Business "Ethics"

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Business ethics has become a big business in its own right. It’s grown from a fringe issue that some small time alternative CEO’s might mention in passing, to a corporate staple that has its own course in ninety percent of the business schools in America. Major companies now mix in ethical initiatives with their earnings reports and there are even dedicated research centers dedicated to studying how companies can solve all of the world's problems with some combination of acronyms. DEI, CSR, ESG, TBL… whatever your favourite is, they are all guidelines for how the world's most powerful companies can look out for something other than their own free cash flow…
So then, why is this the second worst idea in business history? Corporate social responsibility or ethical business, whatever you want to call it, it should be an easy idea to sell. You probably don’t like it when companies pollute your home, take your money with deceptive practices or lobby your government to spend your tax money on their bailouts. But operating ethically in business often comes at the expense of acting profitably, and company leadership who answers exclusively to their shareholders, will be forced into picking profits over ethics. Corporate social responsibility therefore is all about showing company managers, their boards and their shareholders that there is a way everybody can win, and that ethics and profit don’t have to be at odds with one another. It’s a message that’s catching on.
It’s understandable that investors would like their money going towards companies that are (at the very least) TRYING to do the right thing, but unfortunately not many people really understand how these investments work, or how they could actually be making these problems a lot worse.
So it’s time to learn How Money Works to find out why corporate ethics, is the second worst idea in business history.

Опубликовано:

3 май 2024

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Комментарии : 772

@HowMoneyWorks Месяц назад

Looking to grow your business online? Get started today with a free 14-day trial from Odoo: www.odoo.com/r/xwl

@michaeljfigueroa Месяц назад

What if companies where required by law to be fiduciaries for all their stakeholders? Idk. It's a messy idea. Could that find some sort of equilibrium that isn't horrible?

@kofiacquah6972 Месяц назад

If I subscribe to patreon, will I be able to have one-on-one discussions with you on some of the videos?

@michaeljfigueroa Месяц назад

@@kofiacquah6972 yes. After you subscribe.

@mumermalik3253 Месяц назад

@HowMoneyWorks why not make a video on the dumbest and superficial idea of businesses:Marketing or say simply manipulation

@michaeljfigueroa Месяц назад

@@mumermalik3253well it's not the dumbest idea but marketing probably destroys more value than I would have thought. Id like to see that video.

@atk05003 Месяц назад

In college I concluded there are three basic types of ethics courses. Oversimplifying a bit, they are: 1. Medical ethics - If you don't do the right thing, you might kill or injure someone. BE CAREFUL! 2. Engineering ethics - If you don't do the right thing, someone might die or get hurt, and it might be your fault. BE CAREFUL! 3. Business ethics - If you don't do the right thing, someone might die or get hurt, and we might lose money. DON'T GET BLAMED!

@BasilHumke-ru3bb 27 дней назад

agreed with all but i'd add journalistic ethics-- if you don't do the right thing, you might negatively impact someone's life in irreversible ways-- be careful

@JMScibra 20 дней назад

@@BasilHumke-ru3bb Wait, there are ethics there?

@Earthboundmike 19 дней назад

@@JMScibra Keep in mind that a large amount of news anchors aren't actually journalists.

@great2831 14 дней назад

@@JMScibra Aparently they are not just "legal" stalkers

@ChrisBrown-or8ky Месяц назад

25 years ago, someone in my university class interrupted a csr lecturer to say it was a scam to create a new market of fees for nothing. Felt sorry for the lecturer at the time, but for 2 decades, it's become obvious that rude b*st*rd was on point

@naveensundar0 Месяц назад

wh* t*e a*ter*sks ?

@jordanmatthew6315 Месяц назад

See, you do not need a higher education to have financial common sense. Those poor fools listening on something that should have been taught in high school economics.

@alejmc Месяц назад

@@naveensundar0 maybe you are new to YT shutting antics, but the censo*r*ng is getting out of hand. Likely half of your messages are being deleted too without realizing it. Stick around for a minute or two after commenting to see if the message is still there. Got to refresh it by going to another comment thread and back

@whutcat682 Месяц назад

RU-vid is creazy with deletin comments with something even remotely not family friendly @@naveensundar0

@incurableromantic4006 Месяц назад

The thing with all these "values" projects is they're vague and lack accountability - at least when a company is solely interested in profits, its behaviour is predictable and easier to regulate.

@Meitti Месяц назад

Reminds me of a finnish anti-bullying campaign "Kiva Koulu" ("Nice School"), which was a complete flop. Most schools that participated in the campaign basically paid for the 1-2 PSA classes about being nice to each other and thinking about each others feelings. Then after that the schools assumed themselves immune to bullying since they had the "Kiva Koulu"-approval and brand behind them. So the "Kiva Koulu"-stamp gave the schools the ability to be in complete denial whenever bullying happened, basically making the bullying worse when schools refused to believe it happened.

@ruben9912 27 дней назад

During my time as a student I saw this in action across several different schools and institutions. "Our school does not support such behaviours and there are protocols in place to ensure everyone's safety and dignity" *more nothing happens*

@who2u333 Месяц назад

Talk about two words that don't belong together. "Corporate Ethics"

@donavanblack4347 Месяц назад

No. Corporations should do business in an ethical manner. No slavery, no exploitation etc. Profit is 1 dollar more than you need to survive. I own a corporation, from years of blue collar electrical work. I am obligated to be ethically responsible to my employees and customers. We do t let our technicians steal from your home. It’s our job to protect you and us. Ethically even if it means we do t make tons of profit. But that’s how I run my business. I can’t speak for every company.

@shuwan4games Месяц назад

@@donavanblack4347 what is sad is honest people like you are rare in large corps

@Here4TheHeckOfIt Месяц назад

@@donavanblack4347 You're a complete anomaly. Years ago, small businesses like yours were more common.

@blueeyedpunk Месяц назад

Depends in my country in a lot years they have cared about my country. Now it's more americanized 😂

@donavanblack4347 Месяц назад

@@shuwan4games thanks but we should be want we want to see in business not be greedy.

@ManCatCheese Месяц назад

they teach this in my brothers university degree. He has mastered the art of calling out the bullshit of the subject. The lecturer couldn't really respond when he mentioned the fiduciary responsibility to make the shareholders rich, and the people working at the company can be fired at any time for any reason if profit goals aren't being met. The whole thing is an oxymoron

@zacharysilver911 Месяц назад

Look at HMW’s video on shareholder value. The fiduciary duty thing is a bit of a myth.

@brodriguez11000 Месяц назад

Fiduciary responsibility is one of those pleasant lies business people tell themselves. There are plenty of books and online resources that address the myth and what the law really says.

@henghistbluetooth7882 Месяц назад

There has never been a fiduciary responsibility to make shareholders rich. Shareholders are just people who have bought an asset.

@giantninja9173 Месяц назад

No but the shareholders can yank their stocks and destroy the company’s liquidity resulting in bankruptcy and subsequent job losses.

@thegoodsmaster Месяц назад

Not to mention Executive suite care packages being stock based. Elon musk didn't make 60bil by sweating in a lab.

@troyX Месяц назад

I wrote a master's thesis on international CSR norms and worked a year as a CSR project manager. Most of what you do on the daily boils down to 'How can we get the most amount of positive press/recognition for the minimum amount of money?'. Nobody in a executive position cares about the environment, workers' rights or bringing more democracy to the workplace (governance). Only that they can boast about being the first to do X Y and Z. There's a well-known label called 'B-Corp' offered by an NGO, and one of the way you can get points to reach the certification threshold is setting up a good cause or giving 1% of profits to charity (if memory serves). When I asked my director if he was willing to commit to it, he deadass told me to 'further explore less costly options' 😂 I've been unemployed for a year and I DREAD going back to this job, it's the ultimate BS job and it'll suck your soul out of you. People for the most part either don't care or doubt it matters in the grand scheme of things: they're 100% right.

@-haclong2366 Месяц назад

A lot of the time "charities" are just political lobbying groups that don't actually benefit anyone but a small group of people. When I was a fundraiser I eventually decided to drop all charities that don't support scientific research to help with the issues they're addressing.

@airdavis4476 Месяц назад

It definitely matters in the grand scheme of things but in the long run we are all dead right? So the question is should it matter to us? Only if the future matters to us and apparently it doesn't. The future is going to curse us all to hell.

@daysofend Месяц назад

I don't care how wrong Karl Marx may have been about economics at large. Profits are theft.

@remipoujoulat7759 Месяц назад

And conspiracy theorists are the "bad peoples" of course...🙄

@nietur Месяц назад

That's so sad. Like wouldn't they be more proud of themselves if they actually helped the world? I guess they'd be fired so they opt for the money.

@DiversionG Месяц назад

Great video, but you've got one detail wrong: Businesses do gain something from this, the large ones at least. As you mentioned, smaller entities will have a harder time breaking into a market because of these "ethics", a.k.a less competition for the big fish. And then there's of course the fact that it's a marketing stunt in order to cater to a segment of consumers who want to feel good about the brand they're buying from.

@kcnl2522 Месяц назад

I dont give the slightest shxt honestly. They are selling to the lefties. Idc if 20 dinosaurs had to pollute the air for me to get what i want lol 😂

@FutureCommentary1 Месяц назад

Exactly. All this CSR is BS thing and yet consumers will boycott a company that does things they consider "unethical" abroad even when that 100% legal in those foreign countries. Employees want to feel like they're working in an ethical company so all that front attracts employees. He also said in the video that when companies are seen to be involved in CSR activities they receive lesser fines than their peers. I thought we all understood that CSR was a PR stunt. Like we've all by now read about carbon credit/carbon capture and how it doesn't mean anything. Companies don't have a "soul", they don't "care". It's just people doing their job. They do what's good for the bottom line, and CSR is good for the bottom line.

@scottabc72 29 дней назад

@@FutureCommentary1 The biggest companies can buy the laws they want in most countries.

@achuthas2875 27 дней назад

Great articulation 🦾🔥

@zaco-km3su 25 дней назад

@@FutureCommentary1 Pal, if your daughter got pierced in a foreign country and it was 100% legal in that country, will that be oaky with you. It doesn't matter if it's legal or not. What matters is if it's ethical.

@TWPO Месяц назад

True ethics requires a company to offset the harm it does. And they'll never admit to those things.

@KnowPiracy-zu7il Месяц назад

Corporate Ethics is my new favorite oxymoron.

@roscojenkins7451 Месяц назад

I still feel the best explanation of corporate ethics comes from Billy Madison

@warrenarnold Месяц назад

@@roscojenkins7451the next for me is Internet Censorship right next to it😅

@mztokyo7630 Месяц назад

Similar to military intelligence.

@nietur Месяц назад

It's not an oxymoron because the word ethics does not mean good ethics.

@handlemonium Месяц назад

I hear "Corpo Rat Ethics" 🐀💩

@georgerafa5041 Месяц назад

I remember my ethics class in my master's tried to convince us that workers don't care about money they care about 'making a difference' and I was the only person in the class that publicly disputed that virtue signalling BS

@stevenhenry5267 Месяц назад

You're another person who is part of the problem

@TheSmartcartridge Месяц назад

@@stevenhenry5267how is he part of the problem?

@Erowens98 Месяц назад

@@stevenhenry5267he's right though. Almost nobody is out there working for free just because the company is doing good things. A pay cheque is the prerequisite.

@zaco-km3su 25 дней назад

@@stevenhenry5267 No, he's not. Workers care about money. Some workers in some fields might want to make a difference but that's another issue.

@0ovidio0 24 дня назад

@@stevenhenry5267 no, you are delusional if you deny what is human nature. Selfish and greedy.

@Mlogan11 Месяц назад

The vid states this is bad for all: business, stakeholders, and share holders, but obviously this can't be true, or else it would be discontinued. It's obviously good for corporations in the following ways: 1) It creates a smoke screen that stalls actual government regulation so companies retain the power to break their own "Be Better" rules with no repercussions. 2) It costs far less than what would be required if government actually imposed true and adequate regulations and forced compliance. 3) It creates yet another barrier to entry for small business trying to enter the market so competition is reduced.

@napoland9676 Месяц назад

Great points!

@sznikers Месяц назад

True, deception is crucial in life, from little bugs with fake giant eyes on their wings to humans waging wars, its little cost that on occasion gives big returns.

@bonononchev634 Месяц назад

4) There are fees to be made all over the place by consultants.

@sznikers Месяц назад

@@bonononchev634 and christie from office can refer her friend from college for another office desk position ; )

@scotteskridge7460 Месяц назад

You have to be well educated to be that stoopid mate. This mind virus is destroying companies and you should run screaming from anyone telling you otherwise

@justinfowler2857 Месяц назад

Henry Ford tried to look out for his business and employees. He was sued by the Dodge Brothers. The Supreme Court ruled that Ford as CEO of a public company only have 1 responsibility. They are required to maximize returns for shareholders. We've been stuck with that crap ever since.

@Pasta_Pirate Месяц назад

"look out" yeahhhh totally... e.g. enforcing mandated lifestyles outside of work at pain of firing and more broad attempts to force his employee's to match his ideal. (keep in mind henry ford's 'ideals' were very problematic) To be fair he did do good stuff but Henry Ford's desire to 'look out' for his employee's wasn't necessarily a good trait of his.

@mikesimms5750 Месяц назад

Context matters, Pasta. In a world where most employers would actively have you dragged out back and beaten for insubordination, Ford was a fucking godsend. Analyzing history through the lens of the present and refusing to contextualize anything makes you the dummy, here.

@Pasta_Pirate Месяц назад

@@mikesimms5750 Social inspectors spying on employees were not the norm even back then, he also went further when making his rubber plantation Fordlandia all of this is well beyond insubordination in the workplace this is literally compelling you to live the way Ford wanted you to live. Again I'm not saying he was a terrible employer in all-respects but his social-engineering attempts to match his political views were pretty messed up.

@Pasta_Pirate Месяц назад

To be clear, I do think he genuinely did care, and he provided well-paying jobs alongside certain social benefits to employee's. This is shown in the case OP's referring to he did want to expand employment to more employees at the cost of profits and the supreme court ruled against that (imho noble) aim. However this approach of him wanting to run his company based on what he cares about is where he got to push his bad social views as well which shows the dangers of what happens when companies get to set their own scope beyond just profits. Hence why its best to let companies do their thing and have the public use regulation/protests/boycotts to keep them ethical instead of hoping they'll decide to be 'good' as the CEO's idea of 'good' may be very divorced from the public's.

@paulb5571 Месяц назад

Anyone who thinks of well of Henry Ford has never taken a Michigan History class. He spied on his own workers, and his views were considered "inspirational" by Adolf Hitler. He was pretty much strong armed into the wage raising and more reasonable shift schedule by the high ranking people immediately under him. He had a number of his workers murdered for various reasons, such as if they were thought to support unionization. He refused to step down despite declining physical and mental health, essentially being barely coherent and still trying to run his company. When his son Edsel developed stomach cancer from persistent ulcers, Henry blamed it on his sons diet and smoking. Which is ironic considering it was likely a combination of his father's constant humiliation of him and disease from unpasteurized milk from Henry's farm. Henry Ford stands as a reminder that being a great man and being a good man are not the same thing.

@tanishqsagar3440 Месяц назад

As an ESG analyst in Canada, I'd say the insistence of fund managers to blindly use ESG scores as an inclusion criterion is bad too. Just last month I was reviewing a company that had poisoned indigenous lands and waterways and were fined billions of dollars, and yet, they were AA rated on MSCI...

@LJinx3 Месяц назад

Hard agree. This is why the U.K. regulator is looking into these models. The lack of knowledge of ESG in the AM industry is also woefully low, especially around metrics.

@yl5821 Месяц назад

Tell me that’s not rio tinto lol

@Lonovavir Месяц назад

It's too easy to game the system to get a good rating without doing anything ethical.

@Erowens98 Месяц назад

Thats the entire reason SG was added to ESG. Companies can offset their environmental harm by virtue signaling hard enough. Thankfully, at least in the EU, it seems it will no longer be ESG, rather, E and/or SG. Separating the scores will prevent greenwashing with political activism. This is why in the passed few years almost every major company has started to engage in political activism.

@spicymemes7458 Месяц назад

This is how social movements are co-opted

@vytah Месяц назад

This is how Occupy Wall Street was neutralized

@Masterdesstruct Месяц назад

Sadly most of social movements are co-opted from the start. Most of the stuff we focus on wouldn't really benefit society and ultimately benefit companies. Instead we should focus on how the financial system is destroying our society, how the fed has destroyed the value of dollar. But nobody wants to touch the problems that make the economical powers uncomfortable, it's all about "diversity" and some other BS

@custos3249 Месяц назад

Careful. Risking the BLM people hosing you down with their metric tons of denial.

@custos3249 Месяц назад

Lol gotta love YT censorship. Anyway.... Careful. Risking the Bee El Em people hosing you down with their metric tons of denial.

@OnlineEcosystems Месяц назад

@@vytah Facts.

@GrannyReplica Месяц назад

The company I work at added CSR to employees' yearly objectives. I used to love volunteering for tree planting initiatives, but ever since CSR& volunteering became unofficially mandatory, I feel like I don't want to do it anymore. And all the brain-rotting, dumb trainings they force on employees, oh my god... 🙄

@raymond_luxury_yacht Месяц назад

I'm forced to do exclusion inequality and division training every two years. I am working on getting ai to do this for me.

@xelaxander Месяц назад

Holy hell. As contractor, I usually have to do our trainings (The contents of which are: Don’t bribe anyone, don’t commit sexual assault, don’t put stuff in front of the emergency exit) and our customers’ with almost identical content.

@vladmilosteanu321 Месяц назад

That tiger animation was fire 🔥🔥🔥

@ilikebudlite Месяц назад

Boeing business ethics is to off their actual ethical employees

@whi8204 Месяц назад

Man its weird to find a video less than a minute after it's posted, it doesn't feel right...

@cl7max Месяц назад

No life?

@aubreyleonae4108 Месяц назад

You had no ability to do otherwise. 😊

@aubreyleonae4108 Месяц назад

@@cl7max Now we all feel bad. 😉

@PaballoKobe-xh9ve Месяц назад

Worse when youbdont follow them and they are a really small channel

@oafkad Месяц назад

Any large business ends up indistinguishable from government. So the question becomes do you want to be controlled by governments that self declare their only interest is money and that you literally 100% have no influence over? Like I know voting can suck but this is leagues worse.

@alexturnbackthearmy1907 Месяц назад

Well its basically roman empire vs holy roman empire. One is way worse then other, and its not an OG roman empire.

@spoonikle Месяц назад

"Our company is committed to sustainability. this is why, we have decided to cut worker compensation and donate to my cousins NGO, they are doing the real work anyway."

@anonymousqaz95 Месяц назад

Finally a clip calling put the bull...on ESG. The first thing that I thought when I heard about ESG was...this sounds like market consolidation for big corporations and the death of smaller companies.😢

@nietur Месяц назад

check out ben felix

@cane6074 Месяц назад

ESG is a means in which insecure, status obsessed rich people with too much time and money on their hands deal with their own existential angst, usually when they're 10th yacht or Learjet no longer brings a buzz to them, or they find their young trophy wife or mistresses no longer exciting. It's also a way of which underperforming CEOs can get better job security by making the standards of which they're judged become more subjective and fuzzy, who would in normal circumstances would have been fired long ago. It's also the same thing with worthless middle management types, they're initiating mission creep in order to avoid being cut by exaggerating or manufacturing problems at what state offers so-called solutions. ESG is nothing more than parasitism, it's what happens when you have a bunch of money concert in the hands of two few people who have nothing left to buy or strive for. Decadence 101.

@nietur Месяц назад

normal people buy ESG funds, they want to do good with their money

@DrEhrfurchtgebietend Месяц назад

To put this in context, Boeing just killed their second whistleblower

@profdc9501 Месяц назад

Yeah, ethics like "don't be evil." Until you can get away with it.

@onrean Месяц назад

I am very glad I went to school before DEI, ESG, and other agendas got big. My business ethics class didn't look like these those. It was more about giving the students a very practical framework on which to make ethical decisions and then reviewing case studies and analyzing them. It was very eye opening and actually one of my favorite non-technical classes.

@jonaskeepauthor1935 Месяц назад

“Brought to you by EA Sports, YOU’RE in the game… Dave”

@jimbojimbo6873 Месяц назад

I would respect a company more if it was just honest and said we are here to make money and don’t care about the rest.

@chieftain5571 9 дней назад

Liars don't lie merely to evade. They lie because it's become who they are, for no reason of gain. Its just part of how they communicate.

@ri3sch Месяц назад

Privatization of oversight

@Lonovavir Месяц назад

I investigated myself and pronounce myself innocent.

@luisfilipe2023 Месяц назад

The main problem is that pretty much all “ethical” companies have a pretty fucked up idea what ethics is

@brodriguez11000 Месяц назад

That's why "A Business Tale: A Story of Ethics, Choices, Success and a Very Large Rabbit " was an interesting read both in personal and business ethics.

@patricklippert8345 Месяц назад

Even if there was some metric for ethical practices, big companies could either make a charitable donation to the company to tip the scales or min-max the rubric so they get the "Certified Not Evil" seal of approval.

@DrEhrfurchtgebietend Месяц назад

Schwab is obviously a super villain

@intensivecarebear1938 Месяц назад

Ready for your weekly dose of crushed hopes and dreams?

@joshuamensah1025 Месяц назад

That’s Last Week Tonight for me

@jancowell Месяц назад

Remember that this isn't saying that a transition towards more sustainable business practices isn't possible, but that CSR, one many possible approaches, is significantly flawed.

@PowerboatTraining Месяц назад

I never voted for any company to determine standards for me. ESG is highly undemocratic.

@yl5821 Месяц назад

And there are so many different standards all across the world. Who’s to say one standard is better than the other. These standards are not recognised by anyone else but themselves and the companies who use them. How do we make sure that these standards are actually good? How do we compare one company to another when the standards are different? In short, ESG is all bullshit. Unfortunately I am in a university degree that forces me to say that ESG is good

@altrag 13 дней назад

Companies are determining standards for you every single day, and mane of them are far more detrimental to you than ESG could ever be. ESG is only "big news" because the political left decided that "doing the right thing" with respect to environmental and social activities is important to their platform, and therefore the right decided "doing the right thing" must be bad for no better reason than "pwning the libs." It's little more than political theatre but companies like Blackrock have found ways to abuse it nonetheless.

@brycejohansen7114 Месяц назад

"When a measure becomes a target, it ceases to be a good measure"

@cowboy4378 Месяц назад

i believe that this this is a way to keep competition out. I recently took part in a university challenge to develop a start-up from an idea and pitch it, the best idea would go on to receive additional funding and support. One of the questions we were asked was "How will your business work towards net zero emissions". Not will it, but how it will. Like im still figuring out the "How will your business make money" part. on one hand though i cant help but laugh watching socialists be tricked into protecting massive companies by keeping out competition for them.

@armorbearer9702 Месяц назад

(3:37) This tiger seems trustworthy.

@VernonJettlund Месяц назад

Ethics and profits don't have to be at odds. Ethics and MAXIMAL profits are at odds.

@ammigk254 Месяц назад

Great video as always!!

@HowMoneyWorks Месяц назад

Thanks again!

@michaelpaliden6660 8 часов назад

Credit for saying the right thing more then doing the right thing.

@andrewnixon5872 Месяц назад

I was listening until you brought up Milton Friedman. I whole heartedly agree that industries should not self regulate.

@Here4TheHeckOfIt Месяц назад

Self-regulating companies are like addicts at a drug buffet.

@alexturnbackthearmy1907 Месяц назад

Well at least before we build a real functioning decentralised society (without it turning into centralised dictatorship in a decade or two as it usually happens). At this point humanity will be well past profit margins, shareholders value and all other bs.

@skateata1 Месяц назад

I just took a grad course about making employees happy at work. Like, the entire course focused on supporting staff and reinforcing good behavior. It painted a picture of a perfect world.

@e2rqey Месяц назад

How can you have the government properly enforce controls on these huge companies, when lobbying and money enables companies to subvert or dismantle any actual attempts at government regulations?

@BittermanAndy Месяц назад

Ban lobbying. Ban corporate donations. Problem solved.

@alexturnbackthearmy1907 Месяц назад

Because they actually need to search for people accepting bribes instead of ordering THEIR OWN goons to do something about public outrage? And then they can just flat out refuse if their career is on the line. Freedom of choice (tho one choice is way more tempting then other) vs do or next person will do it for you.

@nevisysbryd7450 Месяц назад

You cannot. Institutional capture is not subversion, it is the inevitable norm of the state.

@altrag 13 дней назад

@@BittermanAndy > Ban lobbying. Ban corporate donations. Problem solved. Chicken and egg problem. The government would have to create the ban, and the lobbyists would work to avoid that. The only way this gets fixed is by voters going out of their way to research their candidates and vote for the ones willing to stand up to corporate interests, all the way down the ballot and at all levels of government. Unfortunately the vast majority of people are lazy and will vote for the candidate with the best ad campaign, which means the one with the most money to spend on ad campaigns, which generally means the one with the most corporate ties, whether through corporate donation or through their own corporate interests. Or in other words, you can't rely on the government to fix things that go against corporate interests. You obviously can't rely on the corporations to do that. Grass roots efforts are the only option, and that's a very slow burn - often taking a decade or two _plus_ a triggering event to go from an idea to a movement large enough to get noticed and have even the slightest hope of voters taking notice (and small incremental changes made). MLK was a preacher, not a president.

@chieftain5571 9 дней назад

Some people, GOP, mix bs with business. If you want a livable wage or clean water, you're gay, communist, or godless. If you think businesses and rich people should pay taxes, you're gay, a communist, or godless.

@carljones9640 Месяц назад

The worst outcome of this stuff isn't even the deregulation of business. It's that people look at all of this and think the scam is caring about ethics or regulation in the first place, and somehow arrive at the conclusion that none of this would have happened had businesses not been pressured to behaving ethically in the first place or that somehow de-regulation would have prevented this.

@TheJamonLance Месяц назад

I work in an ESG rating agency. We rate based only on what they disclose (being truth or false is not our problem), or what we estimate (i.e: emissions when not disclosed) Moreover, ratings move (A LOT) and are not the same between providers, since qualitative data (such as a policy) may be overweighted and is either 1 or 0. It depends on someone finding the policy (or sthg that resembles it) in a corporate doc, if they say they "have policies to prevent child labour", voila, thats a 1, no further investigation needed. And depending who are the peers (which industry the company was placed, and it can be really off) a company can have a really high score, because is not comparing to their real peers, or because the provider found specific policies (find != have or follow)

@owlegrad Месяц назад

Great video but I would go even further. It’s a scam.

@Celrador Месяц назад

"The real solution to all of this is to let regulators regulate, businesses seek profit, and for the people to decide what businesses should and should not be doing." Casually ignoring the fact that this requires: 1) An uncorruptable body of regulators. 2) A people that can't be manipulated. (e.g. PR industry, commercials/advertisements, virtue signaling, propaganda model, and so on)

@kandaimai9944 Месяц назад

Would you rather have a board of potentially corrupt regulators, or CEOs who will definitely regulate themselves "properly"?

@Celrador Месяц назад

@@kandaimai9944 The question you pose is too narrow. How about the following: More democratic institutions and democratic checks of those in power (the regulators) combined with different business structures and ownership, which lead to other incentives than just increasing shareholder value (like an economy dominated by worker cooperatives).

@nietur Месяц назад

ESG isn't the real solution, either. So we're just doomed.

@Celrador Месяц назад

@@nietur Nah. ESG might be crap, but there are alternatives. Just read my reply to the other comment in this chain. (Of course that solution isn't flawless either, but it tries to account for the problems I mentioned.)

@scooterman30 Месяц назад

@@kandaimai9944 honestly the issue is human corruption in general and incentives. self regulation, state backed regulation, or anything in between based on your world view is still subject to human nature.

@BoldFollower 13 дней назад

I work in fraud prevention at a major financial institution. They stress how ethical they are but the money we spend on settlements or lose getting sued because of bad business practices or sketchy higher ups dwarfs the money we lose to "criminals" by a landslide

@screwstatists7324 24 дня назад

Machiavelli was right. The main pillar of political ethics is to maintain your status. In business, the means continuing to make the best returns possible for shareholders. This requires being feared I the sense of a respect we have for thoe qe are responsible for. If we can be loved by stakeholders this is good and will likely make us more secure and profitable, but we should never put it above maintaining the state because then we can loose the key thing. Above all we must avoid being hated because of scandals and bad policy. We must do anything that is legal, ethical, and moral by these standards.

@user-mm8vw1ow1x 18 дней назад

There's nothing more valuable than a good environment

@zaidifamily1357 Месяц назад

Great Video! Weird to find it so quick

@suave5692 Месяц назад

Regulators can be bribed, and people can be misled and distracted with bread and games. Profit was the real problem all along, allowing the already powerful to grab everything else for themselves.

@egal1780 Месяц назад

2:47 that's a great way of Putting it graphically and yet so impliticly - especially "feasting on little Timmy". I Love it.

@nd1106 Месяц назад

Great video,, I’ve recently attended a CFA dinner speaking about ESG investing and I was impressed with how the speaker did not burst out laughing with all the hot air being spewed the food was nice though

@taraxa287 27 дней назад

Business ethics are so super important, as they can be enforced to keep rude managers in line and to stop them from harassing their employees. Yet, for that you would either unions or a work council and both are either toothless tigers as to that they do not hold any decision power or they are downright used to fire anyone who holds ambitions to become one. It could fix "people dont quit jobs, they quit bad managers", but it really only gaslights anyone who really needs it "we have these ethnics, you must be at fault, not the manager".

@louisbasile8205 12 дней назад

I’m glad you covered ESG. I watch the gaming industry and keep up with the news and it’s flop after flop with certain exceptions and a majority of the time ESG had a hand in it through either marketing, development, stories and gameplay, or just work life. I’m glad I got to see the money side of the problem with ESG 😊.

@user-ge2hp3qw3j Месяц назад

The ethical duty of a company is to offer quality products and services to customers, and quality compensation to employees, while abiding to the law. Any extra $ spent is both a waste an ethical violation. Companies spending money on ethics robs their customers or employees of their potential to act as ethical actors in society by limiting their means through keeping them poor.

@rajaspoorna6405 Месяц назад

If you don't do whatever the law allows you to do to help your company prosper, then someone in your competition will do it to help theirs. I agree with you so far. But the law isn't always up to date. For example, if there's no law against dumping radioactive waste in the river, is it ethical for my company to do it, just because a river happens to be nearby? How do we balance the ethical responsibility of the company to do the right thing by itself vs the role of the citizens? What about the guy who has to do the dumping? Is it ethical for him to do it? Even if, say, it poisons his loved ones?

@user-ge2hp3qw3j Месяц назад

@@rajaspoorna6405 If the laws don't work then there's something wrong with our government. We shouldn't depend on corporations to replace the government.

@rajaspoorna6405 Месяц назад

@@user-ge2hp3qw3j I agree that the laws should be updated often, and properly. As citizens, it is our duty to make sure that the laws are updating constantly to properly reflect what's good for the world. But in the meantime, I feel that it is also important for those who are doing their duties in a company to care about doing the right thing, and not just what the law allows. I'm open to hearing your opinion. You really made me think; I'm about to start a company and I need to sort out how I'm going to navigate this balance between what is legal and what is ethical. Because the legal will always be behind what is ethical. If I'm building a house, I know what corners I cut, and could figure out how to hide it from the inspector. Nobody would know but me; but that house might collapse because of the corners I cut, and someone else will get hurt. Ancient civilizations would make the one who built a bridge live underneath the bridge for a while so that he would build it safely: he wouldn't want it falling on his own head, or on his family's. We operate differently now, and I think our way is fine when it comes to building houses. But when it comes to brand new technology, the one who developed it knows the risks the best. And I feel that they have a moral obligation to do the right thing because the laws won't be present to correctly regulate it. Eg: ChatGPT and similar AIs. I'm not saying that companies should be completely responsible for it; I think the laws should update as fast as they can, but companies should try and do the right thing until then. Rather than just doing what is legally permissible and not caring about what is right.

@nietur Месяц назад

The ethical duty of a company is to maximize shareholder value. Companies spending money on ethics robs their shareholderof their potential to act as ethical actors in society by limiting their means through keeping them less rich.

@isaacnewton3514 Месяц назад

The editing is insane on this one 🔥

@MrZanvine 28 дней назад

Love the tiger at a kids 3rd birthday party part of the video.

@4RILDIGITAL Месяц назад

Corporate ethics are often just a smokescreen for appearing righteous. Self-regulation can never replace actual regulation as a company's main goal would always be profit. The focus should be on creating standard regulations for all.

@user-pq3po3be2l Месяц назад

I caught that "Let's get ethical" dance from The Office reference haha. Good job inserting Michael and Holly.

@mztokyo7630 Месяц назад

Love the content. Please do a segment on automobile insurance no longer repairing vehicles and salvage yards driving up the price of replacement parts. Oh, and ridiculous daily storage fees.

@chrisnuk Месяц назад

This is the video I wanted from you. I was expecting something longer and more savage. It was concise points made by an insider, I've not thought myself guilty of what I'm going to say, but I think I try too hard! You're a portal into another world 😊

@chrisklugh Месяц назад

Its a jungle out there. Everything eats and everything is food.

@thescaarbo8652 Месяц назад

So that explains all the companies that decided to go/insist on being woke.

@alexturnbackthearmy1907 Месяц назад

Pretty much. It also turned pretty reasonable movement into another corporative asset, with all its characteristics. Same with green stuff, its all brands and corporations, and big big funds, not caring people.

@sor3999 Месяц назад

@@alexturnbackthearmy1907 Was it all that reasonable when some simple corporate pandering to them works?

@Lonovavir Месяц назад

They get a good reputation without having to be ethical. Great deal for them and exclusively them.

@meferswift Месяц назад

as person involved with CSR, it kinda smart and kinda really dumb. it does give platform for a company that actually want to do some good, but bassically a mundane taxation for company that doesn't care

@gabrielespindola4461 19 дней назад

Busines ethics is the greatest idea ever. You can justify annyting, get lots of free monney and marketing from the Trust funds and when everything crashes down you get a large severance package and let the retail investors to foot the bill.

@moritz7179 Месяц назад

thank you for making clear that we need actual government and must not let corporations run our society and "control" themselves!

@chemquests 23 дня назад

To be fair, for the corporations it’s a genius idea. Extra investment & credit without doing anything substantial

@huntermiller2474 22 дня назад

Its simply a way for companies to legally purchase social and political influence.

@CMVBrielman Месяц назад

10:03 Thank you! Burying the lede by saying that part last.

@brendansully12 Месяц назад

This was an amazing video, thank you!

@notequalto5179 Месяц назад

The conclusion sounds about right. Just let the lawmakers, influenced by the people in the democracy regulate. Let the businesses keep chasing profits.

@SpeilSeseKeith Месяц назад

I would never upload to RU-vid after they FIRED many employees OVER MAKING A RICH PROFIT. Do you have your own site you upload exclusively to? Google-YT-Alphabet doesn't deserve their creators or power. I am typing this to spread awareness on the dangers joblessness does.

@useodyseeorbitchute9450 Месяц назад

Well, that's relatively minor thing comparing to their every day political censorship...

@nietur Месяц назад

RU-vid pays a lot to their creators. You also gonna stop using Google because they had layoffs? They could employ so many more people with these huge profits they take in. Like logically, you should boycott companies that make lots of profits instead of hiring more people if you dislike firing. Anyways, they don't seem to be on Nebula or Patreon, else they'd link it.

@TheSimArchitect Месяц назад

Thank you! 👏🏻👏🏻

@rwed13 12 дней назад

"you've saved my life, and in return i'll spare yours. ... for now" - corporate ethics

@Zed_Oud Месяц назад

This is what taxes and regulations are for. Like the Land Value Tax.

@LG-pt5kt Месяц назад

Farmers offset those costs into your food. Renters see in their rent. It's just another incentive not to buy land, and stretches the cost even when adjusted for your income.

@Hunter-dj9ld Месяц назад

@@LG-pt5ktTaxes and regulations don’t typically have as much of an effect on prices as some people make it out to be. Many goods are sold at their optimal price that was determined using the vasts amounts of data available. If they raise prices any significant amount, people will stop buying goods. If this happens, total profits go down more then they would have if they just absorbed the costs. If a good has an inelastic demand, then it may be a factor. However, even with those types of goods, they can raise prices without any sort of major reasons as people will still need to buy them. I’m also not sure farmers was the best example to use. They already are subsidized for most of what they produce. The farmers themselves don’t have much control over what price they sell their goods at.

@theMichaelMelo Месяц назад

@@Hunter-dj9ld Don't give the government any funny ideas.

@nietur Месяц назад

I like a wealth tax more because why only focus on land and therefore advantage other assets?

@nietur Месяц назад

@@Hunter-dj9ld Farmers and groceries don't have high margins. Food is pretty inelastic, maybe people would buy less meat as it'd be over-proportionally effected. Taxing what you subzidize is silly indeed.

@jacqui9263 29 дней назад

Thank you

@cuvarleptira Месяц назад

Thank you for this video!

@user-py7wp6nw9h Месяц назад

Love your videos!

@chris72702 20 дней назад

I wish there were links for all this stuff. I would like to look into it more for my government classes.

@fintechlegend Месяц назад

Thanks

@agsbxnskqbwjakq 17 дней назад

I feel like a major point was missed in the last section. One of the most important reasons big companies, especially ones with obvious and well known environmental downsides are paying this "voluntary tax" as a way to let them make their own decisions while reducing pressure for regulation that would force them to do it. Its an opportinuty cost play, self imposed guidelines are cheaper. They know theres pressure to be more climate friendly, and they want to retain control over how that happens to LIMIT the impact to their bottom line that goverment imposed rules would create.

@kezia8027 Месяц назад

lmao have you got a new editor? The dancing tiger was a... surprising addition lmao

@D00Rb3LL Месяц назад

Interesting, i completed my bachelors degree in business a while ago and we were taught this. Didn’t really question anything because I’m just trying to get the grade

@attila2246 Месяц назад

Yep and businesses don’t really question anything because they just want to tick the box and continue making profits.

@Wolcik3000 Месяц назад

I need to read that Stakeholder book as I have it

@paial Месяц назад

People respond to incentives, companies are just a group of people, so they respond to incentives. The relevant incentives for a company and ESG just don't align...

@GlizzySan Месяц назад

I just took business ethics last semester and I liked it😭

@chieftain5571 9 дней назад

You'll realize its like a child's bedtime story. You'll become almost ill knowing the realities of business.

@gyurmarajzfilm 18 дней назад

I work in an environmental dep. of a larger company. We have to use so many hours on obligatory sustainability reportings, to achieve all kind of sustainability certificates, and to comply with some not particularly progressive government regulations, that we don't have much capacity to actually do something that has a measurable impact. At this point I feel like these ESG reports and certificates are just a lot of smoke on little fire, and this time that could be better spent setting up projects that do make a difference.

@doujinflip Месяц назад

If we want corporations to be responsible to stakeholders, the law has to mandate such, defining and prioritizing said stakeholders. From what I understand, that should be the customers first, then overall public interest, then employees starting from entry-level and ending with executives, then passive shareholders last.

@nietur Месяц назад

If you prioritize customers over shareholders, you'd have to give shareholders some kind of minimum return. If that's fixed because all other money goes to customers or employees, there's no profit incentive.

@Pasta_Pirate Месяц назад

That wouldn't really work, there needs to be some incentive to invest. Fundamentally business's need motive to strive for efficiency or else they'll be outcompeted. Owners being prioritised is a good method of this as owners have incentive to achieve that. The broader issue is that ownership of companies is dominated by the elite the problem at least in terms of social equity is that businesses are incentivised to serve their owners that are predominantly elites and a minority of the public. The best solution to this is a wealth tax e.g. 1% of all assets yearly as a substitute for income tax and other things then the rich's wealth will be slowly redistributed via taxes to the nation's that make them rich via taxes, meaning more common people as investors meaning companies will have more representative stakeholders. (could be progressive as well with lower rates for poorer and would suggest a Georgist land-tax as well) Incidentally this would mean lower income taxes meaning there is more reward/incentive from work, and would over time reduce inflation and the cost of assets e.g. houses, stocks etc which would be good for an overinflated asset market as people would need to convert assets into liquidity. This also is a better system to account for how capital increasingly is capable of creating capital e.g. robots/AI meaning forces these productive forces to also contribute to the tax-base opposed to just tax's on human productive effort (e.g. income) However yes absolutely it is necessary to fulfil the contracts they make and those contracts should be fair & earnest (enforced by law) with employees/customers. The only frustration is capital flight however with international tax cooperation and other efforts that is increasingly manageable. TLDR while law should ensure good company employee/customer contracts a wealth tax is good for society and a better solution to increase common investors share of companies incentivising them to act in the public interest.

@davidinwashington Месяц назад

New Coke was the worst business decision in history.

@roscojenkins7451 Месяц назад

Or best. Coke supposedly was going to alter the coke ingredients and make a slightly different flavor. They knew it wouldn't go over well so they took new coke and replaced classic coke fully. Then months later reintroduced the "original" coke with new ingredients. And enough time had passed that most didn't realize it

@tommykarrick9130 Месяц назад

I watch a lot of business videos, both stuff about rises and falls of different companies, and it’s frustrating to suddenly realize that I’ve never heard in any of those videos a sentence like “business owner rejected the proposal because it was unethical and would hurt people.” Even in the cases where that was technically why the decision was made, they didn’t do it because it was the right thing to do but instead because it was illegal or because they were afraid of getting caught. I’m typically an optimist and I can see how in the real world on an individual basis people will tend to on average do the “right” thing over the “best thing for themselves,” but there’s something about the obfuscation of running a multi billion dollar company that just shuts down all ethical concerns entirely.

@RacecarJ0hnny Месяц назад

lmao this editing style is insane 😂😂

@bellatorpoeta Месяц назад

This video is one way of looking at it: companies using the smokescreen of ethics to get away with dirty tactics. But this could also be viewed as a giant racket created to push certain values and quash competition. If you are "in the club", you get a slap on the wrist while others get slammed.

@xLTxFire Месяц назад

I was going to bring up that valuing stakeholders is effectively illegal, but you already brought up Friedman and ended with a link to another video on the topic. Presumably that goes into the Ford v. Dodge and Friedman + Welch debacles.

@JoeJoeTater Месяц назад

In other words, neoneoliberalism...

@nicholascreates Месяц назад

That’s why I want to be self employed

@Slateproc Месяц назад

They saw the ESRB and said "hey, we can do that too!"

@lucalavagnino5258 Месяц назад

I just wrote an essay at school today about the subject. The guideline was "Corporate social responsibility". It took me 5 pages to explain it was all bullshit.

@pearlsstephen Месяц назад

People don't understand that the prices of things are never going back down. This inflation is deeper than we think. Those buying groceries are well aware that the real inflation is much over 10%. The increments don't match our income, yet certain investors still earn over $10,400 in stocks and assets. Wish I could accomplish that.

@Amelia10249 Месяц назад

The crypt0 market is bringing a different revolution in the world economy. People who are optimistic investor will earn consistent why the others will sit back and watch.

@Lisa12696 Месяц назад

I think to combat the negatives effect of inflthinkation, it's a good idea to diversify your portfolio across different asset classes, since this can help protect your portfolio against inflation.

@LCurley Месяц назад

That is true my dear, Investment is the best idea presently and without it, human struggles are worthless.

@DaveRondon Месяц назад

*I would really love to know how much work you did put in to get to the stage..what are the strategy*

@pearlsstephen Месяц назад

*Laura Ferguson method is the best. Got her info on BBC news.four Years ago and i started following her lead and it's favoring me.i Lost my job early last year and right now, I am back on top again.*