Global corporates believe they are most vulnerable to corruption when doing business in emerging Markets like India and other BRIC countries, according to a new survey by PricewaterhouseCoopers (PwC).
According to the survey nearly two-third of global firms have faced some form of corruption in their business dealing, PwC said, while warning that this perception could affect flow of foreign investment into these countries and also raising of funds by the Companies from these nations.
"Indian Companies should be concerned about the perception of global firms regarding the corrupt environment in India as it would affect the flow of foreign investment and cost of raising funds by India Inc," PwC Advisory Leader Ashwani Puri said.
According to the report, 63 per cent of senior executives globally said they had experienced some form of actual or attempted corruption in their business dealings.
Further, almost 80 per cent of executives said they have anti-corruption programs in place at their company, but only 22 per cent are confident of these being effective.
"Executives indicated that they are most vulnerable to corruption particularly when doing business in emerging Markets such as Brazil, Russia, India and China (BRIC), " the report said.
PwC had commissioned the Economist Intelligence Unit to conduct the global survey and interviews with senior officials and anti-corruption specialists. The survey respondents comprised of 390 senior executives from 70 countries.
While, 45 per cent said they had not entered a specific market or pursued a particular opportunity because of corruption risks, 39 per cent believe their Companies had lost bids because of corrupt officials. Besides, 42 per cent Companies said their competitors paid bribes.
Courtesy : THEFINANCIALEXPRESS.COM
According to the survey nearly two-third of global firms have faced some form of corruption in their business dealing, PwC said, while warning that this perception could affect flow of foreign investment into these countries and also raising of funds by the Companies from these nations.
"Indian Companies should be concerned about the perception of global firms regarding the corrupt environment in India as it would affect the flow of foreign investment and cost of raising funds by India Inc," PwC Advisory Leader Ashwani Puri said.
According to the report, 63 per cent of senior executives globally said they had experienced some form of actual or attempted corruption in their business dealings.
Further, almost 80 per cent of executives said they have anti-corruption programs in place at their company, but only 22 per cent are confident of these being effective.
"Executives indicated that they are most vulnerable to corruption particularly when doing business in emerging Markets such as Brazil, Russia, India and China (BRIC), " the report said.
PwC had commissioned the Economist Intelligence Unit to conduct the global survey and interviews with senior officials and anti-corruption specialists. The survey respondents comprised of 390 senior executives from 70 countries.
While, 45 per cent said they had not entered a specific market or pursued a particular opportunity because of corruption risks, 39 per cent believe their Companies had lost bids because of corrupt officials. Besides, 42 per cent Companies said their competitors paid bribes.
Courtesy : THEFINANCIALEXPRESS.COM