In Some Countries, Bribes Are Commonplace

question 15

True/False

In some countries, bribes are commonplace. If a MNC decides to adhere to a strict code of ethics and not pay bribes, its subsidiary may be at a competitive disadvantage in the foreign country.

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Definitions:

Cosureties

Two or more parties who jointly agree to guarantee the debt or obligation of another, sharing the liability.

Conditional Guarantor

A party that agrees to fulfill the obligations of a debtor, but only under specific conditions outlined in an agreement.

Premium

The amount paid for an insurance policy or the cost above the nominal value of something.

Surety

A person or entity that assumes responsibility for another's performance of an obligation, such as the repayment of a loan or the fulfillment of a contract.