Post on 15-Apr-2017
Voluntary disclosure regimes – Ethical branding [A. CRANE, Unpacking the ethical product, Journal of Business Ethic, 2001]
MARKET REGULATION AND BUSINESS PRACTICES
THE NOTION OF ETHICAL PRODUCTS
WHAT DOES IT MEANS?
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It is assessing the ethical sustainability of products or services,
By figuring out if what we propose is usefull for the society, if it can be produced whitout harming the environment and if it can be produced respecting the workers.
We find an ethical product when the good is perceived as a result of an honest work.
WHAT IS ETHICAL PRODUCT?WHAT DOES IT MEANS?
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Whole set of issues and considerations that might be implied in the purchase decision PRODUCT SAFETY CONSUMER PRIVACY EMPLOYEE WELFARE DISCRIMINATION FAIR PRICING COMMUNITY ACTION CHARITABLE DONATION
+ FAIR TRADE
+ GENE TECHNOLOGY
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Consumers
Ethical values are now necessary to attract them
Ethical branding and ethical marketing strategies
CompaniesProblem:
Subjectivity ofperceived ethical values
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branding
Ethical Product?
Who’s it for?
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Content of Ethical Augmentation
Direction of Ethical Augmentation
Four levels:
-The product;-Its marketing; -The corporation; -The country;
Ethical Augmentation
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A B C
D E F
G H I
J K L
Product
Marketing
Corporation
Country
Negative Neutral Positive
Content of Ethical Augmentation
Direction of Ethical Augmentation
Ethical product Matrix
Product
Good Service
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MarketingMost of the ethical marketing strategies adopted by companies tends to be a falsification of the ethical perception. They seem to work as ethically correct but they are actually not.
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Corporate
needs to PROMOTE its image
Positive Messages
-social themes-environmental issues
Conquest consumer’s trust
Corporate Reputation
Good or bad reputation?
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ISRAEL
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CountryMost indirect level:
LOCAL products?
ENVIRONMENTAL impact?
BOYCOTT campaigns?
Undemocratic COUNTRIES?
ISRAEL
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Direction of ethical augmentation Negative Neutral
Positive
Consumers reactions are not always predictable
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Palm Oil
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Palm Oil free Products
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Ethical Augmentation
Direction Content
2 dimension
MATRIX
FRAMEWORKS THAT DECONSTRUCT THE PRODUCT FROM AN ETHICAL PERSPECTIVE
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FIRSTAny attempts to address products as ethical products must begin with an acknowledgement that NONE of them can be completely ETHICAL
SECONDAny ethical product augumentation attempt is likely to be complex and a time consuming activity. Many important decisions are required in order to define the right ethical boundaries
THIRDEthical branding might be particularly problematic, that’s why the firms should ensure that every aspect of the ethical branding strategy is in line with the brand image
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ETHICAL BRANDING should not be seen as a simple promotional exercise, but also as a culturale one.The firms must live the ethical values and not just espouse them.
Further researches focus their attention on the consequences of firms’ attempt to develop more ethical products and brands.
Attempts to satisfy consumers’ ethical desires A possible reaction: the precipitation in a spiral of ethical demands.
Voluntary disclosure regimes – Ethical branding
THANK YOU FOR THE ATTENTION
MATTIA PARLANGELI DAYA COSTAGLIOLA D.P. CAMILLA SANGERMANI