Walmart hushed up vast Mexico bribery case

Status
Not open for further replies.
Quote:
(former Mexican foreign minister Jorge) Castaneda, now a New York University professor, said government on the federal level in Mexico has gotten cleaner and more transparent, but that hasn't come to the local level. Wal-Mart is "a new company in Mexico," only there 15 years, he said, and it might've made payoffs to overcome competition from local companies there 50 or 60 years.

"At the municipal level, anyone who wants to open a business, it’s difficult to get all the permits you want to get without paying off low-level officials," he said. "It's pretty hard to get anything done unless you spread money around...The quicker you want to do something, you'd better do it this way."

http://www.cnbc.com/id/47144084

Government officials enriching themselves via the power of law. Pay them bribes, or you don't get your business off the ground.
 
Originally Posted By: Tempest
Quote:
(former Mexican foreign minister Jorge) Castaneda, now a New York University professor, said government on the federal level in Mexico has gotten cleaner and more transparent, but that hasn't come to the local level. Wal-Mart is "a new company in Mexico," only there 15 years, he said, and it might've made payoffs to overcome competition from local companies there 50 or 60 years.

"At the municipal level, anyone who wants to open a business, it’s difficult to get all the permits you want to get without paying off low-level officials," he said. "It's pretty hard to get anything done unless you spread money around...The quicker you want to do something, you'd better do it this way."

http://www.cnbc.com/id/47144084

Government officials enriching themselves via the power of law. Pay them bribes, or you don't get your business off the ground.



Bribes aren't solely a government issue. Private individuals mobster, gangs etc do the same thing when there's no effective government. You always make everything a black or white anti-gov thing. The local government officials probably didn't want Walmart, a foreign company monopolizing the market, there. The local officials shouldn't accept bribes and Walmart shouldn't offer them to be in a market that they most likely weren't wanted. I think they're both in the wrong.
 
Originally Posted By: mechanicx
Bribes aren't solely a government issue. Private individuals mobster, gangs etc do the same thing when there's no effective government. You always make everything a black or white anti-gov thing. The local government officials probably didn't want Walmart, a foreign company monopolizing the market, there. The local officials shouldn't accept bribes and Walmart shouldn't offer them to be in a market that they most likely weren't wanted. I think they're both in the wrong.


In the US we call them "campaign contribution".
 
Yeah I don't disagree that the US is not much different. It's just more sophisticated and hypocritical. Officials sell out the populace for campaign contributions and positions in companies.
 
Quote:
Private individuals mobster, gangs etc do the same thing when there's no effective government.

Then they become the defacto government.
 
Wal-Mart and dirty shenanigans? I can't believe it.

Next your going to tell me some of our legitimate stuff from our comrades in China really comes from N. Korea. Nobody would be that dirty to scam you for a buck, would they?
 
Originally Posted By: Shannow
Market at work 'eh Tempest, a vacuum gets filled.

Market at work? Did you not notice the extortion payments being demanded by the people in charge? This is what is known in economics as a barrier to entry.

Taxi medallions in NYC cost around $1 million, due to the artificial constraints put on this market. This severely limits who can drive a cab. Is that any less corrupt than what is going on in Mexico?
 
"When in Rome do as the Romans do" I don't have a problem with it. American Company making money (ultimately giving Americans Jobs). I don't have a problem with it.
 
Status
Not open for further replies.
Back
Top Bottom