How Can Managers Encourage Ethical Behavior?
At a Senate hearing exploring the accusations that Wall Street firm Goldman Sachs deceived its clients during the housing-market meltdown, Arizona senator John McCain said, “I don’t know if Goldman has done anything illegal, but there’s no doubt their behavior was unethical.”34 You have to wonder what the firm’s managers were thinking or doing while such ethically questionable decisions and actions were occurring. It’s pretty obvious that they weren’t encouraging ethical behaviors!
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