No topic Case Study Example | Topics and Well Written Essays - 250 words - 2

No topic - Case Study ExampleThus, its main aim was to observe the financial and accounting standards in government own companies, through this the liability of manager to subordinates will be increased. Therefore, the rampant crisis of trust in American capitalism that was aroused from scandals in WorldCom, Enron and other companies will settle down (SOX, 2002).However, Sarbanes-Oxley (SOX) has also created major negative effects in the United States corporate. First of all, majority of companies have decided to stay held privately since being popular makes them to accountable to the SOX act. Additionally, other public companies that had their names in the stock list have removed themselves. Therefore economists say that this is a big concern since it could lour the economists entrepreneur spirit (Zhang, 2007).Secondly, senior managers nowadays instead of putting to a greater extent attention on strategizing the growth of their firms, they have been seen to be more concerned on t he ethical statuses of their organizations. Furthermore, they are hesitative to make brave business decisions and have become hesitant in their plans to expand. Thus, the SOX has become somehow too oft of a regulation for the corporate America (Rao,