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Factors stimulating corporate crime in Malaysia

Author

Listed:
  • Puah, Chin-Hong
  • Voon, Sze-Ling
  • Entebang, Harry

Abstract

Building on the perception of both existing and potential investors in Kuching, Sarawak, this study aims to identify the factors that appear to stimulate corporate crime activity in organizations. A survey was carried out by distributing questionnaires to both types of investors selected on randomly basis. The findings reveal that corporate crime activities are mostly due to inadequate cash security practices, inadequate supervision as well as a lack of internal auditing. To minimize the effects of corporate crime on investors and organizations, managers should pay extra attention to these factors. On the other hand, future research within the context of corporate crime may consider the extent to which organizational crime can affect the shareholder value creation of organizations.

Suggested Citation

  • Puah, Chin-Hong & Voon, Sze-Ling & Entebang, Harry, 2008. "Factors stimulating corporate crime in Malaysia," MPRA Paper 10679, University Library of Munich, Germany, revised 2009.
    • Handle: RePEc:pra:mprapa:10679
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    File URL: https://mpra.ub.uni-muenchen.de/10679/1/MPRA_paper_10679.pdf
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    More about this item

    Keywords

    Corporate Crime; Internal Control;

    JEL classification:

    • K20 - Law and Economics - - Regulation and Business Law - - - General
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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