Economics Principles and Practices, Texas Edition
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Chapter 3: Business Organizations
"The Better Business Bureau"

Introduction
Students have learned that nonprofit organizations are not just limited to co-ops and civic groups. Many other groups also organize to promote the interests of their members. For example, the Better Business Bureau (BBB) helps protect the consumer. The BBB is a nonprofit organization sponsored by local businesses to provide general information on companies. It maintains records on consumer inquiries and complaints and sometimes offers various consumer education programs.

Lesson Description
Students will use information from the Better Business Bureau Web site to find out more about the purpose of this consumer advocacy group.

Previous Knowledge Expected
Students should be familiar with the following terms:
consumer: person who uses goods and services to satisfy wants and needs
nonprofit organization: economic institution that operates like a business but does not seek financial gain; schools, churches, community service organizations

Applied Content Standards (from the National Council on Economic Education)
Standard 1: Productive resources are limited. Therefore, people cannot have all the goods and services they want; as a result, they must choose some things and give up others.
Standard 10: Institutions evolve in market economies to help individuals and groups accomplish their goals. Banks, labor unions, corporations, legal systems, and not-for-profit organizations are examples of important institutions. A different kind of institution, clearly defined and well-enforced property rights, is essential to a market economy.

Instructional Objectives
1. Students will find detailed information about a nonprofit organization.
2. Students will identify the organization's mission statement.
3. Students will list the type of information that is provided in a Better Business Bureau business report.
4. Students will identify ways in which the Better Business Bureau can help them as consumers.

Student Web Activity Answers
1. Student answers will vary. Answers may include: promoting ethical relationships between businesses and consumers; holding businesses accountable for high standards of advertising; providing consumers with information to avoid scams and pitfalls in the marketplace.
2. The BBB report will include general information about the company--for example, how long the company has been in business and known to the BBB. Also, the report will include a complaint history of the company as well as any other pertinent information related to government actions and BBB investigations of the company.
3. The BBB can help resolve buyer/seller disputes through conciliation, mediation, or arbitration.
4. Student answers may vary. Answers might include: by providing business reports, charity reports, dispute resolution, consumer information clearinghouse, business ethics promotion, and fighting fraud.

Extending the Lesson
Encourage students to use the search feature on the Better Business Bureau home page to find ratings of particular consumer products.
Have students examine the BBB's "Business Report Database" or the "Alerts & News" component. What information is available pertaining to local businesses?
Invite someone from your local Better Business Bureau to speak with the class.


Student Web Activity


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