Wednesday, February 20, 2008

Ethical, Regulatory, and Environmental Issues in Marketing Communications

Ethical Issues in Marketing Communications -Ethics:involves matter of right and wrong, or moral, conduct pertaining to any aspect of marketing communications. -Ethics in Marketing is integrated in Honesty, Honor, Virtue, and Integrity.

Three Ethics of Targeting:

-Targeting to Children and Teens

- Targeting children is unethical because they

use children's trust

- Targeting Economically Disadvantaged Consumers

-Unethical because those people have

better things to buy than cigarettes

- Is Targeting Unethical or Just Good Marketing?

- Marketing people believe that advertising is done just

to satisfy a particular need

- Others believe that some of it is unethical and


Ethical Issues in Advertising:

- Advertising is Untruthful and Deceptive

- Two-thirds of Americans think that ADS are


- Deception occurs when ADS falsely represent a

product and consumers believe it

- Advertising is Manipulative

- When ADS have the power to influence people

to do things then it is considered manipulative

- Priming can be very influential because

advertisers can take advantage of that

- Advertising practitioners do have the ability to

influence consumers in very subtle way

-Advertising Is Offensive and in Bad Taste

- Sometimes ADS are insulting to human

intelligence, vulgar, and offensive

- Advertising Creates and Perpetuates Stereotypes

- Ads creates and perpetuates women, and

disadvantaged people and therefore is guilty

- People Buy Things They Do Not Really Need

- Ads cause people to buy items or services they

do not need

- Advertising Plays on People's Fears and Insecurities

-Ads can appeal negative emotions such as fear,

guilt, and humiliation

- Hence, (AAAA) is an association that sets

standards on ethics in advertising

Ethical Issues in Public Relations

-Publicity involves disseminating positive info

about a company and its products

Ethical Issues in Packaging and Branding

- Four Aspects of Packaging involve Ethical issues

-Label Information

- Can Mislead consumers by

providing exaggerated information

- Packaging Graphics

-Are unethical when the picture on

the package does not represent the

real product.

- Packaging Safety

- Unsafe Packaging are acute when

when packaging is not tamper proof

-Environmental Implications

- Packaging is unethical when it provides wrong environmental benefits Ethical Issues in Sales Promotion - Consumers are responsible too in sales promotion Ethical Issues in Online Marketing - It is unethical because they invade individual Privacy Fostering Ethical Marketing Communications
-Act in a way that you would want others
to act towards you
- Take actions that would be viewed as proper

- Always ask would I would be comfortable

explaining this action on TV to the general


Regualtion of Marketing Communications

- What is regulation Justified?

Three Benefits

-Consumer Choice
-When consumers are informed
product quality tends to improve
-Reduced Prices
Regulation of Marketing Communications by Federal Agnecies
Deceptive ADS
-Impression left by the claim or campaign
- False claim is believed by consumers
- There must be a representation,
ommision, or a practice that is
likely to mislead the consumer
Reasonable Consumer
-The information is the material that is
Unfair Practices
-Unfair advertising: "acts or practices that cause
or are likely to cause injury to consumers
Information Regulation:
- Corrective Ads is based on the premise that
a firm that misleads consulers should have
to use future advertisment to rectify the
deceptive ads
- Product Labeling
- Prescription Drug Advertising
State Agencies's Regulation of Marketing Communication
- The (NAAG) plays an important role in ADS
since they control the ADS
Advertising Self-Regulation
-Self Regulation: form of private
government whereby peers
establish and enforce volantary rules
of behavior
- Media Self-Regulation
- Advertising Agency Clearance
- Approval from the advertiser's
legal department
- The National Advertising Review Council
-( NARC) has been the most
publicized and most effective form
of self-regulation
- Consists of Three Categories
- Children's Advertising Review Unit
- National Advertising Review Board
Environmental, or "Green", Marketing Communications
- Green Marketing Initiatives
- Motivated by compliance,
gaining competetive advantages,
and being socially responsible
some companies have made
responses to environmental issues
-Green Advertising
Three types of Green ADS
- Ads that adress relations
between product and service
- those that promote green
-Ads that present a corporate
image of environment
-Seal-of-Approval Programs
- Cause-Oriented Programs
- Point-of-Purchase Program
Guidelines for Green Mareketing
General Guidelines
1. Make Specific Claims
2. Reflect Current Disposal Options
3. Make Substantive
4. Make Supportable Claims

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