The major oil company based on Petrobras included influential corruptive schemes investigated in 2014 by federal police in Brazil. These problems included enormous kickbacks in contract payments to the corporation’s executives that have been put to jail due to the turmoil in the country. Furthermore, the Brazilian wealthiest people were involved in the schemes, including even Brazil’s former president and finance minister. Thus, the government could have prevented the Petrobras challenge by introducing the anti-corruption law imposed on every part of the country’s supply industry.
The government could have instantly tackled corruption on Petrobras by introducing a transparent policy in businesses. In other words, it is vital not to allow people of a higher status in the country to earn money in illegal ways and put them above the simple residents in their rights. In addition, the government could have established the local content policy to maintain the sustainability of natural resources-led country advancement (Lima-de-Oliveira, 275). Previously mentioned measurements might have assured the impossibility of the system and precisely the economic breakdown that occurred in Brazil.
Furthermore, business ethics in Brazil is different from the US since it resulted in significant economic consequences and disappointment in the government. Considering that anti-corruptive measurement thoroughly controls the USA business, it is impossible for executives to illegally earn money through wire transfers due to them being managed by the US Department of Justice. It is vital to impose the departments, similar to those in the US, to prevent untransparent and corruptive schemes, and control the businesses in Brazil as well as internationally.
To sum up, Petrobras could have been tackled by the simple measurements of transparent business or the local content policies. The government could have averted the system and economic breakdown in Brazil were there the same business ethics introduced as in the USA.
Work Cited
Lima-de-Oliveira, Renato. Corruption and local content development: Assessing the impact of the Petrobras’ scandal on recent policy changes in Brazil. The Extractive Industries and Society 7.2 (2020): 274-282.