1.Discussion: 250 Words 2 responses (150 words each) 2.Case Study: 250 words (APA Format) 3. Journal Article: 450 Words ((Summary 150 Words and Discussion 300 Words) Discussion topic: why Goldman Sa

Discuss why Goldman Sachs was a disciple of Albert Carr's theory of "business is a poker game and we are all bluffing."

In 2010, Goldman Sachs pleaded guilty for misleading its investors for mortgage investment in the US housing market. Goldman Sachs was fined for $550 million as settlement offer, where the customers were paid $250 million and $300 was paid to the U.S Treasury. However, it is believed that Goldman Sachs should have been fined for more than that amount. The return that they make is way more than what it was settled for and despite the fine, Goldman Sachs increased its shares by 4.5%, which made people believe that, they could have paid more than what the settlement was offered for. The amount paid was less than 5% of profit the company makes. This makes the public believe that Goldman Sachs bluffed Securities and Exchange Commission and the penalty should have been more than they paid.

According to Goldman Sachs, the step that they took was for the improvement of the firm, its clients, customers, and investors. They bluffed to the public that they made more than what they had to pay, just like a poker game. In a poker player makes it difficult to read his mind and bluffs the opponent to win the game. Goldman Sachs played a poker game with the settlement with Securities and Exchange Commission. Since business is not a fair game and there is no law for bluffing, Goldman Sachs was able to bluff and there was not caught. Unethical and unfair games in a business has seen to be very common and a strategy to win the market.

Reference:

1.       Goldman Sachs agrees record $550m fine. 16 Jul 2020. https://www.bbc.com/news/business-10656699

2.       Susanne Craig And Kara Scannell (Jul 2010). Goldman Settles Its Battle with SEC. $550 Million Deal Ends Showdown That Shook Street. https://www.wsj.com/articles/SB10001424052748704682604575369382547871788