Entrepreneurs keep their eyes peeled for any available entry point into a market, looking to capitalize on unexploited resources and opportunities, ready to spring into action as soon as they predict profitability. But where do ethics play in? When is it okay for larger companies, with more stability and resources to expand, to squeeze the life out of small businesses just trying to stay afloat?
A case in point is that of the expansion of Oregon-based Sightline Tours into Vancouver. Already successful in the States, and armed with a fleet of flashy, sustainability-conscious buses, Sightline surged into the Vancouver sightseeing market in 2008 after the exit of one of the largest bus tour companies, Grey Line. This large shift in the industry, along with already flagging tourism, has led to the subsequent exit from the market of many smaller, often family owned and operated businesses. Even more small businesses are taking huge profit hits as Sightline now controls the industry at Vancouver’s cruise ports.
This strategic entrance and domination of the market by Sightline is no doubt intelligent and well-executed. But is it ethical? In our profit-obsessed world, entrepreneurs and executives are obsessed with exploiting all opportunities to earn a buck, but they often do so at the expense of the livelihood of many smaller businesses. By seizing large chunks of market demand, these growing companies cause numerous job losses and failed companies. Should entrepreneurs be required to adhere to an ethics code? Is our money-hungry world capable of such a thing? Questions for the future.