Sales Leadership Final

Part Three - Leading as a Sales Executive | Chapters 9-14

Ethics

moral principles of right and wrong that guide people’s behavior

Golden Rule Ethical Approach

treat others as you would like to be treated

Conventionalist Ethical Approach

acts are okay as long as they are legal or if “everyone is doing it”

Protestant Ethics Ethical Approach

do what you can defend to a committee of peers

Market Imperative Ethical Approach

the market will determine what is right

Libertine Ethical Approach

do what you want as long as no one gets hurt

Utilitarian Ethical Approach

do what will result in the best outcome for all involved

Virtue

the idea that decisions should be based strictly on one’s value system

Boundary Spanners

salespeople who operate both outside of and within an organization’s boundaries

Misrepresentation

when a salesperson lies about a product

Puffery

an allowable exaggeration as long as it is vague and general, with no specific facts

Bribery

any offer of a gift that leads to undue influence

Privacy Violations

failing to protect the privacy of a customer by giving the customer’s confidential information to another customer or company

Disparaging Competition

exaggerating the negatives of competitors to attempt to win a customer’s business or loyalty

Protected Territory

only one salesperson can sell in that territory so that it is protected from others

Sexual Harassment

unwelcome sexual advances, sexual jokes, and so forth, even if unintentional

Ethical Climate

the degree to which a firm’s corporate culture supports ethical business practices

Code of Ethics

a company’s ethics policies established to provide salespeople and other employees with guidelines and standards for conduct

Federal Sentencing Guidelines (FSGs)

legal guidelines that require all organizations to develop programs for preventing, detecting, and halting unethical or illegal misconduct by employees

Whistleblowing

when an employer reports unethical or inappropriate behavior

Progressive Discipline

if an employee continues to violate a company’s policies, the discipline the person receives becomes more serious

Grievance and Arbitration System

guilt and punishment are investigated and discussed by progressively higher levels of management and labor

Uniform Commercial Code (UCC) Law

the legal guide to commercial practice; determines who has the ability to make a binding agreement for a company; defines key elements of a sale

Business Defamation Law

state laws that govern what businesses (and salespeople) can say about competitors

Gramm-Leach-Bliley Act

a federal law regarding privacy policies

CAN-SPAM Act

a federal law prohibiting spam and governing how companies can contact customers; related is the Do-Not-Call registry

Foreign Corrupt Practices Act

a U.S. law that makes bribery and other activities illegal in other countries for U.S. companies

Civil Rights Act

an act that prohibits sexual harassment in the workplace and discriminatory hiring practices, among other things

Robinson-Patman Act

a federal law regarding fair pricing

Sale

transfer of title from the seller to the buyer in exchange for consideration (money)