Thesis In Commerce

The basic logic is that if the bulk of your social interactions are win-win acts of voluntary mutually-beneficial exchange, you are likely to think that you live in a happy benevolent peaceful world and are less likely to go Mad Max on your fellows.

In his Albert Hirschman names this the "doux commerce" thesis--and sees it as a "powerful moralizing agent which brings many nonmaterial improvements to society, even though a bit of hypocrisy may have to be accepted into the bargain." As Hirschman quotes Samuel Ricard: Commerce attaches [people] one to another through mutual utility.

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Sensing the necessity to be wise and honest in order to succeed, he flees vice, or at least his demeanor exhibits decency and seriousness so as not to arouse any adverse judgement on the part of present and future acquaintances; he would not dare make a spectacle of himself for fear of damaging his credit standing, and thus society may well avoid a scandal which it might otherwise have to deplore...

A dealer is afraid of losing his character, and is scrupulous in observing every engagement.But even Smith's self-interested and calculating market agents are sociable ones: they exchange, and perhaps they cheat--they don't kill, rape, burn, and steal.Which is odd, given that fifty years before Smith was born not far from his house there were lots of people who saw others not as potential partners in acts of mutually-beneficial commerce but instead as either (i) clan allies, (ii) clan enemies to be killed, or (iii) strangers to be robbed.When a person makes perhaps 20 contracts in a day, he cannot gain so much by endeavouring to impose on his neighbours, as the very appearance of a cheat would make him lose.Where people seldom deal with one another, we find that they are somewhat disposed to cheat, because they can gain more by a smart trick than they can lose by the injury which it does their character...This has been true to the point that new terminology, rules, and conditions have been created; even the interaction between customers and sellers is different and the notions of trust and confidence between them have been changed.With appearance of e-commerce new market and business concepts arose in the world’s economy, such as Business to Business Electronic Commerce (B2B EC), that is the use of private networks on the Internet to automate business transactions between companies.The electronic data interchange (EDI) has been the primary standard that has been used.It has typically been applied through the use of a Value Added Network (VAN) in which companies are able to do business on line after obtaining the membership to a particular Value Added Network (VAN).uses cookies to personalize content, tailor ads and improve the user experience. By using our site, you agree to our collection of information through the use of cookies.


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