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peys..posed on individuals may not be paid by the in 1, 2007 422 Part 3 Business Ethics and Management Figure 10-4 Bribes Compared to Grease

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peys..posed on individuals may not be paid by the in 1, 2007 422 Part 3 Business Ethics and Management Figure 10-4 Bribes Compared to Grease Payments Definitions Examples Grease Payments Relatively small sums of money given for the purpose Money given to minor officials (clerks, attendants, of getting minor officials to: customs inspectors) for the purpose of expediting. Do what they are supposed to be doing This form of payment helps get goods or services Do what they are supposed to be doing faster or through red tape or administrative bureaucracies. sooner Do what they are supposed to be doing better than they would otherwise Bribes Relatively large amounts of money given for the Money given, often to high-ranking officials. purpose of influencing officials to make decisions or Purpose is often to get these people to purchase take actions that they otherwise might not take. If goods or services from the bribing firm. May also the officials considered the merits of the situation be used to avoid taxes, forestall unfavorable only, they might take some other action. government intervention, secure favorable treat- ment, and so on Figure 10-4 presents a basic distinction, with examples, between bribes (which are prohibited) and grease (or facilitating) payments (which are not prohibited) based on the FCPA assignment docx DOLL 3. Refer to Figure 10-4. Why are the Questions to be Resolved by Management pose a challenge for managers? 4

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