Photo by Charles Forerunner on Unsplash
In the previous post, I discussed the reasons to be ethical. In short, ethics provides leverage. This post addresses points specific to businesses.
Competition and Revenues
Most profitable companies create a monopoly. 1
- Example: Google, Facebook, Amazon
Monopolies are bad for innovation long term. Competition is good for innovation.
Often publically traded companies listening to shareholders focus on short term gains while neglecting ethics.
- Example: Slave Trading Companies during the Colonial Era. 2
- Recent Example:
- Facebook is known for copying features from smaller competitors then purchasing them
- Amazon is known for bankrupting competitors by:
Some companies choose to stay private, avoiding being influenced by shareholders.
- Example: SpaceX
If your business is no longer needed, pivot and move to something else.
Your goal as a company is to help your customers. 4
If you cheat, you’ll create a bad word of mouth about your brand. Word of mouth is the most powerful marketing strategy.
Be the kind of business whose customer wants you to succeed. 5
Protect customer data by providing 100% encryption. Even you should not be able to read it.
The more you take care of your employees. The more employees take care of you. 5
Companies should run on ideas, not hierarchy. You have to let the best ideas win. Which means that people at Leadership position should listen to their employees and sort out solutions. 6