Risk-Based Compensation Practices in the U.S.

Risk-based compensation is a practice whereby banks and financial institutions create attractive compensation packages as an incentive for executive employees willing to make risky—inherently unsafe—business and financial decisions. The recent history of the financial markets strongly suggests that the practice of incentive-based compensation compel bank executives to turn a blind eye to the true dangers…

Mexico Offers Automotive Companies Business Opportunities

The Mexican automotive industry was hit hard by the global economic slump. Nonetheless, several distressed automobile manufacturers, including General Motors and Chrysler, both of which underwent Chapter 11 reorganizations last year, have continued to expand their presence in Mexico. As automakers and suppliers attempt to return to profitability, they likely will look to countries with…