Ethics In Advertising

 Ethics In Advertising:

 Advertising: the practise of attracting public attention to a

product or business for the purpose of increasing sales.

 False advertising: making statement about product that the

advertisers knows that are not true.

 How it works, making, affect on people ( ex: cigarette

companies).

 Consequences:
Consumers eventually figure out the truth and backlash is applied
which can be severe.
 Ethical Problems In Advertising:
1) Puffery statements that are not outright
lies(exaggerations)
Ex: gum company exaggerating about best taste of their
gum.
Note: FTC(Federal Trade Commission) regulates advertisings.

2) Bait and switch: advertising a product at low price while

stocks are less ( luring costumers to buy more expensive
items).

3) Advertising to children: law is passed to protect children

from deception and manipulation.

4) Telemarketing: selling directly to people through

unsolicited phone calls, emails, faxes.
(Laws allows people to sign up to do not call list).
 Ethical standards:

1) Truth: Advertising shall tell the truth, and shall reveal significant
facts, the omission of which is mislead.

2) Substantiation: Advertising claims shall be substantiated by

evidence in possession of the advertisers.

3) Comparisons: Advertising shall refrain from making false,

misleading, or wrong claims about a competitor of products.

4) Bait advertising: Advertising shall not offer products for sale

unless such offer constitutes a bonafide effort to sell at much lower
price.

5) Testimonials: shall be limited to those of competent witness who

are reflecting a real or honest experience.

6) Taste and decency: Shall be free of statements, illustrations, which

are offensive to good taste or public decency.
 Limitations: