101) Describe the Foreign Corrupt Practices Act, and explain how it relates to corporate social responsibility.
Answer: The Foreign Corrupt Practices Act forbids U.S. companies from bribing government officials or political candidates in other nations (except when a person's life is in danger). A bribe constitute "anything of value"— money, gifts, and so forth— and cannot be given to any "foreign government official" empowered to make a "discretionary decision" that may be to the payer's benefit. The law also requires firms to keep accounting records that reflect their international activities and assets.
Bribery and corruption are corporate social responsibility issues. In certain countries, bribes are routinely paid to distributors and retailers to push a firm's products through distribution channels. Bribes can mean the difference between obtaining an important contract and being completely shut out of a market. But corruption is detrimental to society and business. Among other things, corruption can send resources toward inefficient uses, hurt economic development, distort public policy, and damage national integrity. The Foreign Corrupt Practices Act addresses this issue by making bribery illegal.