Truth/Smart Truth*

(* or as lawyers call it: "how to be artfully ambiguous")

Example:

In the National League, the fourth line is no longer the 4th line- it is the "energy line". Smart truth. (Has this shifted the problem to the 3rd line?)

Example:

Ansett Australia ceased flying operations in March 2002. In the windup of the Company, Ansett released a statement that its leased aircraft were 'redelivered'. That is, they were not reposessed or 'repo'd' but redelivered. It sounds better and looks better in print.

Example:

AMC Theatre Chain replaces 'small' pop drinks with 'regular', 'medium' is replaced by 'large' and 'large' becomes 'extra large'. There are no small sizes any longer.

Example:

Truth- The Coca Cola company announced to a chorus of boos a technological innovation: vending machines that raise the price of soda pop when temperatures rise and demand rises accordingly.

Smart Truth would have been to say that Coca Cola has discovered a way to help consumers- their vending machines will lower the price of colas when temperatures fall.

Example:

Donald Trump, New York City real estate developer noticed in the 1980s how tenants and condo owners didn't like being on floor 13; he also noticed how rents and selling prices increased with higher floor numbers. So he decided on a 'floor inflation strategy': from now on, he thought, all our towers above the retail pod (which typically could be three to nine storeys) will start at Floor 20. He justified this by saying that his retail floors were much taller than ordinary office or residential floors anyway.

Example:

'Mr. Carter (then U.S. presidential candidate and born-again Christian in an interview with Playboy magazine), have you ever slept with someone not your wife?'

'No.'

'Have you ever lusted after someone not your wife?'

'Yes, I have had lust in my heart.' Truth, yes, but Mr. Carter nearly lost that election to the unpopular Gerald Ford because of this comment.

What should Mr. Carter have answered? Clearly, the smart truth is 'no' not only because it will avoid trouble with the media but also because it was the truth- Jimmy was faithful to his beloved wife, Rosalyn. The media often ask questions to which the only seemingly possible answer is to agree with them and torpedo your career. These are questions that even saints can not answer.

Example:

In the home building and commercial real estate business, there are no more basements. There are 'lower levels' and 'upper levels'. You get more rent or a higher selling price for lower level space as opposed to basement space.

Example:

"Mr. F. doesn't the plan for West Terrace look a lot like the Glebe?" a question not asked by Tom L. at the Ontario Municipal Board hearing into whether the Ottawa Palladium should be allowed to go ahead in Kanata, circa 1991.

Truth is 'yes', the smart truth is 'no'. Why? Because putting the Palladium in the Glebe would have imposed two million visits a year on an already established community. Putting it in Kanata meant that people who construct homes and shops and businesses in around the building do so at their choice after the Palladium is built. This is an example of second order thinking.

Student Note: Truth is an important principle and an important ingredient in the success of entrepreneurs. Your reputation as a honourable person allows you to credibly present business plans to investors and banks and VCs; it allows you to attract and keep clients and customers; it allows you to borrow hundreds of thousands and millions of dollars; it allows you to apply consistent, focused effort and be rewarded for your efforts. Telling the smart truth in a litigous society allows you to protect your interests and that of your employees, shareholders and others from unscrupulous persons who wish to further their careers and interests at your expense.

Example:

Addressing a group of students about case study writing, the Prof says: "Al gave me his take on T... It was quite good. However, when you are writing anything- a case study, for example, do not put in anything that could be considered libelous. When we are doing case studies, we may from time to time stumble upon things that look dubious to us. Rather than make claims or accusations, we should all be using the smart truth. Use this: "He was not focused on the success of the business. Rather, he appeared to be more concerned with personal goals". This is a euphemism for: "The guy is a crook!" Use smart truth and you won't be sued! Please edit your stuff accordingly.

Example:

Smart Truth:

"Our Guarantee:

If it takes you longer than 15 minutes to get here from (name of suburb here) driving at the legal speed limit, then you get one month rent free at our new mini storage facility on your first 12 month lease!"

Truth:

Anyone would receive one month rent free on a year's contract just by asking.

Note: Everyone likes the words "Free" and "Guarantee".

Example:

Truth:

Used Cars For Sale.

Smart Truth:

Previously Enjoyed Cars For Sale.

Twenty Five Steps to Entrepreneurial Success

Entrepreneurialist Culture