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Is selling any unrealized concept unethical? Is pitching you an idea for a company in trade for your money wrong?

I think it becomes unethical when you begin lying: "Production of the app is coming along nicely! Here are a few more screenshots from development this week."

So the question might be more accurately: do you position this so you don't have to lie to a potential customer, but have them assume it exists? Is that positioning unethical? What do you say if they ask you point blank?



Is selling any unrealized concept unethical?

Of course not, if you disclose that it's unrealized.

Is pitching you an idea for a company in trade for your money wrong?

Of course not, if you disclose that it's an idea.

I think it becomes unethical when you begin lying

Which they were doing. They have your example of what would cross the line almost verbatim: "Each time we would come back with a few more 'screenshots' and tell them that development was progressing nicely and ask them for more input."

How do you position this so you don't have to lie to a potential customer, but have them assume it exists?

You don't. Creating the impression it exists when it doesn't is the unethical part. Why not just be up front with your customer and win them over with your design, insight, and ability to turn around real prototypes?


A good set of evolving screenshots is nice progress in development.

With just a little other investigational programming on the side, everything in their presentations would have been truthful, to the level of detail that a customer cares about.


A good set of evolving screenshots is nice progress in development.

It is, but that's not what they were referring to.

With just a little other investigational programming on the side, everything in their presentations would have been truthful, to the level of detail that a customer cares about.

Which is a big reason why I think it's unforgivable that they chose to lie instead. They crossed a brightline in their relationship with their customer without any real benefit from doing so.


FTFA: Once we secured a meeting, we told our potential customers that we were actively developing our web app (implying that code was being written)

Sounds like lying to me.

edit: removed HTML.




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