Unethical business practices can run the gamut from behaviour that is damaging to the business, the business owners and their customers, all the way to what is considered borderline illegal. What may look like a bad decision on one business owner’s part can turn out to violate the unwritten code of fair practises.

A good example would be Wal-Mart’s long standing practise of making those companies who provide their products dependent upon them. They do this by forcing them to charge extremely low prices or find another outlet for their sales.

Dishonesty is one of the most common types of unethical behaviour we come across in business. False advertising is seen quite often in order to draw in customers, boost sales and profitability. Business owners and their employees take credit for the work of others and huge corporations are responsible for faulty items and machinery that quite often damage our environment and can lead to serious accidents that affect a large part of the nearby population.

On a smaller scale, many businesses provide terrible customer service or none at all, fail to live up to their promises and treat people in a manner that while not illegal, is still not worthy of a business owner.

On the other hand, for the majority of business owners, integrity is everything. They have gained the trust of their customers and do whatever they can to maintain good business practices. Their employees and co-workers are treated with courtesy and their financial dealings are honest.

Many businesses have a code of ethics in place or a code of conduct which outlines the responsibilities and guidelines for all those who are connected with the business. A good example is Kraft, which has a code of ethical behaviour with only 10 rules, but they manage to cover the most important values to guide their employee’s actions. Loyalty, honesty and value figure largely in their code.

The key components of the majority of business ethics emphasize:

Values which involve all day to day dealings.
Personal responsibility with information regarding legal and moral consequences if the code is violated.
Principles of all types including environmental and operational.

There are many other components which make up the whole of what are called business ethics and they are very similar to what we consider ethical in our daily lives. A business is only as profitable as its least ethical employee or member and standards of behaviour count just as much in business as they do in everyday life. Surrounding yourself with ethical employees is the same as spending your personal life with honest, trustworthy people. It makes your company one which can be trusted and also one which customers like to do business with.

Chris Draper © Copyright 2016 All rights reserved.

We’ve all given it at one time or another but when we hear criticism of our own business and especially when it hits close to home, we lose our ability to handle it gracefully.

Comments on social media, editorials in newspapers or magazines, word of mouth – in all of these ways and more we come across mentions of our business that we find difficult to swallow.

Should we respond, especially in kind? Always think of where the critique is coming from. Not all criticism is helpful or even meant in the way it sounds. Sometimes it’s just there to draw attention to the person who is criticizing and is best ignored.

However, when hearing things against your own business that you find you agree with, the best thing to do is take care of the issue as promptly as possible. If you can, speak with the person who has found a problem and apologize, then ask how you can rectify the situation and keep them as a customer. Problems handled in this way can actually lead to more business as customers truly appreciate great customer service. If they know that your business is one that can be relied upon to fix its mistakes, they will tend to tell others about you.

Take a step back, acknowledge that your business may have its problems and work on what can be improved. Paying too much attention to the comments of others can have a detrimental effect on both you and your business. You’re a professional and remembering that will help you to keep your head up and deal with criticism in a mature manner. You have a right to your own opinion, especially when it comes to your business, so keep in mind that the customer may not always be right.

Each person’s perception of your business will be different and the most important person here is you. Do you feel you’re handling your business properly? Could there be some truth in the criticism coming your way? Learn what you can from it, take it with a grain of salt and put it behind you. In the end, it can only help you improve your business.

© Chris Draper, DemGen Inc. 2015

How do I keep expenses under control in an increasingly expensive business world? This is a common question among small business owners and one which they don’t necessarily ask aloud but is always in the back of their minds.

If you notice your business has stopped growing, then you’ve lost control of the spending boundaries for at least one aspect of your business. Start by renewing your focus on controlling costs at all levels.

Look at renewable contracts with your clients. Multi-year contracts may not be to your advantage. Real time costs are not always taken into consideration and at the time of the original contract you and your client have no idea of which costs will rise in the years ahead during the duration of the contract.

If you carry an inventory, keep in mind that this costs you more. Never keep more stock than you will sell within a short period of time. Even better, don’t carry an inventory at all and purchase only from suppliers when items are needed. Plan ahead for any changes in your market, or products and services you wish to change or improve upon. Compare your costs and expenses with other similar businesses of the same size in your market area.

Never forget to seek out lower prices from your suppliers and to raise your prices as necessary. Raising your prices will not mean you lose customers if the prices are reasonable. Look into anything, especially technology, that will improve delivery of your services. Clients expect the best when it involves completing tasks for them. They like to see creative and innovative ways of getting things done.

Learn accounting. There is no better way to keep track of your costs than to understand them in the first place.

Focusing on the over all cost of your business will show you where you need to rein in costs and where you can spend a little more. Your goal should be to come out ahead while still supplying high quality services and products.

© Chris Draper, DemGen Inc. 2015

  There are some businesses that once you walk in the building or speak with one of the employees or the owner, there is an immediate feeling of comfort, ease and luxury. It’s as if every possible attention to detail has been covered and once you leave, you know that you will return. What is it that makes these businesses stand out from the others?

Impeccable manners. The ability to build relationships, small and large, important and unimportant, has been put at the top of this businesses must do list. They treat everyone with the same degree of politeness, no matter who they are. The owner, the employees, everyone associated with the business has been brought up and had it bred into them, that under all circumstances, you must be polite.

Humbleness. Nothing is worse than dealing with someone who thinks so highly of themselves that they have no time to think of you. The belief that the customer is always right may not necessarily be right, but you wouldn’t know it by speaking with anyone at this business. They are always ready to hear what you have to say, correct any mistakes and take responsibility.

Customer service with a smile. So few people who deal with the public have the true ability to actually look at the people they are dealing with and even less have a sense of humor. That business that you envy makes sure to only have people around with the right attitude. It makes their customers comfortable and also makes it a fun place to work.

Sharing resources. Smart business owners know that to stand out above other companies like theirs, they need to be the “go to” business for their products. They aren’t afraid to share information with their customers or other businesses and this makes them trustworthy. Providing services that educate your customers and a website where they can ask questions or give opinions and suggestions helps your business to be seen as one that is smart and knowledgeable.

Filling a niche. While many businesses offer the same thing, it’s the smart business owner who looks around and finds out what is missing in their market. They ask their customers questions and their answers and feedback help with innovation within the business. Who can  your business help that up until now has been ignored or not thought of? What niche can you fill by innovation of your products? The opportunities are there.

Next time you deal with a business online or walk in a store, take the time to really notice how you feel when dealing with the companies you purchase from. Make it a habit to reward the outstanding ones by giving them your loyalty.

© Chris Draper, DemGen Inc. 2015

image courtesy of bekahbrunstetter