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The Better Business Bureau (BBB), founded in 1912, is an organization based in the United States and Canada. The BBB claims 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 Review

History

The inception of the Better Business Bureau is 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. As a result of the trial (the legal charges had been determined to be unfounded) Samuel C. Dobbs, sales manager of Coca-Cola Company and later its president, became committed to the cause of truth in advertising. During the trial, Coca-Cola’s own attorney had uttered a famous remark that confirmed Dobbs' desire to see honesty in business practices: "Why, all advertising is exaggerated," the lawyer had remarked. "Nobody really believes it." In 1909, Dobbs became president of the Associated Advertising Clubs of America (now AAF) and began to make speeches on the subject; in 1911, he was involved in the adoption of the “Ten Commandments of Advertising". Similar organizations in succeeding decades, such as the National Better Business Commission, Inc. of the Associated Advertising Clubs of the World (1921), and the National Association of Better Business Bureaus, Inc. (1933) merged to become in 1946 the Association of Better Business Bureaus, Inc. This association functioned until 1970 when it was merged into the Council of Better Business Bureaus.

Use of the Better Business Bureau logo is limited to the Member Identification (MIP) logo for printed materials and no online use. For online use members must join the BBBOnline Security Seal program.

Video Series

The video arm of the BBB, established in 1995 by Platypus Productions, Inc., has been developing video content, online resources, and educational tools for consumers in order to reduce the frustration and expense derived from poor purchase decisions. The BBB Video Series (BBBVS) produces video programs from the list of inquiries and complaints generated by the BBB each year. BBBVS consults with national organizations and interviews industry experts during the production of each program to make certain that their information is current and accurate.

In order to deliver this pre-purchase information to consumers at the lowest possible cost, BBBVS have been distributing these videos through the public library system. The libraries have proven to be an excellent method for disseminating this information. To check to see if a library near you carries the BBB Video Series visit the official website.

Titles in the video series address such topics as: identity theft, home contracting, traffic safety, car repair, corrective eye surgery, buying an RV, fraud, and childcare. Online tools such as the collision organizer Collision Wizard, and other free consumer resources are available from the Better Business Bureau Video Series.

Criticisms

The Better Business Bureau, or BBB has been said to be less effective in complaint resolution than governmental consumer protection agencies. As it is not a governmental agency, its capabilities are confined to reporting bad, or allegedly bad, business practices to the public and the proper authorities. 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. The BBB name and torch logo are federally registered trademarks.

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. All BBBs are required to be members of this council; there is no such thing as an independent Better Business Bureau. At a local level the bureaus are governed by a board of directors. Though all bureaus are regulated by the Council, the Council is controlled by local BBB representation.

The BBB works with the Federal Trade Commission in identifying and reporting the newest scams and rip-offs against business and the public.

Charity review

Through local BBBs and the BBB Wise Giving Alliance, the BBB reviews local and national charities to help donors make good decisions about charitable giving and to foster the public's trust in philanthropy. 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. The W.G.A released the Standards for Charitable Accountability in 2003.

External links

Business organizations

 

This article is licensed under the GNU Free Documentation License. It uses material from the "Better Business Bureau".

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