How to explain what is Corporate responsibility and insider trading? If a person is over heard...

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General Management

How to explain what is Corporate responsibility and insidertrading? If a person is over heard talking about company plans in apublic place by a competitor can the information be used by theperson that heard the information legally or is that a form ofinsider trading? What is the corporate responsibly in thisscenario?

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If a person is overheard talking about company plans in a public place by a competitor the information cannot be used by the person that heard the information either legally or ethically because it is a form of insider trading This situation violates both the corporate responsibility and the insider trading rules Insider trading Insider trading can be defined as trading of a companys stocks bonds or other security options by using non public information about the company gained from a person of authority of that company It is an unethical practice because it gives a few people and unfair advantage due to their See Answer

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