Based on what you read in the first two pages (pages 3 and 4), why are virtue and integrity so vital to an economy?
- For me based on the reading, virtue and integrity should be the foundation of every business. As of today and based on my own observations specially here in my country Philippines, most but not all big corporations and business do not care for the consumer anymore and also their employees, the food that are being sold here in my country, most of them are in low quality and not healthy, the business are more focused on profits. Another thing is the underpaid employees, employees here in my country have a very low salary especially those that they called laborers, their salary are barely enough for their survival, that is the main reason why Filipinos tend to go abroad and find jobs outside the country, the companies in my country are owned by private business men and there are only few remaining companies that are government owned. Because of the privatizations that happened in the past and the previously owned government companies controlled by the government are gone and most of them are privately owned already. The government is having a hard time regulating them anymore and for that reason they can do what they like to gain more money for themselves and sacrificing the quality of the service and products that they offer. As a result, I can say based on my honest opinion that it contributes to the poor economy of my country is continuously collapsing.
As a student of BYU-Idaho and as an aspiring entrepreneur I have been taught throughout the course about virtue and integrity. Service and benefit for other before money and profit.
Virtue and Integrity is so vital in the economy, people should be the focus for every business because they are the ones that are building the economy of the country, their benefit would be the first priority or else the economy would collapse.
According to Charles Handy, what is the “real justification” for the existence of businesses?
- According to Charles Handy. The purpose of a business, in other words, is not to make a profit, full stop. It is to make a profit so that the business can do something more or better. That “something” becomes the real justification for the business.
What are two solutions proposed by Handy that you agree with? Why?
- The first one is “The urgent need now is to retain the energy produced by the old model while remedying its flaws.” – I agree with this solution so that we can minimize the effect of the flaws that might produce negative effects by the new model.
- Secondly regarding dividends “It seems only fair that dividends be paid to those who contribute their skills as well as to those who have contributed their money.” Based on my own point of view this would create balance between the workforce and the investors. The investor uses his money to get a piece of the pie, why not give the people who does the actual work for the business to have a piece of it as well. Ordinary people have dreams too even though all they have is their skills and talents.