Ethics

1
Ethics

• IA

2
Housekeeping

• To do
• F Ethics and social issues
• M Cross-cultural research (Read Jones Ch. 5)
• W Executional styles (Peer evaluation forms,
  Read De Mooij Ch 10)
• F Adv in Latin America (Situation analysis)

3
Social Responsibility and Ethics in the Global
Marketplace

• Growing concern for social responsibility
• Consumer protection and consumerism trends have
  expanded globally
• Increased local regulation of promotional
  activities
• Discussions of liability - client /agency?

4
What Socially Responsible Marketers Should Do

• Produce high-quality goods that are safe for both
  consumers and the environment
• Pricing products responsibly
• Place responsibility - refers to the level of
  bribery and payoffs required to enter markets
  distribute products
• Promotional responsibility - refers to all
  promotional activities - not just adv.

5
KEY DAILY QUESTIONS THAT FACE ADVERTISERS

• Who should should not be advertised to?
• What should should not be advertised?
• What should should not be in the content?
• How should symbols and characters be used or not
  used?
• What should or should not be the relationship
  between agency, client, media?
• What should or should not be advertising business
  obligations vs. societal obligations?

6

• The manner in which marketers and advertisers
  have operated in developing countries has been
  controversial.

7
Why advertising may be less relevant in
developing countries

• Production is limited - buyers for all they make
• Finances limited for adv. budgets.
• Unfamiliarity with promotional concepts
• Inability to perceive its benefits
• Products usually sell themselves - word of mouth
  and personal selling more important

8
Where Advertising Has Been Useful in Developing
Countries

• Public awareness campaigns
• Assist in educating public about health concerns,
  ways to prevent illnesses
• Critics of western-style advertising claim
  consumers are vulnerable be consumers are likely
  to be poor, illiterate, lack product experience
  and have not been exposed to advertising.

9
Common Criticisms Against Adv. in Developing
Markets

• Hurts local competition - foreign company may
  outspent local by 6 to 1
• Westernizes the domestic media scene - moves from
  state owned to heavily foreign influenced
• Creates ad clutter on stations
• Too much reliance on foreign programming because
  western advertisers prefer it
• Global agencies influence on local advertising
  institution
• Influences consumers to be too materialistic

10
Not everyone agrees on marketing and advertising
effects
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