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Go over the role performed by Enron’s board of administrators in the company’s corporate governance failures And exactly how they could have acted differently to circumvent the scandal.
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Resulting from the corporation’s recruitment technique, the locals weren't eager to support the swift surge in demand from customers for lodging Although it intended great business for the locals.
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Downfall and bankruptcy: Because the boom a long time ended and Enron faced enhanced Opposition from the energy investing business enterprise, the organization’s gains shrank speedily. Under pressure from shareholders, company executives began to trust in doubtful accounting tactics, which include a method often called “mark-to-sector accounting,” to hide the problems.
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