TITLE:
Analysis of Market Failure Theories Based on Toshiba’s Business Ethic Issue: Earnings Overstatement Scandal
AUTHORS:
Jiayang Cheng
KEYWORDS:
Business Ethic, Market Failure, Fraud Scandal
JOURNAL NAME:
American Journal of Industrial and Business Management,
Vol.10 No.1,
January
20,
2020
ABSTRACT: As a controversial topic, business ethic is becoming significantly important in today’s business world. Business unethical behaviors such as fraud scandal and other accounting manipulation will bring reputation risks for organizations, which may lead to serious consequences and even severe administrative penalties. Therefore, responsible firms should have senses of good behavior and prevent themselves from committing unethical behaviors, which causing negative externalities for other organizations and people. This research paper mainly conducts research through investigation, literature review and other methods, aiming at demonstrating responsible global citizenship implications by analyzing related market failure theories based on Toshiba’s business ethic issue: earnings overstatement scandal.