ELIMINATING BRIBERY AS A TRANSNATIONAL MARKETING STRATEGY

Abstract

Since 1977, U.S. firms have been prohibited from bribing foreign officials under the Foreign Corrupt Practices Act. As a result, many traditional competitors of U.S. multinational firms have been willing to pay bribes to foreign officials as a marketing ploy to win sales at the expense of their American counterparts. Because bribery of public officials is widespread in many developing nations to facilitate overseas sales, U.S. firms lost significant overseas contracts while their foreign competitors gained market share. Recognizing the dilemma that American firms are in, successive U.S. administrations have led the charge against bribery and have attempted to get other nations to join in the battle. Now, after twenty years, these attempts are finally paying off. A growing number of international organizations have developed guidelines to help curb corruption in the future. This paper traces the U.S.'s attempts to curtail official bribery, and details new information outlets and laws passed by other nations to be used as weapons as they join in the U.S.‐led fight against bribery.

Citation

Scott, J., Gilliard, D. and Scott, R. (2002), "ELIMINATING BRIBERY AS A TRANSNATIONAL MARKETING STRATEGY", International Journal of Commerce and Management, Vol. 12 No. 1, pp. 1-17. https://doi.org/10.1108/eb047434