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Eron Code of Ethics

In:

Submitted By kjones9
Words 835
Pages 4
Kisa Jones
Eth/316 Ethics and Social Responsibility
March 5, 2012
Chuck Thompson

In 1985, Houston Natural Gas and InterNorth, Inc merged together to sell natural gas to most gas companies as well as businesses. This merge renamed the companies to Enron which was quickly grew as the largest natural gas company in the US. “Enron’s vision is to become the world’s leading energy company-creating innovative and efficient energy solutions for growing economies and better environment worldwide.” (www.thesmokinggun.com) Enron became a multibillion dollar company out of Omaha, Nebraska founded by Kenneth Lay, Andrew Fastow, and Jeffrey Skilling which relocated in Houston, Tx. In the late 90’s, the gas market changed from government regulations to competitions deciding on the price of energy. With the new change, Enron began selling its product to businesses as the intermediary instead of the primary supplier. Enron began trading contracts from suppliers and issued long term contracts to pipeline companies instead of buying and selling natural gas. The company began to see large increase in revenue and began investing in other businesses. This mass change within the company began the rise and fall of Enron. The rise and fall of the company was because of failure by unethical management decisions and business choice. Enron began borrowing money from to invest in new business projects to maintain its constant growth. To keep the earnings from the eyes of investors, Enron began to create partnership with other businesses that would allow their debts to remain off record which made the company look more successful than it really was and was named “The Most Innovative Company in America” by Fortune Magazine. By the late 2000, Enron was able to triple its profit. In 2001, Enron trade and operations were extensive in the financial market for plants and

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