SMG SM 131 Lecture Notes - Lecture 1: Bush Family, Making Money, Order Of Newfoundland And Labrador

• School: Boston University
• Department: School of Management
• Course: SMG SM 131
• Professor: David Stolow

Document Summary

Enron was founded in 1985 by ken lay. 25% of world energy trading contracts: managed largest portfolio of natural gas risk management contracts. Ken lay was very close with the bush family, bush even called him (cid:498)kenny boy(cid:499) a nickname made up by lay"s wife. Because it shows how personal relationships b/w government officials and big businesses can cause monopolies and exacerbate the thinking that businesses are equal to or even above government regulations, causing unethical behavior to snowball. Let gas prices float through the currents of the markets. Traders were making enron money and money was all that mattered to lay. Scandal where 2 trading partners gambled on if the enron stock would rise or fall and they ended up winning a lot and put the money in their own off shore accounts. He didn"t do anything and encouraged them to gamble more because it was making money for the company.