Ethical Considerations in Entrepreneurship and Your Plan

Key Terms

anchoring strategies
in the ethical context, the process of making ethics a foundation (anchor) of your business so that decision makers act keeping in mind key ethical considerations

antitrust laws
prevent companies from abusing position or power in the market through exclusion or limitation of competitor access to the market

business ethics
conduct by which companies and their agents abide by the law and respect the rights of their stakeholders, particularly their customers, clients, employees, and the surrounding community and environment

conflict of interest
when an individual or organization has interests in multiple areas that come into conflict with each other

copyright
grants the creator of a work the exclusive right to reproduce the work, typically for a specified period of time

corporate social responsibility (CSR)
practice in which a business views itself within a broader context, as a member of society with certain implicit social obligations and responsibility for its own effects on environmental and social well-being

design patent
protects product design

disclosure
sharing the needed facts and details about a subject in a transparent and truthful way

diversity
inclusion of many types of employees, regardless of differences (race, religion, gender, disability, LGTBQ, socioeconomic, cultural)

environmental entrepreneurship
entrepreneurial ventures focused on identifying an environmental problem and creating a product or process to solve that problem

ethics
standards of behavior to which we hold ourselves in our personal and professional lives

fairness
impartial, unbiased compliance with rules and standards of what is right, just, and equitable

integrity
adherence to a code of moral values implying trustworthiness and incorruptibility because there is unity between what we say and what we do

intellectual property
legally protected result of creative work to turn a unique idea into a product or service

prejudice
way of thinking about or treating employees in a manner that favors or hinders one person or group over another, usually in a way considered to be unfair

social entrepreneurship
entrepreneurial ventures focused on identifying a societal problem and creating a product or process to solve that problem

sustainability
practice of preserving resources and operating in a way that is ecologically responsible in the long term

trade secret
proprietary information, processes, or other internal knowledge that contribute to an organization’s competitive edge in a market

trademark
registration that provides the owner the ability to use a name, symbol, jingle, or character in conjunction with a specific product or service, and prevents others from using those same symbols to sell their products

truthfulness
underlying facts, reality, and evidence on a matter

utility patent
protects product ideas