Abstract

Executive Summary Building trust and living interpersonal trust are crucial corporate executive virtues that are needed today. Once you have developed and solidified a high level of genuine interpersonal trust with all your stakeholders, especially customers, suppliers, and employees, then you are on the right path of managing and transforming your company. A high level of interpersonal trust between all stakeholders and corporates in a business situation will break down communication barriers, foster serious conversation and sharing of ideas, and will eliminate corporate transactional anxieties of fear, mistrust, guilt, rigidity, blame, and resentment. When stakeholders trust you and you trust them, then you speak freely, they speak freely, and your mutual sustained transparency is a gateway to survival, revival, and sustained corporate recovery and transformation, and steady growth and prosperity. Conversely, when there is low trust, high mistrust, and high distrust among stakeholders in a business situation, communications and conversations are stressed and fragmented, teamwork and team spirit are very low, and the company is heading toward its ruin and extermination. Such is the crucial role of interpersonal trust in business. This chapter explores the crucial phenomenon of corporate interpersonal trust. We review various cases, models, concepts, definitions, and theories of trust from the management literature in general, and from the marketing field in particular, to derive psychological, behavioral, ethical, and moral principles of corporate trust, trusting relations, and trusting strategies.

Highlights

  • 78 Corporate Ethics for Turbulent Markets trust, whether it is a marriage or a friendship or a social interaction; in the long run, the same thing is true about business, especially businesses that deal with the public

  • The World is Flat, New York Times columnist Thomas Friedman observes that this new “flat” economy is all about partnering and relationships that thrive or die based on trust

  • “Without trust, there is no open society, because there are not enough police to patrol every opening in an open society

Read more

Summary

Executive Summary

Building trust and living interpersonal trust are crucial corporate executive virtues that are needed today. Once you have developed and solidified a high level of genuine interpersonal trust with all your stakeholders, especially customers, suppliers, and employees, you are on the right path of managing and transforming your company. When there is low trust, high mistrust, and high distrust among stakeholders in a business situation, communications and conversations are stressed and fragmented, teamwork and team spirit are very low, and the company is heading toward its ruin and extermination. Such is the crucial role of interpersonal trust in business. 78 Corporate Ethics for Turbulent Markets trust, whether it is a marriage or a friendship or a social interaction; in the long run, the same thing is true about business, especially businesses that deal with the public

Introduction
The Importance of Trusting Relationships in Business Management
What is Executive Trust?
Definitions of Trust in the Marketing Literature
The Ethics of Executive Trust “Hire well, manage little,” affirms Warren Buffett
The Economics of Trust
How Does Trust Work?
Building Trusting Relationships
The Biochemistry of Human Trust
3.10. The Psychology of Trust
3.11. Building Trust in the Initial Stages
3.12. Inter-organizational Trust and Investments
3.13. Later Stages of Trust Development
3.14. Trust in BuyerÀSeller Business Management Relationships
3.15. Trust and Relational Contracting in Business Management
3.16. Business Management StakeholderÀExecutive Cooperation
3.17. Opportunism and Opportunistic Behavior
Findings
3.18. Concluding Remarks
Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call