Rumble in the bank

bank

 

 

February 2013 was an unfortunate moment for one of the world’s largest financial institutions, HSBC.

To know further why, read the full article on Rolling Stone, released exactly during the hype about the banking giant’s alleged misdeeds.

And here are some of the excerpts, provided as always:

For at least half a decade, the storied British colonial banking power helped to wash hundreds of millions of dollars for drug mobs, including Mexico’s Sinaloa drug cartel, suspected in tens of thousands of murders just in the past 10 years – people so totally evil, jokes former New York Attorney General Eliot Spitzer, that “they make the guys on Wall Street look good.” The bank also moved money for organizations linked to Al Qaeda and Hezbollah, and for Russian gangsters; helped countries like Iran, the Sudan and North Korea evade sanctions; and, in between helping murderers and terrorists and rogue states, aided countless common tax cheats in hiding their cash.

“They violated every goddamn law in the book,” says Jack Blum, an attorney and former Senate investigator who headed a major bribery investigation against Lockheed in the 1970s that led to the passage of the Foreign Corrupt Practices Act. “They took every imaginable form of illegal and illicit business.”

Study case: inside the minds of Mexican drug cartels

 

Any business-school student should carefully watch this mind-blowing video.

Whatever the mass media have shaped our minds regarding the ongoing drug war in Mexico, which has claimed in between 60,000 and 100,000 lives since the army deployment began on 2006, our perception regarding the drug cartels – the so-called ‘bad guys’ as our minds are molded to believe – is utterly limited.

Rodrigo Canales, an associate professor of organizational behavior at the Yale School of Management, wants to debunk our limited mindsets in perceiving these cartels. At least there are three ‘business strategies’ everyone is going to learn from this utterly deadly genius TED talk:

1. A drug cartel can instill a high sense of control by pursuing a brand of fear. (take for instance Los Zetas, a drug cartel composed of former paratroopers previously recruited, and later dismissed, by Gulf Cartel, another influential Mexican drug-trading organization )

2. Or, in a softer approach, a drug cartel, in the absence of government’s effectual policies, endorses social enterprise and civic engagement. (Knights’ Templar, the successor of previous La Familia Michoacana, is an epitome for this case. They often label themselves as ‘protectors of the oppressed’, as shown by how they kill people, particularly petty criminals, perceived as threats to the social stability of the societies they control)

3. Or, in a more sophisticated manner, a drug cartel functions as normally as a multinational corporation does. (Sinaloa Federation is a role model fit for this method. They have developed their own tunnels, operated their own submarines, and even engaged public-relations firms to give a positive trajectory of how local societies perceive of their organization)

At the same time, Canales also challenges us to readjust our mindsets regarding our perception, and how this can help the policymakers in pursuing a radically brand-new problem-solving approach to solve this age-old trouble, one that has taken over tens of thousands of lives in the Central America’s largest country.