According to the New York Times, the Nissan chairman, Carlos Ghosn, was arrested on Monday after an internal company investigation found that he had underreported his compensation to the Japanese financial authorities for several years.
1. After Mr. Ghosn was sent to Nissan’s Japan headquarters, what was he credited with as a result of making sweeping changes?
2. According to the article, what do foreign investors typically tend to criticize Japanese companies about and why is this ironic?
3. What was the story that surrounded Proxinvest, a Paris-based shareholder advisory firm that had recommended voting against Mr. Ghosn’s 2017 salary?
4. How was the financial misconduct discovered?
5. Why is it assumed that there was collusion?
Rich, M. (2018). Carlos Ghosn, Nissan’s Chairman, Arrested Over Financial Misconduct. New York Times, Nov. 19 (Retrievable online at https://www.nytimes.com/2018/11/19/business/nissan-carlos-ghosn-misconduct.html)