Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
Goldman Case
What is up with Wall Street? The Goldman Standard and shaded of Gray
The Goldman Standard and Shades of Gray was a case study which was focused on Goldman Sachs and their impact on the economic system. Goldman has grown large enough in which their operation were capable of affecting the economic structure of our banking system, stock shares, as well as the government to a large extent. The company is obviously profit driven, but to an extent that borders on being ruthless and perpetually greedy for more money and success. Furthermore, Goldman's culture is more "toxic" today than it was in 2005, when they were involved in inflating a housing bubble that would help crash the global economy, or in 2007 and 2008, when they began desperately offloading their housing-related assets to investors who hadn't yet realized the market was going to crash; if there was a culture change, it likely came when Goldman went public a decade ago, not after a financial crisis that almost wiped the firm out (Klein, 2012).
Goldman's strategies that seem to balance long-term greed with short-term greed prompt questions of their ethical standards or lack thereof. The company was founded by Marcus Goldman and Samuel Sachs in 1869 and the company was supposed...
The motive to pursue pure profitability has led the company towards a path of greed and created a toxic culture. The problem to be investigated is the ethical standards of the company in relation to their investors and the price they pay. Greg Smith, a former executive for Goldman, stated "I attend derivatives sales meetings where not one single minute is spent asking questions about how we can help clients. It's purely about how we can make the most possible money off of them," Smith writes "It makes me ill how callously people talk about ripping their clients off. Over the last 12 months I have seen five different managing directors refer to their own clients as "muppets," sometimes in internal e-mails" (Hamilton, 2012). .
Grey Areas
Some areas affected by the Goldman model of greed and gray areas that resulted include:
Investors
the market the U.S. economy the global economy
AIG
AIG investors employees of AIG
investment banks that had to be dissolved or acquired employees of dot-coms beneficiaries of donations by companies and investment bankers nonprofits also had their endowment funds…
Works Cited
Antilla, S. (2013, January 8). A case of Wall Street greed gone too far. Retrieved from CNN: http://www.cnn.com/2013/01/08/opinion/antilla-goldman-stock
Hamilton, W. (2012, March 14). Exiting Goldman Sachs exec blasts firm's 'toxic,' greedy culture. Retrieved from LA Times: http://articles.latimes.com/2012/mar/14/business/la-fi-mo-goldman-greedy-20120314
Keltner, D., & Piff, P. (2012, March 16). Greed Prevents Good. Retrieved from The New York Times: http://www.nytimes.com/roomfordebate/2012/03/15/does-morality-have-a-place-on-wall-street/greed-on-wall-street-prevents-good-from-happening
Klein, e. (2012, March 15). At Goldman, short-term greed vs. long-term greed. Retrieved from The Washington Post: http://www.washingtonpost.com/blogs/wonkblog/post/at-goldman-short-term-greed-vs.-long-term-greed/2011/08/25/gIQAxFhhES_blog.html
Business Improvements Since the two companies operate in different target markets and with substantially different product mixes the recommendations must be customized for each firm. Goldman Sachs is considered a top trade recommendation for 2012 by many accounts as the firm is largely financially successful and the institutional client services dominate the businesses revenue stream (Craig, 2013). The most pressing recommendation for Goldman Sachs would be to integrate a more robust
Goldman Sachs Forensic accounting Fraud at Goldman Sachs The recent recession and financial scandal brought to light many unethical, illegal, and quasi-legal practices of the major investment firms. One example of this was the Goldman Sachs securities fraud case, in which the firm was accused of creating and selling bundled mortgage investments in an instrument that was intended to fail and which the company' bet against' with a desire to make a profit
Ethics Journal In Goldman, Wall Street, and a culture crack up, Ken Makovsky describes an ethical issue in which a mid-level banker at Goldman Sachs, Greg Smith, alleged that the firm relegated client needs to its search for quick profits. What he describes is more behavior that reaffirms the idea of a culture of greed permeating Goldman Sachs prior to the financial meltdown. While Goldman had been the subject of a
Goffer made over $300,000 from the illegal deal. As the case expanded, 13 others were also charged. Altogether, they had acquired approximately $40 million or more in profit during the years 2006-2009 (Krantz). And the list could go on and on. Conclusion - How Does Illegal Insider Trading Affect the Market and Economy? Unfair advantage. Violation of transparency. Disruptive of a properly functioning market. Investors no longer invest. It begins with
When she died in Toronto, after having a stroke while playing cards, her last words were "Goddamn it, why did you lead that?" (Falk 315). Until the end, she was strong, feisty and a true role model for all humans who strongly believe in and want to promote a cause. In Goldman's biography, Falk clearly recognizes that Goldman is no saint or a Gandhi, and will never be remembered as
Ethics and IT Ethics and Information Technology Doing Ethics Analysis This case concerns trade secret misappropriation and theft of intellectual property, as well as issues of surveillance and cybercrime. Sergey Aleynikov attempted to steal computer code from Goldman Sachs in order to build competing technology for his new employer. Goldman Sachs prosecuted Aleynikov and won a conviction. The case discusses applicable case laws, including the difficulty of enforcing non-compete and non-disclosure agreements. Sergey Aleynikov