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Social and Economic Impacts of Advertising

Social and Economic Impacts of Advertising

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Published by: jackmano on Aug 23, 2010
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Social & EconomicImpacts of Advertising
In recent times, the word 'Advertising' has become a fiercely mooted topic. Advertising has positive as well as negative, social and economic impacts on our society. Considering advertisingas a public welfare is a positive social impact whereas exposing women as a sex tool comes atthe negative side. As far as economic factors are concerned, funding for the media andstimulating an active and competitive economy, are the major examples.Assorted techniques are enforced for persuading consumers that they want the product which is being advertised. These techniques usually give attention to the benefits that would be brought tothe consumers rather than focusing on the actual products. For instance, an automobileadvertisement adverting the mechanical attributes of a vehicle, most likely concentrates theexhilaration, reputation and social progression it may bring to the buyer. This swarmingadvancement is habitually sexual, or involving the opposite gender to attract the consumers withthe glamorous women/men's fancy car.There are various blames that advertising is causing a negative social impact on the lives. Thechief unfavorable judgment for advertising is that it hales the public to buy things that they arenot their real want. It is arrogated that advertising plays with emotions and encourages people tothink that buying and depleting are the activities of life.According to advertisers, they state that people are capable enough to set their mind and no onecan force them to buy anything which they dislike or which they think is not a necessity.Advertisers also think that there are positive impacts of advertising on our society and culture.For example, it can be used to generate awareness among the public that which product is OK or to which they should say NO. In other words, advertising also acts as an educator in the sensethat it educates people what is good and what is bad for them and puts a ceiling on the harmful products like smoking and drinking etc.There are not only social benefits of advertising, but it also has some economic advantages.Without advertising, the media, including newspapers, television and radio would never be muchstrong. Advertising provides revenue for commercial mediums which would otherwise need to be funded by the actual consumer of these mediums. So, we can see a major economicinfrastructure based around advertising, in which the big companies fund and subsidize thecommercial media by the way of advertisements.The major economic negative aspect of advertising is that it boosts the price of goods andservices. The source of this contention is that, when organizations subsidize the mass media withadvertising, we, the purchaser, subsidize advertising by compensating a grossly increased pricefor heavily advertised goods and services. An easy example of this is that a box of Omo washing powder generally costs around two to three dollars while the market price of the product would
 be seven to eight dollars. The fact behind this is that the remaining proportion goes in heavyadvertising in television and print media.So, the impact of advertising on our society is in a jumble form, depending on the functions andimplementations of numerous campaigns. Our society and the marketing of products dependvery badly upon advertising. The companies have become much dependent of advertising thateven its negative impacts can never outweigh the many positive social and economic effects.
In todays advertisements there is an overload of sex and violence. The models you see in most ads areway to thin and hae been surgically enhanced. The country has allowed drug companies to adveriseduring sports games and family channel prime times on the television. Erectile disfunction ads, feminineproducts, and sexual gels should not be allowed to advertise during hours that children, who are easilyinfluenced, are watching with their families. Society has accepted this type of behavior and has shownan influence in the generation. Girls have become more permiscuous by the age of 12-14 and the boyshave no respect for them. If this type of behavior continues marraige will be a thing of the past. As mymother once stated "Why buy the cow, when you can get the milk for free?"
Effects Of Advertising On Society
The purpose of an ad is to influence you to purchase the product. If you select one brand of  product over another brand of product, say a loaf of bread which you need, that's one thing. But,if you go out and purchase a product you don't need because an ad convinced you that you "hadto have it", that's excessive consumption, which is wasteful.Also, ads sometimes position a product as a status symbol - the cool thing to have - and if someone can't afford that product and buys a lesser expensive version (say, sneakers) they might be ridiculed by their peers.
Every time we open a newspaper or we turn on the TV, we see sellers of almost identical productsspending huge amounts of money in order to convince us to buy their brands. Every year, each typical American watches 1550 hours of TV, listens 1160 hours on radio, and spends 290 hours readingnewspapers and magazines. So every day, each American watches 100 TV advertisements, 100 to 300ads through other mass media, and in one single year receives 216 pieces of direct mail advertising, andalmost 50 phone calls from telemarketers (Pratkanis and Aronson 2). All these, because sellers of everything, from computers to detergents, believe that advertising is essential to the product. Ed Ney, ex-chairman of the Young and Rubicam American agency, refers to the mid seventies when many firms stillhad as a debatable issue if they should advertise or not. Those days have passed. As Ney says, that hashappened, because it has been proved that advertising is beneficial to the firms (Clark 16). The criticsstate that advertising is really beneficial to the consumers: They believe that advertising createsconsumers that are better informed about the characteristics of the commodities, and that it does not alter the way in which the companies evaluate their products. Also, they believe that advertising createsprice sensitivity for the consumers that buy the best products for their value. Finally, they think that withadvertisement, entries for new brands are much easier because of the communication with the potentialconsumers that commercials offer (Haefner and Rotzoll 87). Advertising, collective term for publicannouncements designed to promote the sale of specific commodities or services. Advertising is a form of mass selling, employed when the use of direct, person-to-person selling is impractical, impossible, orsimply inefficient. It is to be distinguished from other activities intended to persuade the public, such aspropaganda, publicity, and public relations. Advertising techniques range in complexity from the
publishing of simple, straightforward notices in the classified-advertising columns of newspapers to theconcerted use of newspapers, magazines, television, radio, direct mail, and other communications mediain the course of a single advertising campaign. From its unsophisticated beginnings in ancient times,advertising has burgeoned into a worldwide industry. In the U.S. alone in the late 1980s, approximately$120 billion was spent in a single year on advertising to influence the purchase of commodities andservices. Modern advertising is an integral segment of urban industrial civilization, mirroringcontemporary life in its best and worst aspects. Having proven its force in the movement of economicgoods and services, advertising since the early 1960s has been directed in increasing quantity towardmatters of social concern. The continuing cancer and anti drug abuse campaigns are only two examplesof the use of the advertising industry as a means to promote public welfare. Advertising falls into twomain categories: consumer advertising, directed to the ultimate purchaser, and trade advertising, inwhich the appeal is made to dealers through trade journals and other media. Both consumer and tradeadvertising employ many specialized types of commercial persuasion. A relatively minor, but important,form of advertising is institutional advertising, which is designed solely to build prestige and publicrespect for particular business concerns as important American institutions. Each year millions of dollarsare spent on institutional advertising, which usually mentions products or services for sale onlyincidentally. Another minor, but increasingly popular, form of advertising is cooperative advertising, inwhich the manufacturer shares the expense of local radio or newspaper advertising with the retailer whosigns the advertisement. National advertisers occasionally share the same space in magazine advertising.For example, makers of pancake flour, of syrup, and of sausages sometimes jointly advertise thiscombination as an ideal cold-weather breakfast. Advertising may be local, national, or international inscope. The rates charged for the three different levels of advertising vary sharply, particularly innewspapers; varying rates are set also by newspapers for amusement, legal, political, financial, religious,and charitable advertisements. Advertising, collective term for public announcements designed topromote the sale of specific commodities or services. Advertising is a form of mass selling employedwhen the use of direct, person-to-person selling is impractical, impossible, or simply inefficient. It is to bedistinguished from other activities intended to persuade the public, such as propaganda, publicity, andpublic relations. Advertising techniques range in complexity from the publishing of simple, straightforwardnotices in the classified-advertising columns of newspapers to the concerted use of newspapers,magazines, television, radio, direct mail, and other communications media in the course of a singleadvertising campaign. From its unsophisticated beginnings in ancient times, advertising has burgeonedinto a worldwide industry. In the U.S. alone in the late 1980s, approximately $120 billion was spent in asingle year on advertising to influence the purchase of commodities and services. It is suggested that advertising is not beneficial, but harmful to the consumers. First of all, it does not really inform theconsumers, but persuades them. Persuasion is actually the step of advertising that induces purchase.This is managed by techniques that appeal to feelings, like love or hate (Rotzoll and Haefner 100). Forexample some advertisements say that the firms take care of the consumers by creating safest products.This venture is usually used in car advertisements. As Eric Clark puts it very well advertising exists toinform  but even more so to persuade (Clark 15). Also, as opposed to the promotion through personalcontact, advertising does not involve pressure to the audience. For that reason, the last does not fightthe message. So, it is easier for the advertiser to hand over the message (Dommermuth 44). Moreover,as McConnell and Brue put it, material wants have a high reproduction rate. The rapid introduction of new products whets our appetites, and extensive advertising persuades us that we need items wemight not otherwise buy (McConnell and Brue 22). Furthermore, advertisers do not tell all the truth.Because advertising is not journalism but salesmanship, is not obligated to tell the whole story(advantages and disadvantages of the products). For example, in car advertising, some advertisers oftensay that their cars are fast, safe, and luxurious, but they do not mention that these cars are the most expensive in their category. As a former director of promotion for the Time magazine, Nicholas Samstagputs it the half truth is the essence of advertising (Clark 15). That s why advertising has devaluatedsome words like real or natural which mean whatever each advertiser wants them to mean. Forexample, there are chocolate chips with all natural ingredients, all natural cosmetics and so forth(Clark 18). So we see the advertisement of Kinder chocolate saying that has only natural ingredients,without mentioning the preservatives that it contains. In addition, advertisers trying to paste up more

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