After a Power Out
Goodman was able to get some people to go on record, mostly about cases that are in one way or another a matter of public record. Even the dozen cases he was able to name make it bad enough. He also has people leveling accusations at H-P.
No question, the temptation to take shortcuts in this market can be huge. Pay for a trip for a government official to the U.S. Help his kid get into Yale. Or let your distributor carry a big fat brown paper bag full of cash to a senior government official or a procurement officer. Or even let your P.R. company lay a couple of thousand RMB on a reporter for a sweet story.
But hey, guys. It’s wrong. It’s illegal, immoral, and in the long run damages everyone it touches, even remotely. And here’s the kicker: if you as a corporation can muster the courage to say no, you’ll find you may lose a couple of deals in the near term, but in the long run you’ll do better.
And, oh, by the way. There’s a reckoning coming. That’s right. Sure as a monsoon there is a big bloody s***storm coming that’s going to engulf a lot of companies doing business in this town.
The most politically profitable thing a government official in China can do to fight corruption is to uproot a corrupt bureaucrat or employee of a state-owned enterprise and get them to testify that a big foreign firm made them do it. And then to go after the big foreign firm, make a big public deal, investigate with the SEC and the DoJ in the spirit of international cooperation, slap them with a huge fine or worse, and then shift blame for corruption onto the backs of major multinationals.
So get ready. My advice – start cleaning house now. On your own. Don’t wait for Public Security and the SEC to knock on the door.