BBB Codes and Standards Promote Marketplace Ethics

11/14/2003

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Ethical lapses in corporate behavior are now common headline news. Articles detail in great length what has gone wrong with American business. Certainly there is no silver bullet to ending personal greed and self-service over the common good. And there is debate about whom should be responsible for instilling business ethics. But the Better Business Bureau system has been quietly fostering an ethical marketplace for over 90 years.

Better Business Bureaus in 114 localities across the U.S. and 14 in Canada promote ethical behavior in accordance with codes of advertising and e-commerce and charity standards. These codes and standards present practical approaches to resolving ethical conflicts to help foster trust and confidence for consumers and to build a level playing field for business in both the traditional and online marketplace. Here is a brief look at the codes that drive the BBB’s efforts to promote ethical behavior.

Code of Advertising: These basic advertising standards are issued for the guidance of advertisers, advertising agencies and media. The Code is designed to apply broadly to the offering of all goods and services in all media. Companies adhering to the provisions of this Code can contribute significantly toward effective industry self-regulation. Compliance among advertisers, agencies and the media work to foster consumer confidence in the truth and accuracy of advertising, thereby stimulating the marketplace. For the complete Code, please go to: http://www.bbb.org/membership/codeofad.asp

Do’s and Don’ts in Advertising: While the Code of Advertising is general in scope, Do’s and Don’ts is specific. It provides detailed guidelines to advertisers, advertising agencies and the media regarding the wording of offers, use of words (like “free” and “sale”), timed offers, and government regulations, among other topics. Completely revised in 2003, it is often called the “advertiser’s Bible.” For information about subscribing, please contact 1.800.449.8114.

Code of Online Business Practices: This Code is designed to guide ethical conduct between buyers and sellers using the Internet. It serves two purposes: (1) Voluntary adherence to the provisions of the Code will be a significant contribution toward effective industry self-regulation of e-commerce. (2) The Code is the underpinning for the BBBOnLine Reliability program and all Reliability participants must agree to follow it and to use dispute resolution, at the customer’s request, for unresolved disputes involving products or services advertised or purchased online. The Code of Online Business Practices outlines ethical business behavior and thereby helps to build trust and confidence in e-commerce. There are more than 38,000 BBBOnLine Web sites identified by a seal that verifies their participation when “clicked.” For the complete Code, please visit: http://www.bbbonline.org/reliability/code/code.asp.

Charity Standards: Revised in the Spring of 2003 after a three year process, the BBB Wise Giving Alliance Standards for national charities serve a two-fold purpose. (1) They help donors make sound decisions regarding which charities to support by evaluating charities’ solicitation practices, use of funds, governance and public accountability. (2) The Standards provide guidelines for national charities regarding solicitation practices, use of funds, independent oversight and accountability. As the BBB systems makes donors aware of these Standards, the bar is raised for national charities. Donors seek out those charities in compliance with the Standards and the charities are rewarded with contributions. For the complete Standards, please go to http://www.give.org/standards/index.asp.

Better Business Bureau codes and standards haven’t prevented the large-scale lapses in ethics, but their use helps to make the marketplace a safer place for consumers and a better place for companies to do business.

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