Business Equity
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by Jean LW Lequeux in http://www.weltram.eu
This is one of the three pillars of Business Ethics.
Equity must be the basis of all Business Relations and not only between the seller and the buyer. The principle of equity applies also to the links between
- Employees and employer,
- Colleagues working in the same enterprise,
- The enterprise and its partners,
- The enterprise and its suppliers,
- The enterprise and its shareholders,
- Etc.
The principle of equity applies at the individual level. For example, major shareholders must not benefit of a favorable treatment compared with small shareholders. In the same way, partners must have equitable treatments. This statement doesn't mean that different commercial conditions are not applicable according to their orders volumes.
Another dimension of equity concerns third parties not directly involved in a bilateral deal.
For example, John buys a pack of Java coffee branded X. The coffee is not expensive and it tastes good. It's probably a fair deal for John and Enterprise X. But if the last has practically reduced the Java Coffee producer into slavery, the Business Model is inequitable!
So, equity means customers satisfaction, employees’ implication and managerial performances.
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