Sales and Ethics
All businesses need a sales function in order to identify and target potential customers, develop a reliable customer relationship and provide goods and services in return for funds (Chris Anderson 2009). Without this core activity, businesses could easily drop out of competition. However, in today’s hectic and intricate selling environment, ethical behavior has been more and more taken for granted and has gradually lost its importance (Ingram, LaForge and Schwepker 2007, 301). Many international businesses, including some high-end brands, intentionally undertook immoral actions to rocket their sales figures (Vasagar 2007; BMW of North America, Inc. v Gore (1995) 517 U.S. 559). Have businesses come to a point where unethical practices need to be done to reach their goals?
Many argue that sales ethics is a contradiction in term and businesses cannot operate if ethics are not taken into consideration in their day-to-day activities (Schmidt 2008). However, Davis (2005) points out the Economist Milton Friedman’s motto, “the business of business is business”, where the ultimate goal of a business is to create shareholder value. Every company has specific objectives to achieve in a limited period of time and their duty is to meet the aspirations of not only the shareholders but also the stakeholders. Salespeople are the front-line faces of the company who communicates directly and personally to the market and their sole responsibility is to maximize profits; they should therefore do what it takes to be business-orientated and sales-driven for short-term performance and long-term customer satisfaction that will create value is what ultimately matters. Sometimes, the end justifies the means.
The meaning of business ethics to Carr (1968) is comparable to those of a poker game. Basically, the game ethics comprises of calling bluffs, and not telling the whole truth about the game strategies in the person’s hand, which, in real life, would normally be considered as
Many argue that sales ethics is a contradiction in term and businesses cannot operate if ethics are not taken into consideration in their day-to-day activities (Schmidt 2008). However, Davis (2005) points out the Economist Milton Friedman’s motto, “the business of business is business”, where the ultimate goal of a business is to create shareholder value. Every company has specific objectives to achieve in a limited period of time and their duty is to meet the aspirations of not only the shareholders but also the stakeholders. Salespeople are the front-line faces of the company who communicates directly and personally to the market and their sole responsibility is to maximize profits; they should therefore do what it takes to be business-orientated and sales-driven for short-term performance and long-term customer satisfaction that will create value is what ultimately matters. Sometimes, the end justifies the means.
The meaning of business ethics to Carr (1968) is comparable to those of a poker game. Basically, the game ethics comprises of calling bluffs, and not telling the whole truth about the game strategies in the person’s hand, which, in real life, would normally be considered as