Enron Corporation based in Houston, Texas was an energy, commodities and
services company. Enron was once one of the world’s leading company in
electricity, natural gas, communications, and pulp and paper. Enron brought in
almost $101 billion in 2001 as claimed revenues, and was America’s Most
Innovative Company for six consecutive years.
Being one of the biggest
companies in those years, there were a lot of investors who put a lot of money
into the stocks. In 2001 Enron filed for bankruptcy after its shares plummeted
to less than $1 from $90/share. Unethical business practice Enron followed were
the cause to this catastrophe. After an investigation on the company, the US
Securities and Exchange Commission found out that there were poor financial
reports, which the company used to hide billions in debt from failed deals and
projects. These type of unethical business practices, cause companies which had
the potential to rise and become big into nothing. Unethical business practice
can be something so small but can cause devastating consequences.
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