In 2012, as portion of a routine disclosure under U.S. law, Wal-Mart disclosed it had spent $25 million since 2008 on lobbying to "enhance market access for investment in India." This disclosure, which came weeks following the Indian government made a controversial choice to allow FDI in the nation's multi-brand retail sector, created uproar in India.
Lobbying by multinationals brought strong emotions in India, evoking images of the millions spent by Enron in the 1990s to "instruct Indians" - a suspected euphemism for bribery. Opposition political parties indict Wal-Mart of bribing the Indian government, which, on the eve of a general election, appointed a judicial commission to investigate Wal Mart. Already under pressure from allegations of bribery in Mexico, Wal Mart risked being embroiled in another scandal that was uncomfortable. How had the company landed in its current scenario and how could it react to the investigation into its India-related lobbying?
Wal-Mart Lobbying in India Case Study Solution
PUBLICATION DATE: September 06, 2013 PRODUCT #: 114023-PDF-ENG
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