YRC Unveils Tips and Techniques for Dealing with Ethical Issues in Retail
– Nikhil Agarwal
PUNE, MAHARASHTRA, INDIA, October 20, 2021 /EINPresswire.com/ – To easily retrieve vital information, retailers who use it have a responsibility to establish and maintain the trust and credibility of their employees, customers and shareholders, as this affects everything from the perception of the brand by your customers the safety of your employees. Companies may be tempted to set aside ethics in the name of competition; however, ethics are integral to customer loyalty and general branding.
What are ethics in retail?
Business ethics can be defined as the code of conduct that deals with values ââand moral principles relating to human conduct or the organizational activities of the company. Ethical expression in the conduct of business guarantees a sense of order and justice in the organization. The concept of corporate social responsibility is a direct example of the ethical expression of a business or organization. For customers, retail is the first link in the supply chain. Therefore, retailers must protect their ethical values ââas they are directly or indirectly responsible for many lives.
It only takes one or two retailers to get around the ethical value and start selling substandard products and high prices, and more retailers will follow suit in the name of the competition. However, the competition offers no excuse to cut corners or lie to customers, as it is such an integral part of the game.
Why are business ethics important?
1. Validate a positive brand image
People always tend to associate or collaborate with companies that have a positive image in the industry and in society. Retailers who partner with local nonprofits and charities are not only able to grow their business, but also build customer loyalty. Customers are more likely to buy and connect with brands that support causes they care about. It can even be small steps like donating recycled products or factory seconds or even advertising. The retailer who is not actively involved in a cause or community issue generally has difficulty retaining customer loyalty.
2. Provides a sense of satisfaction among employees / customers
People love to associate and connect with organizations that work to make the world a better place and give meaning to their lives. They also value honesty and fairness in the work done. If you want to retain your customers for longer, having ethical standards is very helpful.
3. Validate the decision making
Countless decisions must be made in the course of the day-to-day operations of a business. Ethical standards or practices can serve as a guiding factor in making decisions that equally serve all parties involved – employees, customers, shareholders, etc. – and have a strong sense of social responsibility. Without a code of ethics, decision-making can be unfair and unfair under the pressure of fierce competition, resulting in long-term losses.
4. Bind people together
Ethical practices are a sure way to instill unity and unity among employees and to establish a healthy relationship with the employee and the company. An employee would respect and look forward to working with a company if they are confident that the company will always uphold an honest and fair code of conduct.
5. Long-term gains
Every retailer aims to maximize profits, but ethical practices require the retailer to do so in a fair and transparent manner. Any kind of deception to get a customer to buy something is framed by unethical practice. When a customer realizes the deception, he cuts the association and chooses to shop elsewhere. Hence, it can create short term profits but result in long term losses. Companies with ethical values ââcan stay profitable longer, even if they can lose money for a short time.
What are the ethical and moral issues in business today?
1. Misleading advertising
When a business directly or indirectly makes false statements about what a product or service offers in a positive sense, this is called misleading advertising. When the customer realizes that the product or service does not deliver what is promised, they never come back to the retailer. Dissatisfied customers who have been prone to misleading advertising tend to tell friends and family about it and even post on social media, which can tarnish the company’s reputation beyond repair. Misleading advertising is a classic example of how unethical practices can lead to loss of customers, revenue and sustainability.
2. Unethical accounting
Accurate accounting records are imperative, regardless of the type of industry or business. This is what determines the financial stability and profitability of every business. Deceptive accounting practice or unethical accounting can occur either due to a lack of knowledge of rules and regulations or due to an intentional error with the numbers crucial to disrupt the functioning of the business. If not recognized early on, the results can be devastating to the overall basis of the business structure and even affect employees, customers and management. Therefore, a good records management or SOP that lists the laws and rules to be followed is crucial to easily retrieve vital information whenever needed. Using a âsmartâ accounting system can make financial record keeping much easier and protect critical financial information from irregularities. An âintelligentâ accounting system should be able to allow access control to confidential information or numbers only to those with the appropriate authorization.
3. Conflict of interest between employees of the organization and the retailer
When the personal interests of the individual do not match the interests of the organization, it can lead to a conflict of interest. Employees must abide by the rules set by the organization, and the organization, in turn, should be responsible for protecting the interests and rights of the employee when making decisions.
A conflict of interest between the retailer and employees occurs when:
Employees share confidential information with a third party without the employer’s consent
Work with or for a competitor without relieving the job of the current employer
Misuse of customer information for personal purposes
Use the position in the company to offer personal favors to family / friends
Retail businesses regularly face ethical issues in their day-to-day operations. These issues are most likely very complicated and are neither black nor white, which makes the decision making process even more difficult. The key is to have a strong, well-established and communicated value system within the organization that can come in handy when troubling situations arise. Leading management consultants have established frameworks for managing conflict and navigating the ethical system of many retail businesses. YRC specializes in leadership development, working in a positive way across diversity and differences across cultures, organizations and perceived boundaries. Having worked with medium and large companies around the world, YRC’s work dealing with ethical issues in retail management tailoring hampers the growth and performance of the business.
How can YRC help you deal with ethical issues in the retail industry?
YRC (Your Retail Coach) can guide you to establish a systematic approach to foster ethical behavior within your organization and help build a corporate culture that connects ethical standards to business practices. YRC (Your Retail Coach) retail experts have helped many international retail brands recognize and overcome ethical dilemmas and thus build a positive relationship with success with growth in mind. long-term business. With a consultant like us to guide you, you can lead your employees and customers fairly and equitably and also protect the company by ethically pursuing your business goals.
Get tips for online retailing: http://www.yourretailcoach.ae/contact-us/
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