ShmoopTube
Where Monty Python meets your 10th grade teacher.
Search Thousands of Shmoop Videos
Finance: What are Kickbacks? 1 Views
Share It!
Description:
What are kickbacks? Well, they're things we don't get for working at Shmoop, that's for sure. Hit play to find out more.
- Social Studies / Finance
- Finance / Financial Responsibility
- College and Career / Personal Finance
- Life Skills / Personal Finance
- Finance / Finance Definitions
- Life Skills / Finance Definitions
- Finance / Personal Finance
- Courses / Finance Concepts
- Subjects / Finance and Economics
- Finance and Economics / Terms and Concepts
- Terms and Concepts / Bonds
- Terms and Concepts / Regulations
- Terms and Concepts / Stocks
- Terms and Concepts / Trading
Transcript
- 00:00
Finance allah shmoop What are kickbacks He okay Okay It's
- 00:08
Not that it's This dark worf at midnight A car
- 00:14
with no place The nervous guy in the suit He's
- 00:16
thie it or information technology Head buyer for the bank
- 00:21
shmoop nar go he's the decision maker on buying three
Full Transcript
- 00:25
billion dollars worth of database software And then there's this
- 00:29
guy just out of the car He's the head of
- 00:31
sales of del fi databases are us He'll make a
- 00:34
three percent or ten million dollar commission on this ten
- 00:37
year contract If it goes through all it takes is
- 00:40
this little bit of wd forty to make the wheels
- 00:44
turn a briefcase full of one hundred grand in unmarked
- 00:47
bills Yeah That's the grease this dough to the buyer
- 00:50
It's a kickback and it's an obvious one In real
- 00:53
life kickbacks are way more insidious secretive clever head of
- 00:58
sales of del fi owns a beach house in the
- 01:01
hamptons Maybe he you know lets his buyers stay there
- 01:05
on weekends And maybe he provides them with well all
- 01:09
kinds of recreation You can let your mind wander So
- 01:12
sound like a ludlum me kind of ah spy novel
- 01:15
With corporate intrigue well guess what This happens all the
- 01:19
time that's happened a big companies and little hewlett packard
- 01:22
and oracle and others they've all come down with sales
- 01:25
People being nailed exacts being fired and businesses well continuing
- 01:30
to practice this practice more or less The big problem
- 01:33
Foreign markets yeah there they do kick back so just
- 01:36
kind of a regular part of doing business So if
- 01:39
we're trying to play by our rules in america and
- 01:42
imposing them on some small struggling nation where the people
- 01:46
are desperate to simply make enough money to feed their
- 01:48
children wealth and how we think about the morality of
- 01:51
kickbacks we know this guy's position on the matter We
- 01:54
should remember that from inside the jail bars when we're 00:01:57.722 --> [endTime] nailed
Up Next
How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...
Related Videos
GED Social Studies 1.1 Civics and Government
What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...
What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...