Excerpt
Excerpt
Customer-Driven Misconduct: How Competition Corrupts Business Practices. Michael Toffel, August 2013, Paper. "Competition among firms yields many benefits but can also encourage firms to engage in corrupt or unethical activities. We argue that competition can lead organizations to provide services that customers demand but that violate government regulations, especially when price competition is restricted. Using 28 million vehicle emissions tests from more than 11,000 facilities, we show that increased competition is associated with greater inspection leniency..." Link Verified October 11, 2014