Enron Summary

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negotiated. Put simply, Enron had the ability to manipulate their accounting books to make the company look profitable to all outside investors regardless if it was or not. This was a major flaw in corporate social responsibility because they are not serving in the best interests of the company or society using this accounting approach. Being able to manipulating the company to always look profitable encouraged investors to buy stock in the company as well as for many of Enron's employees to invest in the company's 401(k) plan. In reality, the stockholders and stakeholders were investing in a company that was going deeper and deeper into debt and would eventually go bankrupt because of its careless bookkeeping. Jeffery Skilling had an obligation to the company and society to keep honest accounting books because of the huge financial losses it could, and did, cost all those investing in the company .

Another example of the lack of corporate social responsibility at Enron was ...

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