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If an American company is doing business in a country where bribes are commonplace or expected, and competing with a Swiss company which does not face similar restrictions, are the Americans operating at a competitive disadvantage? Should they be forced to face such restrictions on business?

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The solution provides a detailed discussion on the FCPA, and examines if companies allowed to practice corruption in other countries have a competitive advantage compared to companies bound by the FCPA. This solution is written based on 25+ years of professional experience in the business and accounting industry.

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The Americans do operate at a disadvantage when they compete with foreign countries that do not have restrictions against bribes and other corruption-related practices. In many countries, bribes are considered commonplace and an actual way of getting things done from a business standpoint. This has become the norm in these countries. When companies operate in the same country that are not permitted to engage in practices that ...

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