Question

Enron, Countrywide Financial, and JPMorgan Chase are examples of companies whose culture became

a) change-resistant.

b) politicized.
c)insular and inwardly focused.

d) unethical and greed-driven
e) an incompatible subculture.

Answer 1

ANSWER: d.

d) unethical and greed-driven

Totally devoid of ethical practices & standards, the key execuives of all the above mentioned 3 companies took to a shorter & fast -track path to fame ,status and performance , with very least regard for accounting and standard business ethics.

They also knowingly &systematically flouted the GAAP.

These were the result of unethical and un-allowed (under the GAAP) business practices, driven by the greed of a few top & key management executives of the companies.

On the whole, unhealthy business culture to adopt--a role model & real-life example of how not to conduct business .

Of the other options:

a) change-resistant-- culture where there is general resistance to new ideas & concepts & unwillingness to observe & emulate better business practices.

b) politicized--- the predominant culture would be the politically-clouted people drive the organisation ,the way they want.

c)insular and inwardly focused--here, the executives are over-confident of their way of doing things & just do not want any new ideas or fresh /innovative opinions--so where people cannot grow.They know all category.

e) an incompatible subculture-a business where conflicting groups , incompatible with one another dominate, hindering the organisational progress & leading to no-where.

All the above a to e are unhealthy business cultures.