unit26tech’skickbackculture.ppt

Lesson 26Tech’s Kickback Culture 沈海峰 1.What are some of the ways in giving kickback according to the text? Give stock options（股票期权） to the people who can make the decisions.(第二段） A plethora of preferred（优先股） and friends-and-family shares （亲情股）from hundreds of high-tech initial public offerings（首次公开募股 ).（第三段） The managers who were granted exclusive stock （独享股票）in companies with which their employer did business.（第五段） Giving gifts to curry favor in business has long been standard operating procedure---from a round of golf to the theater tickets.(第七段） Held prime stock positions(最优惠股票行权条件 and get personal options（个人期权）. 2.What harm does kickback do to the interests of the companies? legal experts say stock allocations(分配） create conflicts that put individuals in positions where they could place their own interests ahead of their companys. It got so bad that in June, 2000, just days before the IPO, EMC sent a letter to StorageNetworks complaining that it was poaching its employees and interfering with EMCs customer relationships. Buy the useless equipment, waste the company’s money(第二十二段） Damage the shareholders’ interest.（第十段） 3.What measures have been taken to prevent giving kickback according to the text?  A number of them, including IBM (IBM ), Dell Computer (DELL ), and Nokia (NOK ), long ago established tough rules governing employee investments. Plenty of others, such as Microsoft (MSFT ), Sun Microsystems (SUNW ), and Computer Associates (CA ), put policies in place in the heat of the dot-com boom. Now, employees are required to get written permission from their superiors before accepting equity in companies with which they might be involved. Qwest changed its conflict-of-interest policy in late 2002 to prohibit employees from investing in companies that have a connection to Qwest. A lockup on preferred shares. What is the kickback culture in Chinese companies? Kickback culture is very common among the Chinese companies, it is a unspoken rule in C