Nepotism seems like the wrong way to run a business, and yet there are many private, closely owned companies that have stood the test of time and remained in the family and controlled by a select few in the bloodline. We in the US have an aversion to this because of our disdain for Monarchies and yet sometimes it works. When it comes to public companies, or the crony-capitalist style of those who wish to influence elected government leaders, well, our business-related regulations and laws aren’t very kind to that here in the US. other nations? Yes, let’s talk.
You see, in many nations this is how things work, the extended royal family runs everything and rules over the people. Not so good if you’re born outside the clan, but that’s what they do. In rides Western business interests trying to trade or do business in or with that country, now what? Yeah, now what?
On August 21, 2013 there was an interesting article about JP Morgan being called to the canvas by the SEC for hiring descendants of the Chinese communist leadership in the hope of getting preferential treatment there: the article was headlined; “Nepotism: When is it a crime?” by Joe Palazzolo, Christopher M. Matthews, and Serena Ng. Of course, everyone knows that this is how things are done in other countries. And we do it here all the time, but let’s look at a quote from that article:
“The difference between buying influence and committing a crime: the intent to deceive, often awarding jobs that don’t come up to family members.”
Yes, a good example of nepotism gone wrong, but I would tell you that there is more to it than that. In FierceFinance there was another version of the whole thing. On August 21, 2013 there was an article titled; “Should Wall Street Fear a Nepotism Investigation?” by Jim Kim. Let’s talk about ethics in corporations, government leadership, and nonprofit organizations for a moment, specifically:
1. Nepotism
2. Favoritism of the alma mater
Nepotism can’t always be avoided, and even when you can’t, that doesn’t mean there isn’t just a bit of favoritism: there always is, something that can’t be avoided either. The same is true when it comes to Alma Mater favoritism: consider all those appointed to high-level government positions, or political leaders who are elevated by their supervisors, or those invited to join the boards of large nonprofit organizations. , just because they attended Harvard. or Yale? In California just because they went to Beverly Hills High School. Think about it.
