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QUESTION 1

Green marketing is the process of promoting products or services based on their environmental
benefits. These products or services may be environmentally friendly in themselves or made in
an environmentally friendly way. The companies should be allowed to tout their green
marketing efforts because majority of the consumers prefer to pay for sustainable products.

There are few ethical standards would guide companies and advertisers in balancing creativity,
persuasive messaging, and respect for the consumer’s autonomy. The first one is all involved
in the creation of an ad, including those in the advertising, public relations, communications,
editorial and news departments should share a common objective of truth. Consumers value
ethical and honest advertising, so maintaining an objective to share the truth can help
advertisers better appeal to a wide audience while maintaining their ethics. And when creating
and sharing information, companies have an obligation to exercise the highest personal ethics.
The mission of the Institute for Advertising Ethics (IAE) is to provide education to
professionals in the advertisement industry to produce true and ethical advertisements while
demonstrating a high level of professionalism. Companies have an obligation to consumers to
provide transparency around the usage of their personal information, as well as provide details
on how any information they provide will be used. As marketers use enhanced methods to
target online behaviors and actions, consumers continue to worry about their privacy and how
companies will use their information. Government regulations have shifted the way marketers
obtain and use private information, affording more control to consumers over what they have
to share with businesses. The companies must treat all consumers fairly, although stricter rules
apply to the audience to whom ads are directed and the nature of the products or services being
represented. Last and the most important is to follow all legal regulations. All advertisers must
follow the legal regulations that apply to the industry, including any local, state and federal
laws. Various self-regulatory bodies and programs exist to address and resolve issues in
advertising. Many advertisers rely on these programs to guide their actions and better
understand the importance of ethics in advertising. The National Advertising Review Council
is a regulatory body established within the advertising industry that reviews ads geared toward
all age groups and target audiences.
QUESTION 2

The first Happy Meal was sold in 1979. Originally, the boxes were circus-themed. McDonald’s
even went to the next level and hired children’s book illustrators to make the packaging look
like retro lunch pails.

The theory of individualism considers personal benefit to be the most important factor when
making a decision. At McDonald’s, the main goal is to maximize profit for the owner and
stockholders. McDonald's marketing practice towards children because they are able to
persuade their parents to purchase their products. Children push to get the Happy Meal menu
and play on the playground provided at many establishments which drives profits. Children are
unable to drive or buy food, but their parents are. By having children go with a parent or adult,
it doubles the profit.

Utilitarian is a theory that states that happiness should be maximized while pain should be
minimized. The stakeholders are happy considering the situation. And the employees are
happy; with higher profits employees are able to have job security and higher wages. Children
are happy with their toys and playgrounds, and a clown, which is the face of the McDonald's
Corporation.

Kantian theory refers to one should do things for the right reasons. McDonald's began
marketing techniques to children out of self-interest to maximize profits. McDonald's was not
motivated to just provide a toy because it's the right thing to do, but to attract the children to
come back.

The virtue theory which states that one should express good character, which includes courage,
honesty, temperance, and justice. McDonald's is honest with their food nutrition, and variety
of products that satisfy different consumers needs. Consumers know that McDonald's provides
fast food at cheap prices. In reference to the lawsuit, Monet Parham, the consumers always
have the control and power to buy or not and Monet Parham had that control.
QUESTION 3

A stakeholder as an "individual or group that has an interest in any decision or activity of an


organization." Stakeholders may include suppliers, internal staff, members, customers
(including shareholders, investors, and consumers), regulators, and local and regional
communities. And businesses are responsible to their stakeholders.

The social implications of Fzle’s activities from its stakeholders’ perspectives are prompt loss
of customers and trust and subsequently run into misfortunes. This is because Fzle is a deeply
religious family and recognized as a good employer. Conceding that it settled on an error in
the decision of the craftsman underwriting could, in any case, save it from social kickback
however it will in any case endure some deficiency of notoriety and should remake its name.

Because of the nature of the company's product, there is also a risk to the company's reputation.
It was founded with the goal of promoting society's personal pleasure through the promotion
of sports and healthy beverages, but its excessive sugar content is a clear indicator that it has
strayed from its mission. The dissemination of this information concerning the amount of sugar
in Fzle's beverages will have a significant negative impact because customers will switch
providers, resulting in big losses. It is the company’s moral responsibility to offer solid goods
and to inform customers on the item's content. It is an untrustworthy practise to keep
information regarding an item hidden from the general public in order to obtain greater benefits
at the expense of their well-being. It is exploitative of the companies to sell unpleasant things
aimed at children when it is well aware that children cannot opt to avoid drinking beverages
with a lot of sugar. As a result of the high sugar content in the drinks, Fzle has two options.
One is to reduce the amount of sugar in beverages marketed to children and the other is to
display the levels of sugar and their health implications so that customers may decide whether
or not to consume them.
Question 4

a) The appointment of Mr. David, the current Chief Executive Officer of Apex Energy
Group, as Chairman of the Board of Directors may raise potential corporate governance
and ethical concerns such as inability of the Board of Directors to adequately oversee
the success of the senior management staff, including the Chief Executive. The primary
responsibility of a company's Board of Directors is to oversee the role and success of
the senior management team, which includes the CEO. Mr. David's ability to retain
both the Chair of the Board and the Chief Executive role is complicated by the Board's
oversight of corporate control and business success in relation to shareholders' wishes.
The Board is unlikely to provide the Chief Executive with leadership and governance,
particularly if output deteriorates. The assumption that the Chair of the Board always
has significant control on the Board's policies and activities supports this perspective.
There is a conflict of interest here especially when it comes to deciding how much the
Chief Executive should be paid. Allowing the Chief Executive Officer to Chair the
Board, which is responsible for deciding senior management salaries, including
bonuses paid at the end of the year, ensures that they can have a say in determining their
own salary. Given the Chair's considerable impact on the Board, this scenario raises a
conflict of interest. Given that all positions are full-time and need absolute effort to get
the best out of an organisation, there is a conflict of interest. The Chair of the Board's
position is to provide overall guidance to the board members in their role of executive
committee supervision. The board of directors also assigns particular priorities,
deadlines, or expectations to the senior management team. The CEO on the other hand
is frequently responsible for the day-to-day operations of an organisation, which means
that much of their time is spent providing leadership, planning, scheduling, and tracking
how employees and the whole company are doing. Moreover, CEOs are responsible for
laying out a straightforward plan for fulfilling a company's mission and priorities.
Given the responsibilities of both the Chair of the Board and the Chief Executive,
appointing Mr. David to both positions is likely to result in conflict of interest and
underperformance in both.
b) The principle that underlies this separation and the challenges that often arise from this
relationship is the agency theory. It states that the primary responsibility of a company's
management is to increase the profit or wealth of its owners. It also states the top
management team's decisions and results should be monitored by an autonomous Board
of Directors that represents the interests of shareholders. Although the agency
philosophy of division of powers, board and top management responsibilities are quite
straightforward, some of these responsibilities also clash as some members of the top
management team, including the CEO, often hold a role on the Board. This is
particularly true as the Stewardship principle, which calls for unity of command,
influences the board of directors' composition. Due to conflicts of interest, the board is
often unable to effectively carry out its oversight function. Despite this fear, making a
company's CEO chair the Board of Directors is also advantageous because it makes for
transparent and direct contact between management and the company's shareholders.
Question 5

I will go against the management because it is my responsibility to ensure products are safe to
use, operate properly, uniform and follow all specifications. All employees must protect the
company’s legality. We should comply with all environmental, safety and fair dealing laws.
The company also expects employees to be ethical and responsible when dealing with the
company’s finances, products, partnerships and public image.
The test results show that the products do not meet the quality standard but only by a very small
margin. So, I will try to present alternate solutions that can meet the quality standard. If there
are no solutions, I will inform the top management.
All in all, a code of conduct should be considered a necessity for each and every business. It
showcases the core values and mission of a company through actionable rules. Thus, it can
strengthen company culture in a business and improve engagement levels of the workforce. It
brings the mind of the management to peace as they have confidence in the presentation of the
organization and the employees, who know what behaviour is acceptable and what is not. It
should provide employees with clear guidelines and should not leave any grey space for
confusion to maintain the desired perception of your business. Therefore, every company
should make the time and effort to develop a comprehensive code of conduct.
References

1. Indeed Editorial Team. (n.d.). Advertising Ethics: What They Are and How
They Apply. Indeed. Retrieved from https://www.indeed.com/career-
advice/career-development/advertising-ethics
2. Ward, S. (n.d.). What Is Green Marketing? The Balance Small Business.
Retrieved from https://www.thebalancesmb.com/green-marketing-2948347
3. WHAT ARE STAKEHOLDERS? American Society for Quality. (n.d.).
Retrieved from https://asq.org/quality-resources/stakeholders

4. Cechova, D. (n.d.). Employee Code of Conduct: Best Practices and Examples.


peoplegoal. Retrieved from https://www.peoplegoal.com/blog/employee-code-
of-conduct

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