the company to expand and gain competitive advantage in the region. Alternatively, he might have simply wanted to advance his career as a country manager, lacked of ethics or did not know the local laws regarding bribery. Additionally, he might not have received or requested support from the top management regarding the social and ethical issues raised in the Philippines. Mr. Chong, as an experienced manager, should have anticipated that he would encounter legal and ethical risks in Malaysia.

HealthSouth Corporation is based in Birmingham, Alabama, it is the largest provider of rehabilitative health care services. It operates in 26 states in the United States of America and in Puerto Rico. HealthSouth provides rehabilitation hospitals, long term heightened care hospitals, outpatient rehabilitation satellite clinics and home health agencies.

The depth of China’s involvement in intellectual property theft is far greater than I would have ever expected. Prior to taking the business law course, I never thought about what intellectual property theft was or the impacts that it has. The report of the Commission on the Theft of American Intellectual Property, states that “China is the world’s largest source of Intellectual Property theft” (pg 10 & 11) costing the American economy hundreds of billions of dollars per year, along with millions of jobs.

Despite the high levels of corruption, investors do not seem to be deterred from doing business in China. Some believe that corruption acts as an effective “grease” to speed up the many layers of bureaucratic inefficiencies for starting of businesses in China (Meon, Weill, 2008). Furthermore, the policy of regional competition in China has caused the competitive lowering of bribes in order to attract businessmen with a lower “unavoidable cost” of doing business in the region. (Li, Peng 2001). Another reason would be the high predictability of corrupt practices in China (Campos, Lien, Pradhan, 2001), to the extent where investors factor “bribes and gifts” as a portion of their budget. Hence it does not appear as a deterrent to businesses when they enter the market (Dickson, 2008). Corruption due to “Guanxi” is also explained to enhance efficiency, because “Guanxi” contributes to high levels of public trust that encourages business ventures due to the availability of valuable information that reduces uncertainty (Li, Wu