Matthew Kenney

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Archives for April 2019

A Tip to Avoid Lawsuits

Posted on: 04.27.19 | by Matthew Kenney

Have you ever noticed that leaders of companies love to promote their commitment to ethical business practices? Go to any public company’s annual report and do a search for the word ethical, or ethics, and you’ll see a very nice discussion about the firm’s commitment to ethical business practices. Yet, when you look at litigation trends you see that the number of disputes has never been higher. One study showed that 83% of the corporate counsel surveyed expected litigation to increase, up from 79% the previous year.

Herein lies the problem: Ethical conflicts arise in business, in part, because people don’t define the word “ethical” the same way. Stated differently, it is possible that business owners are causing ethical dilemmas — that lead to lawsuits — by not really understanding the philosophical aspects of ethics.

Leaders don’t seem to be spending enough time understanding this simple truth: What is ethical to one person may not be ethical to the next. That is, they are accusing others of being ethical without delving into the philosophical foundation of ethics. Prerequisite knowledge is as important in business as it is in school. One can’t skip the theory and go straight to practice. It isn’t a sustainable strategy.

For example, assume you are an American entrepreneur sending your production to China, which will result in 100 lost American jobs. Is this ethical?  The answer is: It depends on your ethical philosophy.

If you are an ethical egoist you would say “yes”, as you are doing something legal and in your best interest. If you adhere to Divine Command Theory (i.e. integrating religion into your decision making) you would likely say “no”, as China is officially an atheistic state.

The holder of a utilitarian view would probably say “yes” because, economically anyway, more people (i.e. customers) would benefit from the action than be harmed by it. One who adheres to Kant’s Categorical Imperative model would likely say “no”, since Chinese workers are not given the same rights and benefits as American workers.

Practical Tip: To reduce the risk of disputes, which could lead to lawsuits, you may want to state your ethical philosophy clearly to employees, customers and vendors. Most American corporate managers seem to adhere to an ethical egoist or utilitarian model, which is OK. In a free society everyone has the choice to adopt a philosophical framework that they like.

What they don’t have is the right to assume that everyone else will adopt the same model. Just because you justify an action as ethical doesn’t mean that it is. It just means that it’s ethical to you. Also, an unethical action isn’t necessarily illegal. When a conflict gets to court…ethics get thrown-out the window. All that matters is if the elements of an illegal act have been met.

Therefore, be sure to take the time to let all those you work with know your ethical philosophy. They may not agree with it, but if a conflict arises they cannot say they were unaware of it. This should reduce the risk of conflicts, which will reduce the risk of lawsuits. Sometimes lawsuits happen simply because two companies — that never should have done business in the first place — didn’t agree as to what is ethical and what is not.

Red, White and Basic

Posted on: 04.27.19 | by Matthew Kenney

As you review this web-site, you’ll notice a very basic outline. Red headings, white background, and black text. Might you wonder why? After all, where is the flash?

As an entrepreneur, I have been engaged in day-to-day marketing activities for many years. My MBA and doctorate both had marketing specializations, and I’ve taught many marketing courses over the past 17-years. Thousands of hours of my life have been dedicated to the study and practice of marketing. So why a red, white and basic web-site?

The primary reason: I have created a web-site for my clients, and they do not want a lot of fluff. They want simplicity and authenticity.

Here is an important marketing concept to remember: People do not all learn the same way. However, most people (95% according some research) will have primarily auditory or visual learning styles. My legal services –with the exception of hostile workplace actions — target entrepreneurs. Studies show entrepreneurs are predominantly tactile learners.

Entrepreneurs learn by doing. Again, they don’t want fluff. They want want practical content that is user-friendly. Highly visual and auditory content is appropriate for some clientele, but not many of my clients.

A secondary, but equally important, factor is functionality. While the data is still emerging, studies suggest that individuals with dyslexia (and similar neurological processes) are far more likely to choosing entrepreneurial career paths. These individuals benefit greatly when “visual noise” is removed. Simply stated, this web-site is designed with the entrepreneurial mind, well, in-mind. 

Do the vast majority of companies consider the needs of those who learn differently in their web-design? Not in my opinion. Those web-sites are designed by marketers for mass marketers. I am a lawyer serving a well defined market segment. If my web-site seems a bit basic by comparison, so be it. My clients will understand and appreciate my efforts…and that’s what truly matters to me.

Effective marketing isn’t about knowing what customers think. It’s about knowing how they think, and why they think a certain way. What I know without question, however: Customers want honesty, simplicity and authenticity. Clients want integrity, competence and qualifications in their service providers. My clients do not want flash, they want value and respect.

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