Since time immemorial, it is no secret that businesses were created primarily to generate profit for the owner which also ensures its longevity. No business on this planet can survive when it is not generating any form of financial gain and this idea will always come first for any enterprise to grow and thrive. While profit incorporates producing income from the business, Business ethics signifies Fair play, honesty and transparency for both and between business owners and customers.
These two terms appear to be contradictory as in most cases putting the needs of the customers above the business has led to liquidity countless times and prioritizing profit above the customers will also hinder sustainable growth in the business, which leads us to the million dollar question: "Can one factor exist without the other?, or is there a way a balance can be made for both ethics and profit to coexist in a business?".
A few years back when I first bagged my first job after school as a sales representative, I worked for a lady that sold souvenirs, plastic items and fancy bags in wholesale quantities. The husband was the owner of the business and also my true employer but because he had other businesses elsewhere, he was almost never at the shop and so his wife and I were responsible for the running the affairs of the business. After just a few days with the lady, I realized she was excessively profit-oriented. She never listened to the complaints of customers even when it was her fault, hiked the prices of her goods, was extremely rude to people and with time people stopped buying from her. They would just ask about prices from her, walk over to the next store to make purchase as it was always cheaper on the other side. The shop experienced low sales until it was eventually shut down and I was forced to take my services elsewhere.
While my boss was being greedy with money, our opposite neighbor was a "Mr Nice Guy" who believed that pleasing his customers was the only thing he needed to grow his business. His shop was always filled with buyers and I could have sworn that he did random giveaways every Saturday🤣🤣. The end result for his business was no different from my employer's - utter ruin in the worst way possible. He shoved himself into a massive debt that could have been easily avoided and when he realized he needed to focus on making profits, all his returns were used to settle what he owed and the business unable to survive that huge amount of deficit dried up like yesterday's wax.
The term "Too much of everything is bad" can easily be identified in the businesses of my previous employee and their neighbor. Prioritizing making profits and business ethics are crucial for every enterprise. However placing one above the other will always produce provisional benefits, shatter the image of the business and even lead to its untimely demise. Just image buying a product from a store at an expensive rate only to realize later that it is of inferior quality, does not match with the description and is a point out fake. Why would you go buy there to make any form of purchase again?. This proves that the crooked achievements enjoyed today will definitely come back to bit the business tomorrow.
It is absolutely possible for both profit and ethics to operate side by side especially when goals of the business are outlined by it's ethical values. For example a business can prioritize delivering the best product or services to customers and even if it is on the expensive side , customers will definitely patronize as long as they feel like they are getting their money's worth. This helps to build a positive relationship between business owners and their customers even leading to referrals that ends up elevating the brand. Entrepreneurs should learn to manage their greed, understand their customers and strike a balance between the two for the best possible outcome.
Thank you.