Question

If you had been working at Enron (say, as a mid-level manager) during its rapid ascent toward its peak in 2000, do you think you would have realized there was something amiss about Enron's culture and business practices? If you had, would you have done something about it? If so, then what? If not, then why not? Explain yourself.

Answer 1

As a middle level manager in Enron I would have noted the malpractices that were going on in the company. One of the early business practices was to move and drawn from a traditional historical cost accounting method to market accounting method. Although this was approved by the SEC determining the fair value of the accounts was itself questionable and manipulated. This would have been noticed. Had I noticed the same I would have raised the question of ethics and brought the malpractices to the notice of the top officials. I would not have been part of the malpractices and would not sign off the manipulated reports if I were the signatory. Since I am a person of very strong ethics I would file a complaint if the malpractices continue and discontinue my Association with the company.