Situational Ethics & Business

A while back I was doing a small task for a client I went to a HVAC supplier. When I told the salesperson what I wanted and we had agreed upon a price I was instructed to take the paperwork to the cashier’s window. Upon doing so I was asked to see my contractor license. I pulled them out only to be told they would not sell to a general contract, further more they explained to me that they only supplied merchandise to CVAC contractor. I thought that was crazy but left.

I went to their competition and purchased the needed equipment. Did I I pay a little bit more for it? I did. Did I know these people as well as I knew the others, no but they sold equipment to everyone the state said was qualified to work on it. These restricting sales to only specific Tradesmen came about because of general contractor purchasing the equipment and then hiring subs for labor which reduced their cost. The sub-contractor starting complaining because they did receive the mark-up their overhead depended on. They are said to have threatened to leave the establishments that allowed Generals to purchase from them. So, in return the establishments started refusing to sell to only the specialty contractors.

I was driving by the location yesterday and noticed a for lease sign in the window. I talked to someone I knew about it and was informed that they had gone out of business. I couldn’t help but wonder if their stand against general purchasing product from them had anything to do with it. I have heard of other general who refused to hire subs who refused to allow them to purchase the materials. Those companies are struggling at best today because of the economic situation we’re in. This is a hostile market.  Contractor’s have to cut back everywhere they can.

Desperate time calls for desperate measures is the old saying. Personally, I don’t believe these to be desperate measures. However, I do believe that the one who has the ability to walk away yields the power. I simply wonder how long those subs can afford to walk away from the large track contracts which the generals hold. I do not work in tract housing, so this ploy doesn’t affect me as much. But those walking away from the way things will remain for the near future are enabling their completion to take their market position. It is a cruel world we exist in and everyone is trying to get through it with the least amount of pain. There are times when you depend on your brother to have your back and not to shot you himself.

These situations are messy and according to situational ethics your perspective is affected by your vantage point. Myself I let them play their games. I appraise the situation, determine a course of action that I believe to be right and then I follow that course adjusting as needed.

It is odd that according to situational ethics there isn’t right and wrong, and this teaching has been the rule pumped into our society for decades. Is there any wonder that things are constantly changing.