Chapter 2
Ethics, Social
Responsibility,
and the
Start-up Venture
Overview
• Vision and values
• Ethics
• Social responsibility
• Core values and success
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Vision
Core Values
• Fundamental beliefs about what is
important in business
– We create superior value for our customers
• Endure beyond the tenure of the founder
• Core values are not situational
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Purpose and Mission
• Purpose: the reason you’re in business
– We’re in the business of education
• Mission: the major objective of
the company
– To become the number 1 educator of real
estate professionals in the U.S.
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Ethics
• Moral code by which we live and
conduct business
• Common ethical problems
– Conflicts of interest
– Survival tactics
– Peer pressure
– Pushing the legal limit
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Developing a Code of Ethics
• Start with company self-examination to
identify values
• Identify the behaviors that would allow the
business to display these values
• Ask four questions
– Will the actions take result in the greatest good?
– Will the actions respect the rights of all parties?
– Are the actions just?
– Would I be proud if my actions were announced in
the local newspaper?
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Social Responsibility
• Benefits
– Improved financial performance
– Reduced operating costs
– Enhanced brand image and reputation
– Increased sales and customer loyalty
– Increased productivity and quality
– Increased ability to attract and
retain employees
– Reduced regulatory oversight
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Ways to Be Socially Responsible
• Donate your product or service
• Get other companies involved with you
• Offer your expertise free of charge
• Contribute to your community
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Core Values and Success
• Success has purpose—it is a journey
• Success goes hand in hand with failure
• Success is the result of satisfaction with
what you’re doing
• Success takes a lot of work
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Take-Aways
• List what your students took away from the
discussion here in real time
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