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By Priscilla Lister he holidays are a time for giving, but for businesses, it’s a time to give very careful consideration to the appropriate t gifts for clients and customers.
“In terms of business ethics, the major concern revolves around what is a gift and what is a bribe,” says Kirk Hanson, a senior lecturer in business ethics at the Stanford Business School in Palo Alto, Calif. “The main concern is that gift-giving not compromise independent decision-making by a company’s own employees,” he says. “A company clearly does not want there to be the reality or perception that its own employees’ decisions can be influenced by gifts they receive from others.” Nonetheless, the gift-giving practice during the holiday season is widespread among businesses. “Everybody does it and they all have reasons why,” says Tom Wotruba, professor of marketing at the College of Business at San Diego State University. “Gifts are used a lot as a kind of persuasive technique, at least by salespeople,” Wotruba says. “But there are legal and ethical issues, and the line isn’t always clear.” Both academicians point out that a typical guideline, fostered by IRS rules, is that a gift should not exceed a value of $25. “That’s violated a great deal, but it does
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