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CHAPTER5Ethics:TheFoundationforRelationships

inSellingLearningObjectivesCopyright?2021PearsonEducation,Inc.PublishingasPrenticeHallDescribehowethicaldecisionsinfluencerelationshipsinsellingDiscussfactorsthatinfluencecharacterdevelopmentDescribethefactorsthatinfluencetheethicalconductofsalespersonnel5-2LearningObjectivesDiscussguidelinesfordevelopingapersonalcodeofethicsDescribeethicalandlegalissuesininternationalbusiness

5-3Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallMakingEthicalDecisionsBusinessethics:principlesandstandardsthatguidebehaviorintheworldofbusinessTheyhelptranslateyourvaluesintoappropriateandeffectivebehaviorsNooneuniformcodeofethicsforallsalespeople,butmanybusinesses,professionalassociations,andcertificationagencieshaveestablishedwrittencodes5-4Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallMakingEthicalDecisionsCharacterandintegritystronglyinfluencerelationshipsinpersonalsellingYourcharacterisbasedonyourinternalvaluesCharacterisbasedonyourinternalvaluesandtheresultingjudgmentsEthicaldecisionsyoumakereflectyourcharacterstrength5-5Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallCodeoftheNationalAssociationofSalesProfessionals5-6FIGURE5.1Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallCharacterDevelopmentCollegesanduniversitiesarebeginningtoplayamoreactiveroleincharacterdevelopmentCoursesthatfocusonethicsarebecomingquitecommonDespiteagrowinginterestinbusinessethics,unethicalbehaviorhasbecomealltoocommon5-7Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallHalf-TruthsInfluencingthe

ErosionofCharacterWeareinitonlyforourselvesCorporationsexisttomaximizeshareholdervalueCompaniesneedto

beleanandmean5-8Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallTheNationalBusiness

EthicsSurvey5-9

SeetheWebsiteCopyright?2021PearsonEducation,Inc.PublishingasPrenticeHallFactorsDeterminingEthicalBehaviorofSalespeople5-10FIGURE5.2Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallManagementasRoleModelEthicalstandardsfilterdownfromthetopOrganization’smoraltone,setbymanagement,ismostimportantdeterminantofemployeeethicsManagersmustinfuseethical

valuesinsubordinates5-11Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallTimberland5-12TimberlandCEOJeffreySwartzproudlypointsoutthecompany’sslogan:“Boots,Brand,Belief.〞SeetheWebsiteCopyright?2021PearsonEducation,Inc.PublishingasPrenticeHallCompanyPoliciesandPracticesCompanypoliciesandpracticescanhaveamajorimpactonconduct DevelopingethicalpolicystatementsforcescompanytotakeastandPoliciesshouldincludedistributorrelations,customerservice,pricing,productdevelopment,etc.5-13Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallTrustandIntegrity:

TheSt.Paul5-14SeetheWebsiteCopyright?2021PearsonEducation,Inc.PublishingasPrenticeHallAdditionalPolicyAreasSharingconfidentialinformationReciprocityBriberyGiftgivingEntertainmentBusinessdefamationUseoftheInternet5-15Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallInternationalBribery:

WhereDoYouDrawtheLine?Thetextstates: “Salespeoplewhosellproductsinforeignmarketsneedtoknowthatgivingbribesisviewedasanacceptablebusinesspracticeinsomecultures.However,bribesorpayoffsmayviolatetheU.S.ForeignCorruptPracticesAct(FCPA).〞Tolearnwhatisacceptableandwhatisnot,

visittheFCPAEnforcementWebsite.5-16Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallSalesManagerasRoleModelAsalesperson’sactionsoftenmirrorthoseofthesalesmanagerSalesmanagersareresponsibleforinterpretingcompanypolicyValuessuchasintegrity

andhonestymustreceiveconstantmanagersupport5-17Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallPersonalValuesValuesaredeeppersonalbeliefsandpreferences,representingtheultimatereasonspeoplehaveforactingastheydoValuesserveasfoundationsforourattitudesAttitudesserveasfoundationsforourbehavior5-18FIGURE5.3Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallWhenValuesConflictYouhavethreebasicchoices:IgnoretheinfluenceofyourvaluesandengageintheunethicalbehaviorVoicestrongoppositiontothepracticethatisinconflictwithyourvaluesystemRefusetocompromiseyourvaluesandbepreparedtodealwiththeconsequences5-19Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallSellingwithIntegrity5-20RonWillinghamsaysasalesperson’sethicsandvaluescontributemoretosalessuccessthandotechniquesandstrategies.Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallLaws,Contracts,andAgreementsLegalenvironmentplaysaroleinpreventingunethicalbehaviorCooling-offlawsUniformCommercialCode—lawinfluencingbuyer-sellertransactionsOralandwrittencontractsBeyondtheletterofthelaw5-21Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallTheUniformCommercialCode5-22TABLE5.1Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallDevelopaPersonal

CodeofEthicsSomegeneralguidelines:PersonalsellingmustbeviewedasanexchangeofvalueRelationshipcomesfirst,taskssecondBehonestwithyourself

andothers5-23Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallExercisingCarewithCRMDataCRMsoftwareallowsstorageoftransactiondataandpersonalinfoRecordfacts,notopinionsorconclusionsCRMdatais“mobile〞andotherpeoplemayseeoruseitDonotstoreanythingyoudonotwantthecustomertosee5-24Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallTheTrustFactorIntransactionalsales,thefocusisontrustintheproductInconsultativesales,thefocusisontrustinthesalespersonInstrategicalliancesales,thefocusisontheothercompanyanditsvalues5-25Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallEthicalandLegalIssuesin

InternationalBusinessCultureIssuesSumtotalofbeliefs,values,knowledge,ethniccustoms,andobjectsthatpeopleusetoadapttotheirenvironmentCulturalbarrierscanimpedeacceptanceinforeigncountriesandinterpersonalrelationships5-26Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallEthicalandLegalIssuesin

InternationalBusinessLegalIssuesDoingbusinessinglobalmarketplacescontinuestobeaminefieldTheForeignCorruptPracticesActprohibitsU.S.companiesfromusingbribesorkickbacksHighethicalstandardsdependonstrongmanagementleadership5-27Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallEthicalandLegalIssuesin

InternationalBusiness5-28Copyright?2021PearsonEducation,Inc.PublishingasPrenticeHallSeetheWebsiteTheInternationalBusinessEthicsInstitutebelievesU.S.companieshavebeenaverypositiverolemodelfortherestoftheworld.

KeyConcept

DiscussionQuestions

Describeh

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