Thiscase is about the Collapse of Enron and how it affected several Americans. Enron Corporation was formed in 1985 through a merger of Houston Natural Gas and InterNorth of Omaha, Nebraska. The Union created a midsized firm whose main asset was a large network of natural gas pipelines. The company’s core business was distributing natural gas to utilities. The key stakeholders involved in, or affected by, the collapse of Enron where the employees, stakeholder and mutual fund investors. The pain caused by Enron’s abrupt failure was widely felt. The company immediately lay off 4,000 employees, with more to follow. Thousands of Enron employees and retirees saw the value of their 401(k) retirement plans, many heavily invested in the company’s stock, become worthless overnight. “We, the rank and file, got burned,” said one retiree who lost close to $1.3 million in savings. “I thought people had to treat us honestly and deal fairly with us. In my neck of the woods, what happened is not banks—J.P Morgan Chase and Citigroup-faced major write-downs on bad loans not only did Enron creditors, shareholders, and bondholders lose out, confidence also fell across the market, as investors questioned the integrity of the financial statements of other companies in which they held stock. After considering all aspect of the case, I believe that the factors that contributed to the collapse of Enron were politics as usual, off the balance sheet, manipulating revenue and a wave of accounting scandals. Political action was an important part of Enron’s overall strategy. The company’s primary policy goal was to promote deregulation and reduce government oversight in the range of markets in which it traded. Over the years, Enron’s efforts to influence policy making enjoyed significant success such as: Commodities Future Regulation and the purpose is to regulate future contracts traded in an exchange. They also had Securities and Exchange Commission which granted Enron an exemption for...