One of many local organizations, mainly in the USA and Canada, formed to protect communities against unfair or misleading advertising and selling practices. Established in the early years of the 20th-c by advertising men, it nowadays sets standards for business practice, and investigates complaints.
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The Better Business Bureau (BBB), founded in 1912, is an organization based in the United States and Canada. The BBB states its purpose is to act as a mutually trusted intermediary between consumers and businesses to resolve disputes, to facilitate communication, and to provide information on ethical business practices. On their website, they list their core services as:
Business Reliability Reports Dispute Resolution Truth-in-Advertising Consumer and Business Education Charity ReviewHistory
The inception of the Better Business Bureau has been credited to the court case initiated by the government against a number of firms, whose number included the Coca-Cola Company, in 1906, after the Pure Food and Drug Act had been written into law.
The Better Business Bureau name and torch logo are federally registered trademarks.
Dispute Resolution
Companies that join the BBB pay a membership fee and are asked to meet and maintain requirements of membership of the BBB. Members who agree to the BBB dispute resolution procedures may identify themselves as BBB members.
Dispute resolution procedures are regulated by the Council of the Better Business Bureaus. Though all bureaus are regulated by the Council, the Council is controlled by local BBB representation.
Complaints about the practice of professions like medicine, law and accounting are not handled by the BBB and are referred to agencies regulating those professions.
Often many Attorney Generals offices around the nation(if not all) suggest consumers check with the BBB as well as attempt to get your complaint resolved with the BBB first. The BBB takes a large work load off of the Gov.
Consumer and Business Education
Video Series
The video arm of the BBB, established in 1995 by Platypus Productions, Inc., develops video content, online resources, and educational tools for consumers. The BBB Video Series (BBBVS) produces video programs based on the list of inquiries and complaints compiled by the BBB each year.
Charity review
Through local BBBs and the BBB Wise Giving Alliance, the BBB reviews local and national charities. In 2001, the National Charities Information Bureau and the Council of Better Business Bureaus Foundation merged to form the BBB Wise Giving Alliance (WGA), a nonprofit charity watchdog.
Reasons Why Companies May Want to Join The BBB
With the popularity of the Internet, BBB websites across the nations are being used across the USA by consumers who are soon to be making a business decision. Each Local BBB websites get thousands of visitors a day researching companies before making business decisions.
People do business with whom they trust.
Companies often join to be able to use the BBBOnline logo on their websites, as well as the BBB Print Torch Logo in advertising.
Many of the BBB's around the nation have great programs available to help business owners save money and attract new customers!
Joining a BBB can often be some of the most meaningful and least expensive form of advertising availabe as the BBB's are non-profit organizations and try to keep their fees very affordable.
Criticisms
The Better Business Bureau, or BBB has been said to be less effective in complaint resolution than governmental consumer protection agencies. Most businesses, however, are willing to work with the BBB to resolve disputes.
Companies that seek to protect their industry, geographic service area and their consumers, pay a membership fee and must meet and maintain standards of membership of the BBB. Members who agree to the BBB dispute resolution procedures may identify themselves as BBB members.
Other criticisms leveled against the BBB include the fact that their revenue comes from members, raising the question about its partiality on handling disputes and complaints.
Dispute resolution procedures are strictly regulated by the Council of the Better Business Bureaus. Though all bureaus are regulated by the Council, the Council is controlled by local BBB representation. Some companies and professions the BBB won't take complaints against include real estate firms, public utilities, and physicians.
Unfair Criticisms
Many business owners and much of the general public never stop and think about why the BBB exist. They don't realize the good that the BBB does for the business community and the general public. They don't realize that the BBB is often the first organization to find out about many of the scams going on in the business community.
The BBB saves the Government Millions (if not billions) of dollars each year by taking complaints on small business's so the Attorney Generals can focus on scams such as Enron and Sexual Predators.
The BBB helps the Banking Industries by helping with Mortgage Scams and Predatory Lending Practices.
The BBB also helps the Auto Industry a great deal by providing them with Dispute Resolutions with a program called BBB AUTO LINE.
The BBB's are only as good as the consumers that report to them. WRONG- The BBB takes complaints on both members and non-members.
If I join the BBB that will mean my company will get more complaints.
I am a business owner and I understand that I cant' please everyone.
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