Entrepreneurial Practice of Ethics involves various qualities and virtues.
Virtues of Entrepreneurial Practice of Ethics
1. HonestyHonesty in Entrepreneurial Practice of Ethics is crucial for three reasons:
- It builds trust- Studies indicate that employees who believe that their employers are honest work harder.
- Establishes community-When people trust each other, relational networks are built. Trust in Entrepreneurial Practice of Ethics is a social good to be protected just as much as the air we breathe. Dishonesty makes business communication less efficient and more cumbersome. As English author, Samuel Johnson once observed, even demons do not lie to one another, because the society of hell could not exist without truthfulness.
- Protects the dignity of the audience- Honesty respects the dignity of those to whom communications are directed. Recipients are entitled to accurate information so that they are able to make free and intelligent choices. The concept of ‘’informed consent’’ also applies in business just like in medicine so that the dignity of decision makers (customers, employees, stockholders) must be protected by giving them sufficient information to preserve their autonomous choices. Adam Smith, the father of capitalist, prized the notion of informed consent. For transactions to be truly voluntary both parties must have access to accurate information; otherwise they cannot deal for mutual benefit in the Entrepreneurial Practice of Ethics. Smith taught that the market operates properly only if honest dealings are the norm.
2. Concealment and disclosure When a seller intentionally masks a product defect, concealment can be every bit as deceptive as a spoken lie. Unfairness results when insiders use secret knowledge to the disadvantage those outside of the information loop. 3. Employer- employee relations This relationship presupposes reciprocity. Reciprocity in Entrepreneurial Practice of Ethics is a relationship that acknowledges mutual duties and accepts mutual accountability. It flows from the notion of dignity. In exchange for employee diligence, honesty and cooperation; employers are expected to respect employees’ intrinsic value, provide due process and behave with integrity. Entrepreneurial Practice of Ethics requires decision makers to be impartial and to have no conflicts of interest; it mandates that fair and adequate evidence be presented and provides those accused of wrongdoing with the opportunity to tell their side of the story before a decision is reached. In addition, an employer should never defraud laborers of their wages. Compensation should not discriminate along sex, race or tribal lines. The same may be said for compensation packages offered to top executives versus those offered to lower echelons. Justice should be seen in this area too. Our economic system tends to reward managers and discriminate against laborers monetarily because managers are viewed as innovators and risk bearers while laborers are believed to contribute more of physical than technical skills. This view in Entrepreneurial Practice of Ethics is however not realistic when one examines organizations that encourage and reward employees for creative ideas and responsible conduct. Those in the lower ranks seem to be as capable of innovative thinking as the managers. Entrepreneurs should look for ways to encourage and release creative abilities of their workers, enabling them to make the greatest possible contribution and develop to their highest potential regardless of their rank. An entrepreneur who is a good steward needs to provide opportunities for those in subordination to grow and assume meaningful responsibilities. Health and safety issues for workers should be extremely important to an entrepreneur. An entrepreneur of good Entrepreneurial Practice of Ethics should not violate the concerns for health and safety. This includes stress in the workplace and its effects on the health and well- being of the worker and his/her family. For example, too much overtime work, though financially rewarding in the short run, can be detrimental to health and family needs over a longer period of time. To be right, just and fair to employees in Entrepreneurial Practice of Ethics therefore demands a sincere concern for their health and safety in the job. Discrimination is an inherent component in the natural order and essential to making choices. Everyone must make decisions that involve some sort of selection, which means choices are automatically discriminatory. Because moral judgments involve discrimination, there is the danger of utilizing inappropriate criteria to make these moral judgments. It is the unjust discrimination that results which is at the heart of society’s historic concern over this important issue. Unjust discrimination reveals ungodly forms of favoritism and rejection that violate biblical norms and ethical principles. 4. Crediting others Plagiarism is not confined to the academic world or to the writing profession. Taking personal credit for good ideas or for results for which others deserve recognition in Entrepreneurial Practice of Ethics is rampant in the business world. For example, it is possible for the entrepreneur to imply to the market that positive results emanating from the group he/she leads ought to be credited to him/ her rather than to those in the group who actually made the specific contributions. 5. Quality/ price Tampering with a product’s quality while maintaining its price (or perhaps raising it) without disclosing the intended change is unethical in Entrepreneurial Practice of Ethics. In this world of material abundance where markets are not only highly competitive but face ever rising costs, the opportunities to adversely alter quality while maintaining existing price structures is always present. If a product can be re-engineered to reduce costs without adversely affecting the quality, that is good stewardship. 6. Service With many economies rapidly becoming more service oriented, the matter of being right, just and fair in Entrepreneurial Practice of Ethicsbecomes even more ethically significant. It is of utmost importance to meet the expectations for service generated at the time of the original sale. To do less would be to perpetuate injustice. For example, the quality of replacement parts used when servicing products should be of major concern to persons offering such service. Customers need to know their choices where quality of replacement parts are concerned and the extent of the service to be made available.
Justice in Entrepreneurial Practice of Ethics
- 1. Justice toward customers
At the point of sale, when sellers and buyers meet face to face, there are opportunities to be ‘’less than candid’’, particularly when attempting to make sales offers appealing in Entrepreneurial Practice of Ethics. Such practices as stretching the truth, exaggerating performance expectations, being silent when less-than-positive facts ought to be shared , answering questions with half- truths, or making promises that cannot be kept all serve as temptations to unethical practices in Entrepreneurial Practice of Ethics. Rationalizations that accompany such behavior are generally based on the conviction that statements made merely to ‘’smooth the way’’ are insignificant. However, if people truly believed such behavior was insignificant, they would be more apt to avoid it in order to build their reputation on impeccable integrity. Such self- promoting behavior or lying in any form is unethical according to Entrepreneurial Practice of Ethics.
- 2. Justice toward competitors
(a) Pirating Various efforts to secure proprietary information from competitors occur in many industries. This is merely another form of cheating. Such activity may be intentional, as when personnel are hired away from a competitor or when attempts are made to purchase inside information from willing informants. Attempts may be made to collect pertinent information by searching through a competitor’s trash. A competitor’s product may even be taken and given just enough minor alterations to avoid encroaching on an existing patent or copyright. Such competition is an admission that the perpetrator is incapable, for whatever reason, of being personally creative and therefore needs to cheat to gain advantage. This kind of stealing is as wrong as robbing a bank according to Entrepreneurial Practice of Ethics. (b) Intentional Attacks Intentionally hurting competitors or trying to tear them down is unethical. Employing ‘misinformation’ and intentionally fanning harmful rumors are unethical practices in Entrepreneurial Practice of Ethics. Entrepreneurs should use their imagination, creativity, resources and abilities to serve others. Although competition is a fact of life in our fallen world, for ethical people, it should not become the sole motivating force or objective of a business. (c) RespectEthical entrepreneurs are to respect competitors and avoid all conduct that is demeaning and disrespectful and avoid anything that could affect them adversely. They are to be kind even to the point of building up competitors self worth when it is in the entrepreneur’s power to do so. An example would be when a business such as an airline volunteers its staff to serve a competitor because competitor’s staffs have gone on strike. Acknowledging another’s success, complementing (encouraging) another’s integrity and handling own success gracefully in the presence of competitors are all part of doing what is right, just and fair in Entrepreneurial Practice of Ethics.
- 3. Justice toward Government
An ethical entrepreneur should submit himself/ herself to the governing authorities provided that their laws do not contradict God’s expressed will. He/she should pay taxes, observe sanctioned customs, honor and fear those in authority.
- 4. Justice toward Society
Ethical entrepreneurs in the marketplace should become motivated to take the lead in efforts to encourage social responsibility. They should be prepared to seek public’s assistance to bring about justice in the marketplace through incentives or by legal mandate if necessary. Someone needs to look out for the general public’s interest. It would be gratifying to see small- scale business leaders in the forefront of looking not only for their own interest but also to the often, businesses, especially small ones tend to avoid public involvement in social issues. In Entrepreneurial Practice of Ethics, entrepreneurs should speak with a loud voice on issues of social or economic justice whenever they discern its absence. They should lead the way in calling for justice whenever they see perversions.
Conclusion on Entrepreneurial Practice of Ethics
Benefits of Entrepreneurial Ethics The obvious benefits of Entrepreneurial Practice of Ethics are the feelings of having a clear conscience and self-respect as a ‘moral’ manager. It stands to reason that over the long term, when business managers do what is right for their primary stakeholders and faithfully try to balance all of their interests, they will be looking out for business at the same time. Good reasons for entrepreneurial ethics include: (a) Avoiding the costs of unethical business conduct Failure to attend to customer needs for safety and health can drive customers away and hurt the business image. (b) Long-term, proactive strategy to foster trust Businesses should endeavor to send messages to customers, because through that it can be trusted to keep customers’ best interest in mind. (c) Desired consistency between conscience and business conduct A business should develop a good reputation of how it treats its people. Business practices may include a more liberal benefits package, employee- directed programs that treat employees they way managers would like to be treated, and aligning its social conscience with its business conduct. (d) Lower employee turnover and a greater ability to attract good employees. This happens only when the employer- employee relationship is not purely an abstract of financial interest nut a relationship with a human face whose relationship is far more complex than just an exchange of money for task performance in Entrepreneurial Practice of Ethics.