It’s not often that I come across a company that I can say does the right thing.

So when I do, I think it is very noteworthy. Not only to businesspeople, but to consumers as well. A business has to earn its customers every day by doing things that demonstrate true appreciation for them. Usually a quality product followed by a nice smile and friendly service are enough.

But when things go bad, whether it’s the company’s fault or not, and whether the company had any control or not, the right thing to do is to apologize to your customers and do whatever (within reason of course) it takes to make things right.

After an unfortunate incident with tainted gas in the UK, retailer Tesco offered to pay the repair bills of any cars affected. You can read the article here.

I applaud Tesco for doing the right thing. Not only are they doing the right thing, they are managing public perception, unlike our friends at KFC in New York, like I wrote about here. The benefit here is many fold (including but not limited to):

• being perceived as a company that cares
• positive press
• loyal customers
• sustained prosperity

As an entrepreneur/business person, this is definitely a major lesson in how to do the right thing for your business. The decision Tesco has made is a decision that hopefully was easy to reach, but it is a decision that considers the company’s long term objectives, not short term quarterly report to shareholders.

IMHO, Tesco is a company to watch.