Sl No 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. Description Acknowledgement What is meant by Advertisement What is Ethics? Ethics of Advertisement : Introduction Ethics & Advertising Ethics of Advertising Some Ethical & Moral principles The Ethics of Behavioral Advertisement Attention, But at What Cost! Benefits of Ethical Advertising Harm done by Unethical Advertising Conclusion Bibliography
What do you mean by advertisement?
Advertising is a form of communication that typically attempts to persuade potential customers to purchase or to consume more of a particular brand of product or service. “While now central to the contemporary global economy and the reproduction of global production networks, it is only quite recently that advertising has been more than a marginal influence on patterns of sales and production. The formation of modern advertising was intimately bound up with the emergence of new forms of monopoly capitalism around the end of the 19th and beginning of the 20th century as one element in corporate strategies to create, organize and where possible control markets, especially for mass produced consumer goods. Mass production necessitated mass consumption, and this in turn required a certain homogenization of consumer tastes for final products. At its limit, this involved seeking to create ‘world cultural convergence’, to homogenize consumer tastes and engineer a ‘convergence of lifestyle, culture and behaviors among consumer segments across the world’.”
What is ethics?
Ethics is a branch of philosophy which seeks to address questions about morality, such as what the fundamental semantic, ontological, and epistemic nature of ethics or morality is (meta-ethics), how moral values should be determined (normative ethics), how a moral outcome can be achieved in specific situations (applied ethics), how moral capacity or moral agency develops and what its nature is (moral psychology), and what moral values people actually abide by (descriptive ethics).
INTRODUCTION : Ethics are a collection of principles of right conduct that shape the decisions people or organizations make. Practicing ethics in marketing means deliberately applying standards of fairness, or moral rights and wrongs, to marketing decision making, behavior, and practice in the organization. In a market economy, a business may be expected to act in what it believes to be its own best interest. The purpose of marketing is to
a lack of trust. Calls for social responsibility have also subjected marketing practices to a wide range of federal and state regulations designed to either protect consumer rights or to stimulate trade.org). The Federal Trade Commission (FTC) and other federal and state government agencies are charged both with enforcing the laws and creating policies to limit unfair marketing practices. when an organization behaves ethically. its products. As a result. sometimes.ama. most organizations are very sensitive to the needs and opinions of their customers and look for ways to protect their long-term interests. consumer interest groups. This focus has come about for two reasons. for example. legal action. has developed a code of ethics (which can be viewed on its Web site at www. customers develop more positive attitudes about the firm. Several areas of concern in marketing ethics are explored in the remainder of the article. and self-regulatory groups exert considerable influence on marketing. professional associations. An organization achieves an advantage when it does a better job than its competitors at satisfying the product and service requirements of its target markets. lost business. ethical abuses frequently lead to pressure (social or government) for institutions to assume greater responsibility for their actions. As our economic system has become more successful at providing for needs and wants. there has been greater focus on organizations' adhering to ethical values rather than simply providing products. Thus.create a competitive advantage. organizations and industry groups often develop codes of ethical conduct or rules for behavior to serve as a guide in decision making. some people believe that questionable business practices abound. Self-regulation not only helps a firm avoid extensive government intervention. Not employing ethical marketing practices may lead to dissatisfied customers. it also permits it to better respond to changes in market conditions. An organization's long-term success and profitability depends on this ability to respond. Because regulation cannot be developed to cover every possible abuse. Second. bad publicity. First. the market process becomes less efficient—sometimes it is even interrupted. Since abuses do occur. or. and its services. Those organizations that develop a competitive advantage are able to satisfy the needs of both customers and the organization. When marketing practices depart from standards that society considers acceptable.
. The American Marketing Association.
in addition to products or promotional materials. Deception.UNFAIR OR DECEPTIVE MARKETING PRACTICES
Marketing practices are deceptive if customers believe they will get more value from a product or service than they actually receive. Because consumers are exposed to great quantities of information about products and firms. customers will often seek a different source. or misleading practice. when a product or service does not provide expected value. Promotion practices are deceptive when the seller intentionally misstates how a product is constructed or performs. size. in order to attract customers who are then encouraged to purchase a more expensive item). can occur when working with any element of the marketing mix. or making very low price offers available only when other items are purchased as well.
OFFENSIVE MATERIALS AND OBJECTIONABLE MARKETING PRACTICES
Marketers control what they say to customers as well as and how and where they say it. they often create
. When packages are intentionally mislabeled as to contents. often at a lower price. failing to perform promised services. television or radio programming. weight. False or greatly exaggerated product or service claims are also deceptive. are perceived as offensive. providing misleading suggested selling prices. Thus. omitting important conditions of the sale. omission. they often become skeptical of marketing claims and selling messages and act to protect themselves from being deceived. Selling hazardous or defective products without disclosing the dangers. or use information. that constitutes deceptive packaging. Deceptive pricing practices cause customers to believe that the price they pay for some unit of value in a product or service is lower than it really is. which can take the form of a misrepresentation. When events. and not honoring warranty obligations are also considered deception. or publications sponsored by a marketer. fails to disclose information regarding pyramid sales (a sales technique in which a person is recruited into a plan and then expects to make money by recruiting other people). or employs bait-and-switch selling techniques (a technique in which a business offers to sell a product or service. The deception might take the form of making false price comparisons.
where words and images may carry different meanings than they do in the host country. and editorial content selected to match the tastes and interests of targeted customers. such as the timing and frequency of sales letters or commercials. marketers should understand that there are others who are not customers who might receive their appeals and see their images and be offended. it may be putting itself in jeopardy for product claims or legal action. some people find advertising for all products promoting sexual potency to be offensive. Objectionable practices range from minor irritants. In addition. however. An organization that markets poor-quality or unsafe products is taking the chance that it will develop a reputation for poor products or service. all promotional messages must be carefully screened and tested. Thus. For example. This is particularly true when a product is being marketed in other countries. Direct marketing is also undergoing closer examination.
ETHICAL PRODUCT AND DISTRIBUTION PRACTICES
Several product-related issues raise questions about ethics in marketing. they may pressure vendors to stop carrying the product. and communication media. Beyond the target audience. Marketing appeals created to take advantage of young or inexperienced consumers or senior citizens— including advertisements. sales appeals disguised as contests.
. Among the most frequently voiced complaints are ones about products that are unsafe. annoying telemarketing calls. to those that are offensive or even illegal. and television commercials that are too long or run too frequently. In addition to being subject to consumer-protection laws and regulations. Others may be offended when a promotion employs stereotypical images or uses sex as an appeal. however. frequent changes in product features or performance.strong negative reactions. and the use and exchange of mailing lists— may also pose ethical questions. junk mail (including electronic mail). programming. or that go out of style or become obsolete before they actually need replacing. Among examples of practices that may raise ethical questions are persistent and high-pressure selling. When people feel that products or appeals are offensive. that are of poor quality in construction or content. most often concerning the quality of products and services provided. the Direct Marketing Association provides a list of voluntary ethical guidelines for companies engaged in direct marketing . such as those that often occur in the computer industry. Sometimes. that do not contain what is promoted.
There is evidence that the way consumers view themselves influences their purchasing behavior. They are resistant to give out personal information that might cause them to become a marketing target or to receive product or sales information. Ethical questions may also arise in the distribution process. Consumers. When data about products or consumers are exaggerated to make a selling point. consumers are misled. Exerting influence to cause vendors to reduce display space for competitors' products. and promotions that seek to stimulate unrecognized needs are often cited as examples of these excesses. The proliferation of information about products and services complicates decision making.
DOES MARKETING OVERFOCUS ON MATERIALISM?
Consumers develop an identity in the market place that is shaped both by who they are and by what they see themselves as becoming. management will likely make decisions based on inaccurate information. pressuring vendors to buy more than they need and pushing items that will result in higher commissions are temptations. Information gathered from research can be important to the successful marketing of products or services. or research questions are written to obtain a specific result. may view organizations' efforts to gather data from them as invading their privacy. however. Research is another area in which ethical is sues may arise.make previous models of products obsolete. For example. Because sales performance is the most common way in which marketing representatives and sales personnel are evaluated. This identity is often reflected in the brands or products they consume or the way in which they lead their lives. performance pressures exist that may lead to ethical dilemmas. Such changes can be misinterpreted as planned obsolescence. appeals exist that are designed to cause people to purchase more than they need or can afford. promising shipment when knowing delivery is not possible by the promised date. Does marketing create these wants? Clearly. Unsolicited offers of credit cards with high limits or high interest rates. Without self-imposed ethical standards in the research process. Sometimes consumer desires to achieve or maintain a certain lifestyle or image results in their purchasing more than they need or can afford. or paying vendors to carry a firm's product rather than one of its competitors are also unethical. advertising appeals touting the psychological benefits of conspicuous con sumption.
Markets are broken into segments in which people share some similar characteristics. the media. The proliferation of direct marketing and use of the Internet to market to children also raises ethical issues. associating the consumption of harmful or questionable products with a particular minority segment. and the broadcast networks. it is likely that social pressure and subsequent regulation will result. Federal regulations place limits on the types of marketing that can be directed to children. programming for children and youth in the mass media has been under scrutiny for many years. For example. Likewise. consumer and parental groups. Because their knowledge about products. Ethical issues arise when marketing tactics are designed specifically to exploit or manipulate a minority market segment. marketing to children is closely controlled. the Federal Trade Commission. Sometimes a few unscrupulous marketers design sites so that children are able to bypass adult supervision or control.
ETHICAL ISSUES IN MARKETING TO MINORITIES
The United States is a society of ever-increasing diversity. These guidelines provide clear direction to marketers. and marketing activities are monitored by the Better Business Bureau. when higher prices are charged for products sold to
. and selling strategies is usually not as well developed as that of adults. studies linking relationships between tobacco and alcohol marketing with youth consumption resulted in increased public pressure directly leading to the regulation of marketing for those products. In the United States. ethical questions sometimes arise when they are exposed to questionable marketing tactics and messages. and demeaning portrayals of a race or group. When this happens. children are likely to be more vulnerable to psychological appeals and strong images. Ethical questions may also arise when high-pressure selling is directed at a group. sometimes they present objectionable materials to underage consumers or pressure them to buy items or provide credit card numbers. Offensive practices may take the form of negative or stereotypical representations of minorities. Thus.SPECIAL ETHICAL ISSUES IN MARKETING TO CHILDREN
Children are an important marketing target for certain products.
or skimpily dressed in order to appeal to the sexual interests of males. Just as the media of social communication themselves have enormous influence everywhere. The firm must assess marketing efforts to determine whether ethical behavior would cause them to change their marketing practices. or oversimplified. in particular. has seen a tumultuous change in the way it's conducted in developing countries. When images are considered demeaning or harmful. weight. people may view them as stereotypical and offensive. The role of Information and Communication technologies: As ICTs evolve so do marketing
. formulaic. regardless of race. Ethical Issues in Marketing: Introduction: Marketing. Such practices will likely result in a bad public image and lost sales for the marketer. The oft cited dictum that only change is constant in the marketing genre is an apposite one. using media as their vehicles. Advertisements. firms must evaluate whether the targeted population is susceptible to appeals because of their minority status. Harmful stereotypes include those portraying women as obsessed with their appearance or conforming to some ideal of size. Examples of demeaning stereotypes include those in which women are presented as less intelligent.minorities. in contemporary times. or even when stores provide poorer service in neighborhoods with a high population of minority customers. sex. When targeting minorities. Four reasons are attributed to the fugacious nature of the way marketing practices are being carried out in developing countries 1. or occupation. or beauty. there have been few efforts to protect minority customers. submissive to or obsessed with men. unable to assume leadership roles or make decisions. powerful forces shaping attitudes and behavior in today's world. Unlike the legal protections in place to protect children from harmful practices. so do the images of and roles assumed by people. should be evaluated to be sure that the images projected are not offensive. When marketers present those images as overly conventional.
ETHICAL ISSUES SURROUNDING THE PORTRAYAL OF WOMEN IN MARKETING EFFORTS
As society changes. they will work to the detriment of the organization. Women have been portrayed in a variety of ways over the years. are pervasive. so advertising and marketing.
Surrogate Advertisements In India alcohol and cigarette advertisements were banned outright some years back. 4. in the hope of tapping a larger consumer base. a large multinational corporation ran an ad campaign that depicted a young woman who because of her dark facial complexion was unable to find jobs. Rapid economic expansions in countries like China and India have meant that marketers have to quickly respond to the changing socioeconomic scenarios. in these rapidly changing circumstances. In India. etiquettes of the land are not encroached upon. But as the ad showed. Millions of people have entered the middle class and millions more are poised to do so. If yesterday it was television that revolutionized the way advertisements could create a lasting impact on the consumer. marketers jump headlong in new markets without keeping in mind ethnic and social issues typical to certain areas. marketers have to respond to increasing demands from consumers. The incorporation of newer technologies has meant that a number of issues such as invasion of privacy and credibility have arisen. as soon as the woman started using the facial whiteness cream manufactured by the corporation. marketers and consumers alike face a nimiety of ethical issues that have to be addressed. However. there was a big backlash against it and the ad campaign had to be scrapped. Exploiting Social Paradigms In the hopes of making a fast buck. local and cultural sensitivities. Better and improved marketing research has meant that the entire populace is not seen in totality but rather as a congeries of different types of consumers. For the viewer
. for example. 3. alcohol and cigarette companies alike are using the avenue of surrogate advertisements to press forward their case. she got the job of her choice. Very often. The Upshot: But the outcome of such developments is that a number of ethical issues have arisen. On an ethical standpoint. Ergo. then today the internet and phone text messages are doing just that. marketers have to bear in mind national. The world today is an increasingly global village: Social and ethnic boundaries are fast falling in the wake of cable television and the like. care has to be taken in ensuring that the mores. This paper looks at some of the ethical issues in the developing countries context.practices. 2. For marketers. the consequences can be mind boggling-as incomes and spending powers rise. marketers have to exercise restraint in exploiting such social paradigms to their commercial advantage. While marketers do have to act with celerity in gaining footholds in emerging markets such as China and India. Needless to say. While the globe is indeed becoming a smaller place. marketers often resort to exploiting social paradigms typical to certain areas.
and often is. While the ad maker denied that the quickly flashed word was a subliminal message designed to surreptitiously sling mud at Gore. it certainly seams reasonable that they would also work and perhaps even work better in a visual medium such as television. According to the theory of subliminal advertising the image would. In developing countries the regulating watchdogs and related establishments are still in stages of latency so that the possibility that viewers who would be subject to such measures would probably never ever know that they were the focus of such procedures. Each year. The effects of subliminal advertisements are real and financially significant. however. Subliminal Advertisements One of the most controversial and ethical issues in advertising is regarding subliminal advertisements. It is an attempt to manipulate a person's thinking without the person realizing that any such manipulation is occurring. Time magazine reported in 1979 that messages such as 'I am an honest person' and 'Stealing is dishonest' were being utilized in over fifty department stores. the 'subtle' pointer towards the real deal is enough as the surrogate advertisements leave no ambiguity in their minds. thereby causing the viewer to negatively associate Al Gore with a rodent.though. Inserting subliminal messages in an advertisement is an inherently misleading action. The west has had its fair share of subliminal advertisements related hullabaloos primarily because the advertisement. many others. passing by so fast that it was almost unrecognizable to the conscious mind-especially when passively lulled by television. The Ethical Issue of 'Creating Demand' In the words of Pope John Paul II. concluded that 'RATS' was indeed inserted with the intention of secretly causing viewers' to associate vermin with Al Gore. a tool of the phenomenon of consumerism. marketing and regulating media themselves have been quite active in raising such issues. Sometimes advertisers speak of it as part of their task to
. some stores embed subliminal messages in their background music in an effort to discourage shoplifting. the questionable word appeared on the screen for only a microsecond (1/30th of a second). In line with the techniques of subliminal messaging. Bush subliminally flashed the word 'RATS' when criticizing Al Gore's prescription medicine plan. So. or quit smoking. During the US Presidential elections of 2000. if subliminal messages evidently work in self-help tapes and embedded in department store music. consumers spend roughly $US50 million for self-help tapes embedded with subliminal messages that are supposed to teach a person a foreign language while they sleep. indeed. advertising also can be. Additionally. it came to light that a political advertisement for George W. or help them lose weight. One department store utilizing the hidden messages reported a savings of $US600. 000 by reducing theft 37 percent during a nine month period. register in a viewer's subconscious mind.
In India a leading car manufacturer had to recall its ad campaign when it incorrectly stated that one of its car models was superior to that of its competitor's. a related issue is the entry of western discount stores that might eventually threaten the existence of millions of people employed in traditional mom-and-pop stores. While proponents of no holds barred pricing would attribute this to an unfettered free market. Since there is no element of
. an extension of this is the question of credibility. A piquant issue arises when consumerist attitudes and values are transmitted by communications media and advertising to developing countries. the issue of post purchase dissonance arises. the fact remains that the larger issue is the threat of wiping out the livelihood of a large number of people. Citing the opinion of 'experts'. serious harm can be done to them if advertising and commercial pressure become so irresponsible that communities seeking to rise from poverty to a reasonable standard of living are persuaded to seek this progress by satisfying wants that have been artificially created. Countries like India need to take a leaf out of the China book-China opened its market to these stores in 1991 and only recently allowed 100% foreign direct investment (FDI) in such ventures. While in itself this is an important ethical issue. False and Misleading Advertisements Then there is the issue of false and downright disingenuous advertisements. is also a related concern. to cause people to feel and act upon desires for items and services they would ordinarily not need. Predatory Pricing In developing nations where the bulk of the populace is still employed in small and medium enterprises. Nowadays. One states the typical examples of TeleShopping Networks (TSN) and the internet. There are two more non-contrasting viewpoints on this issue. While a judicious use of advertising can stimulate developing countries to improve their standard of living. and genuine development falls behind. In India.that is. where they exacerbate socio-economic problems and harm the poor.'create' needs for products and services . Post Purchase Dissonance-What you see is not often what you get Since very often what companies claim their products or services deliver is not what the consumers actually get. newspaper columns are rife with advertisements which blatantly compare features of brands with those of their competitors. Wal-Mart's 'takeover of small towns' in the U. the use of predatory pricing by large multinational corporations in order to wipe out competition is an ethical issue. these advertisements claim their brands to be quantitatively and qualitatively better than those of their rivals.A.S. The result of this is that they waste their resources and neglect their real needs.
Tobacco use is responsible for more than one in six deaths in the United States. tremendous cultural changes have been brought in with the advent of cable television and the exposure to western content. But in associating such concerns to the game play of market forces.' It is equally the province of direct marketers. Women and children unfortunately end up being cast as stereotypes in ad campaigns the world over.087 male and 178. the larger ethical issue is unfortunately trivialized. emphysema and vascular disease.one who excels in studies and sports alike simply because he consumes a particular health drink. Congress Office of Technology Assessment estimates the cost of smoking (direct and indirect) to the economy at $150 billion a year. and it is associated with conditions ranging from colds and gastric ulcers to chronic bronchitis. objections have been raised against advertisements that showed mothers benchmarking their children to the so called 'super-kid'. Depicting groups in stereotyped roles All too often. Yet. It is a major cause of heart disease. pushing free packs to targeted prospects and mailing slick magazines-published by tobacco companies-to influence the behavior and retain the loyalty of tens of millions of smokers And the problem is pandemic-is is prevalent in both developing as well as developed countries alike. cigarette smoking is responsible for the deaths of almost half a million people a year. An increasing percentage of those marketing dollars is dedicated to what are probably the most sophisticated consumer marketing databases in the business world. Tobacco-Creating Demand for Vice Cigarettes are one of the most heavily marketed products in China and other developing nations. compassion. In India. marketing contributes to the invidious stereotyping of particular groups that places them at a disadvantage in relation to others. Smoking caused an estimated 264. Each day more than 3.S. and understanding. Urban women are enjoying more freedom than they've had before. The Über kid In India. In the US for example. promotional campaigns of certain firms still show the Indian woman of yore-a fallback to a time when women did not enjoy the freedoms they have today. Smoking accounts for 30% of all cancer deaths. which has traditionally been a patriarchal society. a denial of the specific gifts of feminine insight. The other viewpoint states that such establishments would be punished by market forces since in today's world the consumer is undoubtedly the king. Often. 311 female deaths in the United States each year from 1995 to 1999.tangibility. Promotion of Alcohol.000 teenagers
. the consumer would typically end up getting an end product which he/she didn't literally ask for. Joe Camel's phallic face or the women in the Virginia Slims' ads who have 'come a long way. the role of women in business or professional life is depicted as a masculine caricature. The U. Tobacco advertising is no longer just the province of multi-million dollar ad budgets pushing the Marlboro Man.
developing nations populations. does act as a mirror. One of the major grouses of multinational corporations in countries like China and India is the lack of a robust legal framework that harshly penalizes violators. Many a times these companies share customer data with other companies without the explicit permission of the customers themselves. For example. This selectivity does not impart credence to the notion that advertising does no more than reflect the surrounding culture.S. Advertisers are selective about the values and attitudes to be fostered and encouraged. Data piracy is a major concern in South East nations and millions of illegal compact discs are made in such countries which cost software. promoting some while ignoring others.in the U. and disadvantaged members of society to smoke is the only way for tobacco companies to make up for the number of smokers who quit or die Intrusive Promotions A number of companies offer a plethora of freebies in terms of services and add-ons. music and movie companies billions of dollars. The tobacco industry argues that its advertising is not aimed at recruiting these young new smokers. that advertising by individual tobacco companies' targets adults only and serve only to encourage regular smokers to switch brands or to retain brand loyalty. No doubt advertising. However it has been seen that perception of cigarette brand advertising actually is higher among young smokers and that changes in market share resulting from advertising occur mainly in this segment. disingenuously. Copyright. trademark violations Copyright and trademark violations are ubiquitous throughout the developing world. In a survey conducted by the Journal of the American Medical Association. Mobile network providers in India for example are notorious for literally bombarding the users with promotional text messages. it was stated that the success of the tobacco industry is dependent on recruiting people who don't believe that tobacco killsthus enticing children. These are particularly true for telecom and internet services related companies. Its representatives say. it is a mirror that helps shape the reality it reflects. Cigarette advertising thus undoubtedly encourages youth to smoke. like the media of social communications in general. become addicted to cigarettes. But. also like media in general. however all these come with the proverbial strings attached. The issue at hand is such measures compromise the confidentiality of company-client relationships and trivialize the privacy concerns of the customers. Advertisements as Mirrors of prevailing norms Marketers clam that advertising simply mirrors the attitudes and values of the surrounding culture. the absence from
. and sometimes it presents a distorted image of reality.
accountability. protection of data (i. falsification of data). Internet economics vs. Many publications and broadcasting operations depend on advertising revenue for survival. This economic dependency of media and the power it confers upon advertisers carries with it serious responsibilities for both. Such obstruction of the democratic process also happens when. Advertising also has an indirect but powerful impact on society through its influence on media. and others. striving to deliver audiences to advertisers. competition on the Internet (hacking into data. sources of goods. traditional economics. This happens when.e. so-called sticky websites that automatically track and retain customer contact and information). For their part. freedom from invasiveness (i. instead of being a vehicle for honest expositions of candidates' views and records. This often is true of religious media as well as commercial media. must shape their content so to attract audiences of the size and demographic composition sought. The Small Print: The major ethical issues facing business over the internet are the ones regarding the small print i. employment through the net (local and global telecommuting). for example. web advertising. bias and hostility toward others. but it also can obstruct it.rather than to a reasoned sense of justice and the good of all. It happens when advertising appeals more to people's emotions and base instincts-to selfishness. disclosure and reliability of information. privacy and confidentiality. and the almost inevitable impression in commercial advertising that an abundance of possessions leads to happiness and fulfillment can be both misleading and frustrating.e. These issues include: A) Usage of obfuscating
. quality of the goods delivered. the policy notices or practices on websites. or require that office-seekers compromise their integrity and independence by over-dependence on special interests for funds. credit card numbers). and the media. to racial and ethnic prejudice and the like.advertising of certain racial and ethnic groups in some multi-racial or multi-ethnic societies can help to create problems of image and identity. the costs of advertising limit political competition to wealthy candidates or groups. On-line business has raised a host of new issues such as honesty and responsibility. 1.e. public information and financial disclosure (investor relations on the Internet). The Ethical issue of Political marketing Political advertising can support and assist the working of the democratic process. impacts of global Internet business. e-commerce The Internet is quickly becoming a major conduit for business. advertisers naturally seek to reach audiences. especially among those neglected. Ethical Issues in Internet. political advertising seeks to distort the views and records of opponents and unjustly attacks their reputations.
C) It may not contain all the disclosures D) May fail to provide a contact address or procedures for dealing with complaints. or conflict resolution E) It may not have clear access requirements or procedures for verifying a valid requester before granting access. the utopian concept of the internet is that of a valueless zone-a free network that is outside the purview of human control and restrain. This means that the World Wide Web is not the wild wild Web. There is a real need for this debate to be stimulated and structured and for it to lead to 'solutions' which are focused. The sympathizers of the site owners cited the fact that the websites are merely enabling people to exchange data over a common platform. We feel that although. but increasingly a fundamental component of it. it is essential to know who has the control and the responsibility. In India. a major debate between the erudite arose when the CEO of the Indian chapter (bazee) of ebay. Ownership and Responsibility: The internet is largely a boundary less network. corrections. Thus if one is attempting to bring a sense of ethics to the Internet in any particular instance. given the nature of the Internet. once they receive a notification or a complaint about something they are carrying or hosting. But we feel that line of reasoning is flawed. practical and urgent. The opposing view was the hosts cannot turn a blind eye to the activities being carried out through the medium of their site.
. they have to take a view. The internet is the progeny of civil society. World Wide Web versus the Wild Wild Web: To many. Increasingly the debate about the content of the Internet is not national but global. 3. What information is exchanged does not fall under the purview of the responsibilities of the website managers. not by specialists but by the general populace. they cannot possibly be expected to pre-check content. This is recognition that the Internet is not something apart from civil society. The involvement in content of companies hosting information is highly debatable.com was arrested over charges of allowing the exchange of video clips showing explicit scenes. but instead a place where values in the broadest sense should take a part in shaping content and services. F) May not be linked to or displayed on every page where information is collected 2. There are two sides to the proverbial coin: The Internet as a medium supports all kind of contents. By espousing the principle of allowing anyone to post any material on the net as a means of furthering information exchange is extended by many as the raison d'etre of absolving the hosts of complicity of posting the material.and vague language B) The policy may be hard to find or difficult to read and understand.
society as a whole · Process-orientated framework. the onus lie on themselves-for indeed. placement Specific issues in marketing ethics: Ø Market research: ethical danger points in marketing research include: . children. promotion. transparency. · Stakeholder-orientated framework .g. privacy.Price fixing .g. price. social and ethnical issues. ethical problems on the basis of the values which they infringe e. marketers have to stop indulging in unethical practices and start respecting local mores and values.targeting the vulnerable e. the elderly .Conclusion-Good Marketing Citizens All in all. analyzing ethical problems on the basis of whom they affect e. research. honesty. For the marketing fraternity to be a good ethical citizen. Possible fundamental frameworks of analysis for marketing audit are: Value-oriented framework. competitors.Price skimming
. it can be seen that ethical issues in marketing in the context of developing countries is highly sensitive to cultural.Stereotyping Ø Market audience: ethical danger points include . consumers.g. a) Ethical issues in Marketing . autonomy. Ø Pricing ethics: list of unethical pricing practice: .Invasion of privacy . Marketing ethics deals with the moral principles behind the operation and regulation of marketing. The larger issue is thus not merely an occidental versus an oriental one.g. analyzing ethical problems in terms of the categories used by marketing specialists e.Excluding potential customers from the market: selective marketing is used to discourage demand from undesirable market sectors or disenfranchise them altogether.
organizations. Because each business situation is different. At that point.
This research examines marketing ethics in the legal industry. In the final case. WalMart uses marketing ethics as an artificial concept for promotional reasons in its fight for market share in the discount retail market.Price wars . the software industry. or society. sex and profanity . and not all decisions are simple. In the first two cases.Dumping Ø Advertising and promotion: ethical pitfall: . larger firms use marketing ethics as an artificial concept to gain a competitive edge over smaller firms in their respective industries.Bid rigging . sometimes self-regulation proves insufficient to protect the interest of customers.Issues with violence. ethical issues are often more complicated than those faced in personal life— and effective decision making requires consistency. and Wal-Mart.Issues over truth and honesty . However.Negative advertising
Because marketing decisions often require specialized knowledge. many organizations have embraced ethical codes of conduct and rules of professional ethics to guide managers and employees. Ethics is sometimes used as an artificial concept to gain a competitive advantage. pressures for regulation and enactment of legislation to protect the interests of all parties in the exchange process will likely occur. Each case highlights the relationship between operating in an oligopolistic or imperfect market and the use of ethics as an artificial concept. What are the underlying circumstances or market environments in which firms try to use "'ethics" as nothing more than a marketing tool to gain advantage over their competitors?
. The question to examine involves the circumstances that make business people and business institutions act in unethical-ways..Taste and controversy .Price discrimination .
Often the same firm that is co=ended for donating money to a charity on Monday might have one of its subsidiaries or divisions hauled into court to pay a pollution fine on Tuesday. but the consumeroriented commercial software industry has been in existence fewer than 30 years. These practices ""adversely affect the credibility and health of our industry. October 10. (2)To use fair weights for measurement of the commodities. The software-industry shares something with the legal industry. 804).As an artificial business concept. they do not nec . While efficient markets may prompt firms to act smart. If industry product announcements and launch dates. and marketing sales plans were to remain credible with consumers. Business ethics provide a code of conduct for the managers." a council statement says ("'Software Firms". industry giants such as Microsoft. The law is as old as civilization... financial data. 1990. 1994. They lay down norms of behavior to be observed by the business . regardless of financial or market circumstances (Sethi. They see marketing prohibitions not in an ethical light but as restraint of trade. every segment of business activity uses ethics in this manner. (3)To pay taxes to the Government honestly. thereby helping the older firms retain an artificial competitive edge. reasingly see themselves and their profession as a professional service industry. p. On the contrary. Bl). ethics is not the domain of illegal or 'gray area" firms operating at the fringes of the marketplace. Ashton-Tate. The purpose of business ethics is to guide the markrting in performing their jobs Ethics are concered with what is right andn what is wrong in human behavior . and Lotus (now owned by IBM) formed the Software Business Practices Council. the larger software firms with markets to protect have begun to establish ethical guidelines for their industry. like the large established law firms. the larger firms believed an industry code of ethics was nee
MARKETING ETHICS AND THEIR IMPACT
Business ethics refer to moral principles which should govern business activites. p. The purpose of this council is to reform what its members call widespread. and sometimes unethical marketing and accounting practices. However. misleading. At the beginning of the decade. A few examples of good ethics are : (1)To charge fair prices from the customers.
. “ Ethics is the science of judging specifically human ends and the relationship of means to those ends . According to Garrat . The manager has to evaluate the impact of his actions on customers . objective ( ends) of business and the means adopted to achieve the objective . A few examples of unethical behavior on the part of business are as follows :
(1)Hoarding and black marketing of goods. In some way .
The purpose of business ethics is to regulate both . investors and society at large in terms of business ethics. ethics cover all possible areas of business – ends and . (2)False claim in an ad. workers. If the managers is just and fair in his behavior will be deemed to be ethical behavior whether he personally likes or not. it is also the art of controlling means so that they will serve specifically human ends. (3)Exploitation of consumers. A business practice which is against the moral principles laid down by the society is termed as unethical .
Significance of Marketing Ethics
Business ethics are relate to the behavior of business men and managers in a business situation .(4)To earn reasonable profits.” Thus .means must be justifiable as per norms of the society . (4)Offering pay – off (bribes) to government of official and politicians to get under favour. (5)Evasion of taxes.
industry managers and the society as discussed below :
(1) Customers : The customers of the business expect fair
treatment . he can adjust his actions accordingly and live harmoniously with various interest groups . etc. economic resources and for greater share of the market . adulteration . the whole society is benefited. A business following social ethics will work in the interest of customers and will desist from undesirable practices such as hording . This will enhance the image of the business. Over the next few months I would like to open a dialogue on questions regarding children’s
. which includes the nature of the audience and the nature of the product. It is unethical to deny the workers fair wages and other benefits employment . the significance of business ethics has arisen in the modern age because of the impact of marketing practices on customers . If a business is a careful about the ethical standards .
Employees : The employees have their trade unions and can pressurize the business management to pursue those which conductive to healthy relations . employees . business is responsible to act credibly and behave ethically . while the company charges their coast from customers.
(5) Society : Ethics are a part of the social environment of the
country .As a part of society .
(3) Industry : Business firms compete with each other for
(4) Managers : Business ethics serve as a clue to the
business manager as to what type of response is expect in a given situation . black – marketing .
Ethics of Advertisement: An Introduction
Advertising ethics in my view also includes truthfulness and fairness. Business ethics require them to follow fair trade practices resulting into healthy competition among the business units.
" 2. be communicated "honestly and properly. complete. or by what it fails to say.
Truthfulness in Advertising
Even today. whether it does that by what it says. without truth as the basis. though. truth and freedom are inseparable. quoting the Second Vatican Council. judgment.advertising. within the limits set by justice and charity. some advertising is simply and deliberately untrue. has its own conventions and forms of stylization. there can be no authentic exercise of freedom. starting point and criterion of discernment. and these must be taken into account when discussing truthfulness. The Catechism of the Catholic Church. but that it can distort the truth by implying things that are not so or withholding relevant facts. insists that the content of communication be "true and — within the limits set by justice and charity — complete". choice and action. "The proper exercise of the right to information demands that the content of what is communicated be true and. this can be allowable. the problem of truth in advertising is somewhat more subtle: it is not that advertising says what is overtly false.. like other forms of expression. Please join in the discussion by leaving comments below. advertising. on both the individual and social levels.
1. the content should. The Dignity of the Human Person
. As Pope John Paul II points out. moreover." To be sure. multicultural marketing and other challenges presented by taste and decency.. People take for granted some rhetorical and symbolic exaggeration in advertising. within the limits of recognized and accepted practice. Generally speaking. Included here is the obligation to avoid any manipulation of truth for any reason. by what it implies. . But it is a fundamental principle that advertising may not deliberately seek to deceive.
Also. on religion and on morality — an outlook that does not respect the true dignity and destiny of the human person. or his capacity to reflect and decide compromised. Advertising like this offends against the dignity and rights of both children and parents. the elderly. Advertising can violate the dignity of the human person both through its content — what is advertised." These abuses are not merely hypothetical possibilities but realities in much advertising today." This problem is especially acute where particularly vulnerable groups or classes of persons are concerned: children and young people.There is an "imperative requirement" that advertising "respect the human person. In such circumstances. it intrudes upon the parent-child relationship and seeks to manipulate it to its own base ends. in the hope that they will put pressure on their parents to buy products of no real benefit to them. some of the comparatively little advertising directed specifically to the elderly or culturally disadvantaged seems designed to play upon their fears so as to persuade them to allocate some of their limited resources to goods or services of dubious value. all these goods would be violated if man's lower inclinations were to be exploited. his right duty to make a responsible choice. vanity. and of techniques that manipulate and exploit human weakness. Advertising and Social Responsibility
. We have spoken already of such things as appeals to lust. on the family. the poor. his interior freedom. the manner in which it is advertised — and through the impact it seeks to make upon its audience. Much advertising directed at children apparently tries to exploit their credulity and suggestibility. envy and greed. advertisements readily become "vehicles of a deformed outlook on life. 3. the culturally disadvantaged.
the information function of media can be subverted by advertisers' pressure upon publications or
a) Economic Harms of Advertising
Advertising can betray its role as a source of information by misrepresentation and by withholding relevant facts. The ecological issue is one. without shame. More than this. those responsible for such advertising harm society and forfeit their good name and credibility. if less than admirable human tendencies are exploited.Social responsibility is such a broad concept that we can note here only a few of the many issues and concerns relevant under this heading to the question of advertising.
Harm Done by Unethical Advertising
There is nothing intrinsically good or intrinsically evil about advertising. and often does. harmful impact on individuals and society. Advertising that fosters a lavish life style which wastes resources and despoils the environment offends against important ecological concerns. if false assertions are made about goods for sale. too. must be shunned.. Communio et Progressio contains this summary statement of the problem: "If harmful or utterly useless goods are touted to the public. Sometimes. and sometimes does have. have a negative. unremitting pressure to buy articles of luxury can arouse false wants that hurt both individuals and families by making them ignore what they really need. and it can be used badly. It is a tool. an instrument: it can be used well. it also can. If it can have. exploit the sexual instincts simply to make money or which seek to penetrate into the subconscious recesses of the mind in a way that threatens the freedom of the individual . beneficial results such as those just described. And those forms of advertising which..
"sex appeal." status. The practice of "brand"-related advertising can raise serious problems. and which wants to have more. what is wrong is a style of life which is presumed to be better when it is directed toward ?having' rather than ? being'. and advertising may attempt to move people to act on the basis of irrational motives ("brand loyalty. an affront to human dignity and the common good when it occurs in affluent societies." as Pope John Paul II delineated it when he said: "It is not wrong to want to live better. But the abuse is still more grave when consumerist attitudes and values are transmitted by communications media and advertising to developing countries. advertising is used not simply to inform but to persuade and motivate — to convince people to act in certain ways: buy certain products or services. patronize certain institutions.) instead of presenting differences in product quality and price as bases for rational choice. and the like.. fashion. a direct appeal is made to his instincts — while ignoring in various ways the reality of the person as intelligent and free — then consumer attitudes and life-styles can be created which are objectively improper and often damaging to his physical and spiritual health. Often there are only negligible differences among similar products of different brands. not in order to be more but in order to spend life in enjoyment as an end in itself." This is a serious abuse. "It is true that a judicious use of advertising can stimulate developing
. though. Advertising also can be.programs not to treat of questions that might prove embarrassing or inconvenient. and often is." etc. where they exacerbate socio-economic problems and harm the poor. a tool of the "phenomenon of consumerism.. to cause people to feel and act upon cravings for items and services they do not need." Sometimes advertisers speak of it as part of their task to "create" needs for products and services — that is. "If . More often. This is where particular abuses can occur.
The result of this is that they waste their resources and neglect their real needs. Such obstruction of the democratic process also happens when. But serious harm can be done them if advertising and commercial pressure become so irresponsible that communities seeking to rise from poverty to a reasonable standard of living are persuaded to seek this progress by satisfying wants that have been artificially created. as often happens. to racial and
. political advertising seeks to distort the views and records of opponents and unjustly attacks their reputations. It is necessary always to bear in mind that there are "goods which by their very nature cannot and must not be bought or sold" and to avoid "an ?idolatry' of the market" that. The problem is particularly acute when. state-controlled systems is made more difficult by advertising that promotes consumerist attitudes and values offensive to human dignity and the common good. ignores this crucial fact. aided and abetted by advertising. It happens when advertising appeals more to people's emotions and base instincts — to selfishness.countries to improve their standard of living. or require that office-seekers compromise their integrity and independence by over-dependence on special interests for funds." Similarly. bias and hostility toward others. the task of countries attempting to develop types of market economies that serve human needs and interests after decades under centralized.
b) Harms of Political Advertising
Political advertising can support and assist the working of the democratic process. instead of being a vehicle for honest expositions of candidates' views and records. and genuine development falls behind. but it also can obstruct it. This happens when. the dignity and welfare of society's poorer and weaker members are at stake. the costs of advertising limit political competition to wealthy candidates or groups. for example.
Consider also the cultural injury done to these nations and their peoples by advertising whose content and methods.ethnic prejudice and the like — rather than to a reasoned sense of justice and the good of all. the very old. subtly or not so subtly — to set aside high artistic and moral standards and lapse into superficiality.
c) Cultural Harms of Advertising
Advertising also can have a corrupting influence upon culture and cultural values." as well as a "concern of minorities within particular nations. All too often. and the exploitation of
. In the competition to attract ever larger audiences and deliver them to advertisers. Today this kind of "domination and manipulation" via media rightly is "a concern of developing nations in relation to developed ones. communicators can find themselves tempted — in fact pressured. are at war with sound traditional values in indigenous cultures. This often is true of the way advertising treats women. etc. Communicators also can find themselves tempted to ignore the educational and social needs of certain segments of the audience — the very young. We have spoken of the economic harm that can be done to developing nations by advertising that fosters consumerism and destructive patterns of consumption.) of the kinds of audiences advertisers want to reach. advertising contributes to the invidious stereotyping of particular groups that places them at a disadvantage in relation to others. the poor — who do not match the demographic patterns (age." The indirect but powerful influence exerted by advertising upon the media of social communications that depend on revenues from this source points to another sort of cultural concern. habits of buying and consuming. reflecting those prevalent in the first world. education. In this way the tone and indeed the level of moral responsibility of the communications media in general are lowered. income. tawdriness and moral squalor.
is a frequent. the communications media have made pornography and violence accessible to a vastly expanded audience. including young people and even children. pornography and the exaltation of violence are age-old realities of the human condition. deplorable abuse."
.women. and understanding. compassion. Frequently it deliberately appeals to such motives as envy. Today. a denial of the specific gifts of feminine insight. What this Pontifical Council said several years ago about pornography and violence in the media is no less true of certain forms of advertising: "As reflections of the dark side of human nature marred by sin. perverse. which so greatly contribute to the ? civilization of love'?"
d) Moral and Religious Harms of Advertising
Advertising can be tasteful and in conformity with high moral standards. and occasionally even morally uplifting. status seeking and lust. At a time of widespread and unfortunate confusion about moral norms. however. they have taken on new dimensions and have become serious social problems. but it also can be vulgar and morally degrading. some advertisers consciously seek to shock and titillate by exploiting content of a morbid. pornographic nature. too. "How often are they treated not as persons with an inviolable dignity but as objects whose purpose is to satisfy others' appetite for pleasure or for power? How often is the role of woman as wife and mother undervalued or even ridiculed? How often is the role of women in business or professional life depicted as a masculine caricature. and a problem which at one time was confined mainly to wealthy countries has now begun. both in and by advertising. to corrupt moral values in developing nations. In the past quarter century. via the communications media.
advertising sometimes is used to promote products and inculcate attitudes and forms of behavior contrary to moral norms. with the advertising of contraceptives. so-called "safe sex". for instance. That is the case. In cases of the first sort. commercial advertisers sometimes include religious themes or use religious images or personages to sell products. In cases of the second sort. but the practice is obnoxious and offensive when it involves exploiting religion or treating it flippantly. and similar practices.
.We note. certain special problems relating to advertising that treats of religion or pertains to specific issues with a moral dimension. abortifacients and products harmful to health. too. It is possible to do this in tasteful. acceptable ways. and with government-sponsored advertising campaigns for artificial birth control.
.yahoo.co. Aaker: Prentice Hall India.in 2. Myers & David A.org 4. John G.com 3. Philip kotler
6.google . www.
Advertising Management: Rajeev Batra.wikipedia. Chris Moore of Ogilvy & Mather 5. www. www.