Entrepreneurship Assignment Addressing Ethical Issues Affecting Noremak
Prepare an entrepreneurship assignment addressing the role of ethics in the chosen market domain considering the following points:
- Issues: Describe the potential business ethics and regulatory issues that could impact your intrapreneurial or entrepreneurial idea. How could these ethics and regulatory issues affect your corporate strategy, brand development and decision making processes?
- Alignment: How will you align your corporate strategy, brand development and decision making processes to the businesses ethics and regulatory issues that you described?
- Sustainability: How will the alignment of corporate strategy, brand development and decision making processes to the business ethics and regulatory issues you described optimize the sustainability of your intrapreneurial or entrepreneurial idea.
Noremak, an organization selected in this entrepreneurship assignment who is offering financial education to high school students in the USA will cover up all the students irrespective of their caste, gender, and racial discrimination. The organization will maintain honesty and integrity in the provision of services. This study will highlight the ethical and regulatory issues affecting the entrepreneurial idea. Moreover; it will also highlight the alignment of the corporate strategy and the sustainability of the financial education organization.
The ethical issues that are likely to affect the operation of Noremak include the political issues in the US. It has been found that the political issues are high in the education system of the US due to the existence of third parties. This has led to the formation of conversation parties among the students which will affect the intention of the students to enhance their financial knowledge (Engström & McKelvie, 2017). On the other hand, another vital ethical issue includes the caste issues affecting the operation of Noremak. As it is found that the deserving students in the US do not receive a chance to get enrolled in the education organization, it is likely to de-motivate the students affecting their standard of living. This lack of education will make it difficult for the students of the US to improve their financial knowledge thereby creating fewer employment opportunities for themselves.
Another vital ethical issue affecting the operation of Noremak includes gender and social inequality. With the improvement in the level of technology, there exists a higher rate of crime and violence in the US thereby developing social inequality among the students. It will be difficult for the financial organization to impart higher financial education to those students as they will fail to utilize the knowledge for the growth and the development of the economy. Moreover, in the operation of Noremak, the local citizens of the US will only be preferred at the initial stage for imparting financial education thereby creating inequality among the aspirants (Lucey, 2018). This is likely to affect the operation of its business as the students of other caste are sure of not getting a chance in enhancing their financial knowledge. Further, another vital ethical issue affecting the business of Noremak includes the differences made between the low and the higher-income households. As the financial courses delivered by Noremak are costly, it will be difficult for the parents of the lower-income household to avail the courses for their children. Moreover, the company does not have strong resources or knowledgeable staff for educating the students or imparting them the correct knowledge. It can be considered to be unethical for an educational organization like Noremak to impart such education where there does not exist optimum utilization of the resources along with the service and the price transparency (Yang et al., 2018). As Noremak is a startup company, there should be an adequate level of investments made in those sectors only which will assist in the effective growth and development of the business organization with relevant cost.
Corporate strategy: As the students who do are not the citizen of USA approaches Noremak for gaining financial education and thus gets rejected, this will develop a pessimistic approach thereby affecting the corporate strategy of the company. Such a situation will also create distraction among the minds of the employees working with Noremak and thus it affects the morale and the productivity of the employees (Goyal & Kumar, 2021). The staff of the sales division of Noremak will not be successful in generating greater revenue as they will fail to fulfil their promises made to the students and their parents. All these aspects will affect the corporate strategy of the Noremak to a great extent.
Brand development: The financial education packages that will be delivered by Noremak are costly and thus pose a burden for the lower and middle-class students. This perceived price affects the brand development of Noremak thereby affecting brand loyalty to a great extent. On the other hand, there will also be a false reputation on the minds of the students and the parents related to the financial products of Noremak and thus it will affect the development of the brand to a much larger extent.
Decision making: As it has been found that the staff that are associated with Noremak do not possess adequate knowledge in imparting knowledge to the high school students of the US, the parents and the students will face difficulty in taking the correct decision on whether to enroll themselves in the course (Lusardi, 2019). On the other hand, due to the existence of varied types of political issues, the stakeholders of Noremak will face difficulty in taking valid decisions for the effective growth and development of the organization.
The corporate strategy of Noremak will be framed in such a way that the students of any class and creed can get enrolled in the financial education course of Noremak based on their merit. This can be regarded as a welcoming approach and thus it can be said that the students of all economic classes, races, and gender will try to look at the optimistic features of the course (Beck & Garris, 2019). Further, the employees of the sales division will also be trained in such a way that they should develop the trust of the students and the carers by providing them the correct and valid information only.
The brand development of Noremak will be made in such a way that the students can choose their educational packages based on their affordability. As the company can grow considering the quality and the affordable education, the brand development of the Noremak will be made in a positive way and through valid promises. To check the authenticity of the classes delivered by Noremak, the students can also opt for demo classes based on their requirements.
The staff members who are working with Noremak must possess in-depth knowledge of the course content and they must not misguide the students. It is the responsibility of the higher authority of the organization to check that the students are not made any false promises so that it becomes difficult for them to take the correct decision in purchasing the financial course of Noremak.
The course concepts that are delivered by Noremak can be made sustainable if they are digital i.e. password protected. The students of the US can reuse the course content beyond their scheduled course time on payment of an additional fee. On the other hand, the education imparted by Noremak must be applied based thereby developing behavioral changes among the students. Sustainability can be achieved if this app-based financial literacy can bring changes in the life of the students through imparting them education and helping the company to grow through the word-of-mouth strategy (Rudeloff, 2019). On the other hand, the brand development of Noremak can be made sustainable if there is the provision to pay the course fees in instalments thereby reducing the burden upon the students and their parents. Moreover, the company can make changes in society only if it employs educated staff for imparting the correct financial education through easy and quick methods. All these aspects will assist in the growth of Noremak within the stipulated time frame and a specified budget.
Thus, it can be said that business ethics play an effective role in the sustainable growth of the business. It is the responsibility of the higher authority of Noremak to adopt developed and improved steps so that the brand development, corporate image, and the decision-making process of the company can be tackled adequately.
Beck, J. J., & Garris, R. O. (2019). Managing personal finance literacy in the United States: A case study. Education Sciences, 9(2), 129.
Engström, P., & McKelvie, A. (2017). Financial literacy, role models, and micro-enterprise performance in the informal economy. International Small Business Journal, 35(7), 855-875.
Goyal, K., & Kumar, S. (2021). Financial literacy: A systematic review and bibliometric analysis. International Journal of Consumer Studies, 45(1), 80-105.
Lucey, T. (2018). A critically compassionate approach to financial literacy: A pursuit of moral spirit. Education Sciences, 8(4), 152.
Lusardi, A. (2019). Financial literacy and the need for financial education: evidence and implications. Swiss Journal of Economics and Statistics, 155(1), 1-8.
Rudeloff, M. (2019). The influence of informal learning opportunities on adolescents’ financial literacy. Empirical Research in Vocational Education and Training, 11(1), 1-17.
Yang, S., Ishtiaq, M., & Anwar, M. (2018). Enterprise risk management practices and firm performance, the mediating role of competitive advantage and the moderating role of financial literacy. Journal of Risk and Financial Management, 11(3), 35.