Introduction
Although business stimulates the economy and provides millions of jobs and creative outlets, it also has a negative side. Business professionals across the globe are held to a high standard to maintain an ethical business practice. However, this is not always the case. There have been many examples and cases in history of unethical business practice. Some of the most prominent examples are Enron, Bernie Madoff, and the originator Charles Ponzi (where the term “Ponzi Scheme” coined from). In response to this, consumers demanded secure and ethical businesses. The first response to this demand came in 1912 by the creation of the Better Business Bureau (BBB). This organization seemingly was the perfect solution to the ethical dilemmas …show more content…
The man who made the new rating system, William Mitchell was involved in a few ethical dilemmas. The first problem was the public opinion of his salary caused an uproar. In 2008, he was paid in excess of $400,000; that is more than the heads of other BBB chapters and even the group 's national president (Bernstein, 2010). The second problem was the scandal the whole organization was being accused of. The whole organization was being accused of “Pay for Play”. The accusation accused the Better Business Bureau of taking money in exchange for higher ratings and accreditation (Fleming, 2011). The third problem was the negative public opinion of the new, somewhat biased grading system. Mitchell’s actions surrounding this made it all more …show more content…
According to an article in the LA Times, Bob Richardson (director of operations for the LA BBB chapter) said that his resignation had nothing to do with the accusations and more with health concerns (Bernstein, 2010). It still all seemed too suspicious at the time. Amid all the scandals, in 2013 the BBB expelled the LA chapter, opened a new one and changed the old one to the Business Consumer Alliance (Fleming,
Although business stimulates the economy and provides millions of jobs and creative outlets, it also has a negative side. Business professionals across the globe are held to a high standard to maintain an ethical business practice. However, this is not always the case. There have been many examples and cases in history of unethical business practice. Some of the most prominent examples are Enron, Bernie Madoff, and the originator Charles Ponzi (where the term “Ponzi Scheme” coined from). In response to this, consumers demanded secure and ethical businesses. The first response to this demand came in 1912 by the creation of the Better Business Bureau (BBB). This organization seemingly was the perfect solution to the ethical dilemmas …show more content…
The man who made the new rating system, William Mitchell was involved in a few ethical dilemmas. The first problem was the public opinion of his salary caused an uproar. In 2008, he was paid in excess of $400,000; that is more than the heads of other BBB chapters and even the group 's national president (Bernstein, 2010). The second problem was the scandal the whole organization was being accused of. The whole organization was being accused of “Pay for Play”. The accusation accused the Better Business Bureau of taking money in exchange for higher ratings and accreditation (Fleming, 2011). The third problem was the negative public opinion of the new, somewhat biased grading system. Mitchell’s actions surrounding this made it all more …show more content…
According to an article in the LA Times, Bob Richardson (director of operations for the LA BBB chapter) said that his resignation had nothing to do with the accusations and more with health concerns (Bernstein, 2010). It still all seemed too suspicious at the time. Amid all the scandals, in 2013 the BBB expelled the LA chapter, opened a new one and changed the old one to the Business Consumer Alliance (Fleming,