Business Ethics (316)
Lecturer: Mr. Montaser Tawalbeh
Enron: Were They the Crookedest Guys in the Room?
Enron has become the classic case on business ethics. Enron formed after the merger of Internorth Incorporated and Houston Natural Gas in 1985. On January 1, 1987, as part of the merger agreement, Ken Lay became the new CEO. In 1990, Ken Lay hired Jeffrey Skilling from McKinsey and Company as the Head of Enron Finance. By 1995, Enron had become the largest independent natural gas company in the United States. In 1997, Skilling became president and Chief Operating Officer at Enron. Ken Lay’s goal was for Enron to have the same brand recognition as AT&T.
Enron’s long …show more content…
Questions for Thought
1- Who are the Major Players in the Enron Scandal?
2- Discuss the facts and then analyze them indicating the ethical dilemma/s in this case?
3- What are “cookie jar” reserves? Explain Enron’s use of this concept.
4- Identify as many stakeholders as you can in this case. For each, explain how they were affected by the events surrounding the demise of Enron.
5- Summarize the main points of this case in one succinct