Credo Advisors Blog | Results-driven small business and non-profit consulting

Update: Microsoft/China Censorship

June 22nd, 2005 | Posted by Peter in Business Ethics - (Comments Off)

The news keeps piling in about various US companies censoring their websites at the behest of the Chinese government. Microsoft seems to be leading the headlines.

“If Microsoft wants to do business in China they have to obey the laws set by the Chinese government,” Rosoff said, adding that “they’ve done the calculations and decided this was worth it.”

Interesting. I can’t help but wonder what calculations they performed, and just what, exactly, is “worth it”…

From Reuters today full article.

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Obesity & Smoking Are Bad??

June 22nd, 2005 | Posted by Peter in Business Ethics - (Comments Off)

I am sure that there are very few people out there today that aren’t aware that having more than 20 or 30 extra pounds on their bodies, or sucking down cigarettes, may actually be bad for them. Though it isn’t safe to assume that 100% of the population is privy to this “knowledge,” it is really quite hard to imagine that the negative affects of cigarettes and obesity aren’t inherently understood by everyone, let alone after reading article upon article verifying such facts. So, does the recent Reuters article, Obesity, Smoking Add Years to Cells’ Age actually surprise anyone?

I hope not.

Yet, if such knowledge is so widely held, why do we allow such destructive practices to continue to occur?

The obvious answer is that we let these practices occur because they are difficult to stop. Just ask anyone who has tried to kick smoking, or the person who is trying to shed 40 lbs. of weight… Drastically changing one’s life in such an extreme manner is no simple task.

But maybe we are asking the wrong questions. If these “habits” are so hard to kick, beyond the consumer’s ability to overcome them with sheer willpower and effort, but also because they are perhaps engineered as such, is it ethical for companies producing the goods that eventually lead to obesity and smoking to continue to produce them?

Cigarettes are highly addictive, but so is the act of eating fast food. The marketers of both items see to that—their livelihoods depend on it. The fancy fellows in R&D are equally in a position of ensuring that their products taste the best, produce the best feeling and make the consumer want more. When do these individuals and companies need to stop and evaluate how their actions are contributing to society? Is it right for you to continue to make a product that you know affects people in a negative way? Do you rest on the fact that people have free will and don’t need to buy your product? When is it time to hit the red button?

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Corporation Sole

June 18th, 2005 | Posted by Peter in Business Ethics - (Comments Off)

I came across an interesting article recently that gave an overview of the IRS’s “Dirty Dozen” tax scams for 2004. It was an incredibly interesting read and offered practical advice for ensuring that you don’t fall prey to any of the scams. All of the scams sounded sketchy but the Corporation Sole definitely took the cake…

A Corporation Sole is basically intended for legitimate religious institutions. However, as noted in the Dirty Dozen article, companies are schilling this entity to help individuals avoid paying income taxes and shelter their assets. In other words, “Hey man, give me $1000, call yourself a church, and never pay taxes again!!”

An excerpt from, IRS Warns of “Corporation Sole” Tax Scam:

Corporation Sole statutes enable religious leaders—typically bishops or parsons—to be incorporated for the purpose of insuring the continuation of ownership of property dedicated to the benefit of a legitimate religious organization.

The companies offering services to set up such organizations, as well as the savvy individuals that knowingly buy into this scheme (I’m sure there are a few that are genuinely scammed), will most certainly offer a whole host of canned defensive retorts. My favorite is always the claim that the government can’t claim that person X’s religion isn’t really a religion. Sheesh.

Am I bothered by the existence of this scheme? Perhaps only as far as it serves to degrade legitimate religious faiths. However, I wonder what type of a constitution one requires to knowingly use this tactic. In the end, I feel sorry for individuals that will stoop this low‚—it is truly remarkable.

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The Corporation

June 17th, 2005 | Posted by Peter in Books and Films | Business Ethics | Social Enterprise - (Comments Off)

If you have yet to see The Corporation, I highly recommend you do so as soon as possible. In fact, I’d recommend buying it so you can watch it once a month, or snippets with greater frequency.

The film is a documentary about corporations (subtle title…) and though I left feeling as if the filmmakers left little room for the possibility of good corporations (which I believe exist), I still think it is an outstanding film. It will challenge you to think, examine your life and purpose, and hopefully make some significant positive changes in the way you run or interact with businesses.

In addition to the documentary, there is a 2nd DVD with extended interviews and additional features.

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Interesting Quotation

June 16th, 2005 | Posted by Peter in Business Ethics - (Comments Off)
“If ethics are poor at the top, that behavior is copied down through the organization.”
- Robert Noyce

This simple, yet powerful concept, speaks very concisely to the responsibility of leadership and the power of strong ethics.

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Welcome: Business Ethics

June 15th, 2005 | Posted by Peter in Business Ethics - (Comments Off)

Our aim is to promote dialog about ethics in business to better understand how to create, run and grow ethical companies that have a greater purpose in this world. We will post and comment on relevant articles, provide inspirational quotations, and offer links to interesting sites for your consideration.

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