Question

Describe counter argument (or arguments in disagreement with your argument), support counter argument with research, explain why you disagree with the counter argument, support your disagreement with the counter argument with research.

(-Does ethical governance reduce corporate fraud? ) ,this is the topic end arguments .

Answer 1

Counter Argument: ethical governance does not completely eliminate corporate fraud.

Many scholars have shown through their work that ethical governance does not completely eliminate corporate fraud. However, it is true that ethical behaviour in governance has a huge impact on behaviour of employees. There are several other factors apart from ethical governance that are proven to reduce corporate fraud.

In the work of Lynn S. Paine, author mentions that although ethics has a key role in management, it is the tactics, value, behavioural pattern, attitude, language and beliefs that define operating culture of any organization. Therefore, it cannot be said that solely ethical governance reduces corporate fraud.

However, I disagree with this counter argument. It is shown by many researchers in their work that ethical governance reduces corporate fraud. In his work Prof. Gopal Krishna Agarwal and Dr. Yajulu Medury shows that in order to reduce corporate frauds ethics and business must go together. Also ethics is primary building stone of corporate governance. In order to achieve ideal corporate governance that will eliminate corporate fraud it is important for policy makers to understand ethical philosophy with complete dedication and determination.

Therefore, I will support the fact that ethical governance reduces corporate fraud.

Reference:

• Lynn S. Paine; 1994; Managing for Organizational Integrity; Harvard Business Review; March–April 1994 Issue.
• Prof. Gopal Krishna Agarwal and Dr. Yajulu Medur, 2013; Good Governance -A Tool to Prevent Corporate Frauds; International Journal of Commerce, Business and Management, Vol. 2, No.6, December 2013.