Mktg Law Slides

7/26/2019 Mktg Law Slides

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C L A S S 3 3 ( 6 T H A P R 2 0 1 3 ) :

M A R K E T I N G / A D V E R T I S I N G L A W S A N DE T H I C S C O D E S

BUSI 211: Business Ethics


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AGENDA2

A.Whats Up in the World Today

B.General issues in advertisin la! "contd#

$.$riticis%s o& Advertisin

'.UAE Advertisin (a!

E.)ar*etin $ode o& Ethics+. Unethical advertisin,: $ase studies and discussion

G.Thouhts o& the day

-.-o%e!or*


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A. WHATS UP


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. G!"!#$% &''!' *+!#!, &" $,+!#-&'&" %$ (C*"-,)

/

1. False, misleading or deceptive advertising

2. Disclaimers

3. Puffery

4. Endorsements and testimonials

0. ac*ain and laellin3. Special issues: Environ%ental clai%sAdvertisin to children 4e! technoloy issues rivacy la!s Industry5speci&ic re6uire%ents

"Source: International Trade%ar* Association#


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. P$$&" $", %$!%%&"0

In&or%ation %ust e placed on productpac*ain7laels aout !hat the product is8inredients8 6uantity8 %anu&acturer8 any ha9ards

associated !ith product8 so%eti%es ilinualre6uire%ents.


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6. S!&$% &''!' &" M$#!-&"3

($) E"+*"4!"-$% %$&4':So%e countries haveuidelines on environ%ental clai%s and sy%ols.

Environ%ental clai%s %ust e accurate8 speci&ic

"cant e vaue li*e reen; or environ%entally&riendly;8 and sustantiated8 not %isleadin ore


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Special issues contd=

() M$#!-&" -* 5&%,#!": T5*5-' C$'! '-,7 &" -!8-.

)any countries have la!s reulatin ads to children and %ay e asedon ae. $ant e


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Special issues contd

()N! -!5"*%*7 &''!': Bloers %ust also disclose any connections or &ree

products7services they receive.

Behavioral advertisin: coo*ies per%it %ar*eters to trac* search

6ueries or ads clic*ed and can direct tareted ads8 e.. i& youveeen clic*in on ads &or !eiht loss8 !ill send you %ore ads &ordietary products. $an e ene&icial &or oth co%panies andconsu%ers8 ut in&rines on privacy rihts.

(,) P#&+$7 %$':Govern ho! personal in&or%ation %ay

e collected8 stored8 used and shared.(!) I",'-#79'!&& #!;!4!"-'"e.. toacco8alcohol8 &ood8 drus8 health products8 &inancial services#.


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C. CRITICISMS O< ADVERTISING

What are so%e criticis%s o& advertisin,

1. I"%!"!' *" H4$" !5$+&*#:(o!ers %orals8 values8 and standards.ro%otes %aterialistic li&estyles and values.$ause consu%ers to uy thins they other!ise !ould not.Especially in&luential7predatory on vulnerale roups li*e children8 elderly8 poorC

2. A,+!#-&'&" C*"-!"-:)anipulative suestions or %isleadin7&alse in&or%ation.Se


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D. UAE LEGAL LANDSCAPE1@

UAEs 4ational )edia $ouncil issued Advertisin Standards in +e 2@1.

ectives o& Advertisin Standards:

Instil respect &or local reliious8 cultural and social values: cant disrespectIsla%8 cultural values8 or political institutionsH

Strenthen %edias &reedo% o& e


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E. MARKETING CODE O< ETHICS11

A%erican )ar*etin Association "A)A#:http:77!!!.%ar*etinpo!er.co%7aouta%a7paes7state%ent2@o&[email protected]


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AMA ETHICAL NORMS12

As )ar*eters8 !e %ust:

D* "* 5$#4. This %eansconsciously avoidin har%&ul actionsor o%issions y e%odyin hih ethical standards and adherin toall applicale la!s and reulations in the choices !e %a*e.


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AMA ETHICAL VALUES1

1. H*"!'-7L to e &orthriht in dealins !ith custo%ers and sta*eholders y:

ein truth&ul all situations and at all ti%es.

stand ehind our products i& they &ail to deliver their clai%ed ene&its.

honor our e


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A)A Ethical Falues "contd#1/

=. R!'!-L to ac*no!lede the asic hu%an dinity o& all sta*eholders y:valuin individual di&&erences and avoid stereotypin roups o& people "e..8 ender8 race8

se


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4vhG4'=Nc.

Were these ads unethical, I& so8 !hich principles didthey reach,

'iscuss usin leal principles and A)A %ar*etincode o& ethics.
http://www.youtube.com/watch?v=PRNvhGND7Kchttp://www.youtube.com/watch?v=PRNvhGND7Kc


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?OE CAMEL CASE STUD@13

'ue to &ederal la! re6uirin !arnin laels on ciarettes in 138 ciarette sales !ere declinin.To celerate =0thanniversary in 1=8 >. ?. >eynolds !anted to chane old %an; i%ae o& its $a%elciarettes !ith ?oe8 the S%ooth $haracter; cartoon ca%el. (are color&ul ad ca%pain in %ost popular%aa9ines increased %ar*et share &ro% 2.= to /.1.

E


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1=


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?*! C$4!% G#* D&'''&*"1

Even thouh it !as leal at that ti%e to use cartoons toadvertise ciarettes8 !as it ethical &or >?> to use acartoon ad ca%pain even thouh they never intendedto taret children as their consu%ers,


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E-5&$% L!"' I"+!"-*#7 (ELI) ecall: E(I &ra%e!or* is ased on / core valuesthat are in tension !ith each other:Autono%y "rihts o& individual# vs. e6uality "ood o&

co%%unity#H >ationality "reason7head# vs. sensiility

"intuition7heart#.


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= %!"'!'

2@

1. R!'*"'&&%&-&!' L!"'

'eontoloy "I%%anuel Nant#.

Falue respect and duty to help others.

E%phasi9e individual rihts and use rational thouht to%a*e decisions.

2. R!'%-' L!"':

Utilitarianis% "?ohn Stuart )ill#.

Falue %utual respect and individual responsiility.

E%phasi9e individual rihts and rely on e%otion andintuition to deter%ine !hat is the riht course o& action.


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3. R!%$-&*"'5& L!"':

>ihts5ased approach "?ohn >a!ls#.

Falue &airness and !ant to e%po!er the po!erless.

E%phasi9e "e6uality# co%%unity rihts and use rationality.

=. R!-$-&*" L!"':

Firtue ethics "Aristotle#.

Falue co%passion &or others.

E%phasi9e co%%unity rihts and rely on e%otion and intuition.

"Source: Tricia Bisou


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E(I &ra%e!or* 6uadrant22

"Source: Tricia Bisou


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G. THOUGHTS O< THE DA@2

I& advertisers spent the sa%e a%ount o& %oney oni%provin their products as they do on advertisinthen they !ouldnOt have to advertise the%.; R Will>oers

Give the% 6uality. That is the est *ind o&advertisin; R )ilton -ershey8 +ounder o& -ershey

$hocolate $o%pany


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H. HOMEWORK2/

R!$,&"': $hap o& te

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