Are facilitating payments ethical? Why or why not? Discuss the legal and moral implications.

A facilitating payment is referred to as, a form of payment, with which is made to foreign officials, yet it is not considered to be a form of bribery.

Legally, facilitating payments are distinguished from bribery, yet this distinction possesses the ability to become blurred at times. The manner with which a facilitating payment is determined to be ethical, or non, is quite the difficult task for law enforcement officials. In most situations, law enforcement determines unethical practice based upon the surrounding terms, and conditions of the payment/gift. Less valuable "gifts" are usually considered to be ethically correct, yet larger, more expensive "gifts" poses the tendency to raise red flags in the eyes of law enforcement officials. Under those particular circumstances, law enforcement tends to examine the factors surrounding larger payments more intently. Small, minor valued "gifts" are considered customary, and legally acceptable in many countries, however, they do pose the threat of potential risk, in regards to liability, due to strict laws and regulatory guidelines, with which prohibit certain forms of "gift giving". Therefore, the terms with which surround this form of behavior, and the extent to which they are considered ethically correct or not, really depends upon the country with which this act takes place in. Also, one must note, that a "slippery slope" of danger may form, and evolve, due to dubious payments.

Although facilitating payments are considered to be ethically sound in many nations, these "payments" are still questionable, in regards to business ethics. The following is a list of arguments, and ethical concerns, which exist among members of the business world:

- facilitating payments posses the ability to create unfair competition