Tuesday, June 30, 2009

Workplace Ethics

Through my courses in UCI I had learned of numerous cases of white collar criminals and corrupt business practices that led to thousands of people loosing everything they had. How do these people get away with this? Greed and the available resources to scam people who don't know any better, are the two prevalent characteristics in every occurance. A current case in the news is that of Bernard Madoff and his $50 billion Ponzi scheme. The Fed claims it as the worst scheme ever in looting people out of their money. So how are these guys able to do this and why don't investors know any better? Bernard Madoff and his like use all sorts of schemes and tricks to get around the system, or through it, to earn another billion dollars to their portfolio.

The lesson we can learn from these schemes is that false business practices and unethical motivations are a road to failure, both for the individual and for the company as a whole. A company's long term success and viability depends on its image and goals. A good intentioned company with mindful ethical standards will usually win over loyal customers, while a deceitful company will only win over peoples bank accounts. A deceitful company usually is one that drastically and unexpectedly gains a lot of money without a great invention or idea, but the profit only lasts for a short period of time until the regulatory officials can catch up to their tactics. A short term profit is never greater than a long term steady source of income. In short, a company or individual attempting to be successful should always base their motives on ethical standards and good business practices. Never being deceitful to customers will gain a lot of trust and respect for the company, which in turn will make the viability of the company even greater.

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