Marketing Ethics

This research updates and significantly extends Akaah and Riordon’s (J Market Res 26:112–120, 1989 ) evaluation of ethical perceptions of marketing research misconduct among marketing research professionals. In addition to examining changes in perceptions toward key marketing research practices over time, we assess professionals’ judgments on the ethicality, importance, and occurrence of a variety of new marketing research ethics situations in both online and offline contexts. In a second study, we assess ethical judgments of the public at large using a (...) representative sample of US consumers—key stakeholders ignored in prior research on unethical marketing research practices. Generally speaking, disapproval of unethical research conduct has grown across the board in the last 20 years for both managers and marketing researchers. The same misconduct elicits a stronger disapproval in the online environment compared to the offline environment. Compared to marketing researchers, managers tend to think that unethical research conduct occurs more frequently. Those who conduct marketing research or use its findings (i.e., marketing researchers and managers) are less tolerant of unethical research conduct than the general public. (shrink)

Commercial food health branding is a challenging branch of marketing because it might, at the same time, promote healthy living and be commercially viable. However, the power to influence individuals’ health behavior and overall health status makes it crucial for marketing professionals to take into account the ethical dimensions of health branding: this article presents a conceptual analysis of potential ethical problems in health branding. The analysis focuses on ethical concerns related to the application of three health brand elements (functional (...) claims, process claims, and health symbols) as well as a number of general concerns that apply to health branding as such. Being a pioneering analysis, this article advances the academic understanding of health branding and provides practitioners with knowledge of important concerns to take into account when marketing health brands. (shrink)

Ethical corporate marketing—as an organisational-wide philosophy—transcends the domains of corporate social responsibility, business ethics, stakeholder theory and corporate marketing. This being said, ethical corporate marketing represents a logical development vis-a-vis the nascent domain of corporate marketing has an explicit ethical/CSR dimension and extends stakeholder theory by taking account of an institution’s past, present and (prospective) future stakeholders. In our article, we discuss, scrutinise and elaborate the notion of ethical corporate marketing. We argue that an ethical corporate marketing positioning is a (...) prerequisite for corporations which claim to have an authentic ethical corporate identity. Our article expands and integrates extant scholarship vis-a-vis ethical corporate identities, the sustainable entrepreneur and corporate marketing. In delineating the breadth, significance, and challenges of ethical corporate marketing we make reference to the BP Deepwater Horizon (Gulf of Mexico) catastrophe of 2010. (shrink)

While considerable attention has been given to the harm done to consumers by marketing, less attention has been given to the harm done by consumers as an indirect effect of marketing activities, particularly in regard to supply chains. The recent development of dramatically expanded global supply chains has resulted in social and environmental problems upstream that are attributable at least in part to downstream marketers and consumers. Marketers have responded mainly by using corporate social responsibility (CSR) communication to counter the (...) critique of CSR practice, but these claims of ethical corporate behavior often lack credibility and can result in a backlash against brands. The article argues that more adequate attention to the harmful upstream effects of downstream marketing and consumption decisions requires greater attention to stakeholder marketing and marketer efforts to help create responsible consumers. It concludes by identifying implications for further research in this important emergent area of marketing ethics. (shrink)

The marketing of infant formula in third-world countries in the 1970s by Nestlé S.A. gave rise to a consumer boycott that came to be a widely taught case study in the field of Business Ethics. This article extends that case study by identifying three specific individuals who were associated with managing Nestlé’s response to that boycott. It reveals their subsequent direct involvement in a number of additional “classic” 1980s business scandals (some of which ended with major criminal trials and the (...) imprisonment of eminent business figures)—and describes tangential linkages to other business scandals of the time. The article discloses a behind-the-scenes pattern of business villainy, adding both depth and breadth to previous accounts of these scandals. The article offers a conceptual framework that goes beyond personal greed as an explanatory factor for such unethical behavior in the business world, suggesting the presence of personal and organizational networks of intrigue and opportunity. The linkages between the scandals suggest an epidemiological process with the plotters acting as “virus” carriers contaminating various corporate cultures. (shrink)

To date, the primary focus of research in the field of corporate social responsibility (CSR) has been on the strategic implications of CSR for corporations and less on an evaluation of CSR from a wider political, economic and social perspective. In this paper, we aim to address this gap by critically engaging with marketing campaigns of so-called ‘ethical’ bottled water. We especially focus on a major CSR strategy of a range of different companies that promise to provide drinking water for (...) (what they name as) ‘poor African people’ by way of Western consumers purchasing bottled water. Following Fairclough's approach, we unfold a three-step critical discourse analysis of the marketing campaigns of 10 such ‘ethical’ brands. Our results show that bottled water companies try to influence consumers' tastes through the management of the cultural meaning of bottled water, producing a more ‘ethical’ and ‘socially responsible’ perception of their products/brands. Theoretically, we base our analysis on McCracken's model of the cultural meaning of consumer goods, which, we argue, offers a critical perspective of the recent emergence of CSR and business ethics initiatives. We discuss how these marketing campaigns can be framed as historical struggles associated with neo-liberal ideology and hegemony. Our analysis demonstrates how such CSR strategies are part of a general process of the reproduction of capitalist modes of accumulation and legitimation through the usage of cultural categories. (shrink)

Marketing Ethics addresses head-on the ethical questions, misunderstandings and challenges that marketing raises while defining marketing as a moral activity. A substantial introduction to the ethics of marketing, exploring the integral relations of marketing and morality Identifies and discusses a series of ethical tools and the marketing framework they constitute that are required for moral marketing Considers broader meanings and background assumptions of marketing infrequently included in other marketing literature Adds direction and meaning to problems in marketing ethics through reflection (...) on concepts such as individual choice, freedom and responsibility, desire satisfaction, noncoercive exchanges, and instrumental efficiency. (shrink)

Based on three empirical studies, this research sets out to conceptualise and subsequently operationalise the construct of consumer perceived ethicality (CPE) of a company or brand. Study 1 investigates consumer meanings of the term ethical and reveals that, contrary to philosophical scholars' exclusively consequentialist or nonconsequentialist positions, consumers' ethical judgments are a function of both these evaluation principles, illustrating that not any one scholarly definition of ethics alone is capable of capturing the content domain. The resulting conceptualisation identifies six key (...) themes explicating the construct. Building upon these findings, studies 2 and 3 were conducted to operationalise CPE. Such operationalisation is an essential prerequisite for future explorations and theory development given the absence of a suitable tool to capture and quantify the strength and direction of CPE. The key focus was on developing a valid and reliable multi-item measurement tool that is practical, parsimonious and easy to administer. The scale's general applicability allows deployment in academic and business contexts as well as different research areas and doing thus facilitates the much-needed theory building in this new research area. (shrink)

This paper proposes a theory of institutional pluralism to deal with the question whether and to what extent limits should be placed on the market. It reconceives the pluralist position as it was presented by Michael Walzer and others in several respects. First, it argues that the options on the institutional menu should not be principles of distribution but rather economic mechanisms or ‘modes of provision’. This marks a shift from a distributive to a provisional logic. Second, it argues that (...) we should drop the assumption that any good should only be placed in one sphere, i.e. distributed according to one distributive principle. This marks a shift to ‘complex pluralism’: for at least some goods it is appropriate that they are provided through the market and through one or more non-market alternatives simultaneously. Finally, it argues that the often used conventionalist justification should be traded for a capability approach to the moral evaluation of markets and non-market alternatives. Any institutional option on our menu has value to the extent that it enhances the morally relevant capabilities of the producers and/or consumers of the good that is to be provided. This approach will be illustrated with two examples of goods for which it yields complex pluralist conclusions: the provision of care and the provision of media content. (shrink)

The tendency for consumers to over-indulge in purchase activities has been analyzed and discussed since the time of Plato, yet consumerism in today’s marketplace has become increasingly more prominent and pernicious. In this conceptual paper, we examine consumerism and discuss the four ways in which consumerism can undermine individuals and society. We then apply the four cardinal virtues - moderation, courage, justice and prudence - and describe how these virtues can be implemented by consumers and producers so as to result (...) in more effective achievement of the common good. As a result of this application, both consumer decision-making and producer marketing action should work to promote human flourishing. (shrink)

ABSTRACT To what extent is honesty or truthfulness morally obligatory in trade and advertising practices? It is argued here what while we have a general right, in business as elsewhere, not to be lied to, we have no general right, either in our business or other pursuits, not to be deliberately deceived. Certain restrictions on deceptive practices in trade and advertising, even unintentionally deceptive practices, are, even so, morally defensible: viz. where the practice would mislead reasonable people to a material (...) degree or where it would mislead especially vulnerable people who are predictably unreasonable. It is suggested that a code of practice for trade and advertising which exaggerates the degree of truthfulness which is morally obligatory may actually be corrupting in effect. (shrink)

Undercover marketing targets potential customers by concealing the commercial nature of an apparently social transaction. In a typical case an individual approaches a marketing target apparently to provide some information or advice about a product in a way that makes it seem like they are a fellow consumer. In another kind of case, a friend displays a product to you, and encourages its purchase, but fails to disclose their association with the marketing firm. We focus on this second type of (...) case and argue that the constitutive dispositions of friendship that provide for the development and maintenance of intimacy also render friends especially vulnerable to undercover marketing techniques and so to the exploitation of friendship for commercial ends. We show how this is corrupting both of the friendship and the commercial agent. (shrink)

In contrast to the behavioral sciences, the nature and impact of ethical procedures such as informed consent and constraints on the use of deception have been addressed infrequently in the marketing discipline. This article describes an initial investigation into the methodological and ethical practices reported in published marketing research articles since the mid-1970s. Empirical articles appearing in the Journal of Marketing Research and the Journal of Consumer Research between 1975 and 1976, 1989 and 1990, and 1996 and 1997 were coded (...) according to methodological and ethical practices employed and compared with recent trends in the social psychological research literature. The marketing findings revealed an increase over time in laboratory experimentation, the utilization of active deception and debriefing, and the use of university student samples. Although the results suggest that marketing researchers use deception with less frequency and intensity overall than social psychologists, the observed rise in deception procedures in marketing investigations stands in stark contrast to the situation in social psychology, where deception rates have been declining along with a corresponding increase in nonexperimental methodologies and nonstudent samples. The article concludes with a call for greater attention to the ethical, methodological, and disciplinary consequences of the increasing use of deception in marketing research and emphasizes the need for more complete reporting of ethical procedures in published research. (shrink)

With the shift from a society dominated mass media toward a media landscape of targeted messages, mediated social relations are also transformed. This article addresses a civil society increasingly mediated by advanced marketing communication technologies, analyzing the democratic consequences of information flows constituting new forms of social interaction. It is suggestive to think of advanced marketing technologies not as discreet components and legal codes, but as representational technologies that allow the coordination of a variety of sophisticated knowledge specialties, and as (...) laboratories that structure the relationships, possibilities, and options for managers, technicians, viewers, and distributors. By conceptualizing issues of privacy with the focus on the creation and impact of social categories, we have a chance to make the marketing representations and laboratories constructed by concentrated powers less opaque and more open to joint creation. (shrink)

“Hot seating” is a form of creative drama in which the participants play themselves but imagine themselves in someone else’s position, some taking the role of interrogators and others the role of persons in the “hot seat”. This paper documents the case of marketing students who dramatised an ethics enquiry supposedly held under the auspices of a professional marketing association to investigate breaches in its code of professional conduct. Interpretive research, in the form of a cartoon test, was employed to (...) examine the contribution of the educational drama activity to student perceptions of learning within a role-playing experientially-based marketing unit at an Australian University. Findings reveal that students preferred the hot-seating exercise to conventional teaching methods in terms of enjoyment, “real-life” experience, new understandings of both marketing and ethics, and their motivation to learn more about marketing ethics implications for themselves, customers and the profession. Strategically, the convention was found to involve the students emotionally and intellectually with some intensity, while revealing that some students may be fearful of the drama or even over-stimulated by the sometimes tense and powerful environment.This pedagogical approach was also seen to be particularly suitable for instruction for the delicate, contentious and personal issues often raised by ethics. (shrink)

In contrast to discussions of BiDil, this paper explores racial meaning-making processes around an old generic hypertension drug. By unpacking a vignette about race and thiazide outside marketing or medicine, it shows that racialization of drugs exceeds those spheres and moves in unpredictable ways.

The evidence reveals that young children are targeted by food and beverage advertisers but are unable to comprehend the commercial context and persuasive intent of marketing. Although the First Amendment protects commercial speech, it does not protect deceptive and misleading speech for profit. Marketing directed at children may fall into this category of unprotected speech. Further, children do not have the same First Amendment right to receive speech as adults. For the first time since the Federal Trade Commission's original attempt (...) to regulate marketing to children in the 1970s , the political, scientific, and legal climate coalesce to make the time well-suited to reevaluate the FTC's authority for action. This paper analyzes the constitutional authority for the FTC to regulate television food marketing directed at children as deceptive in light of the most robust public health evidence on the subject. (shrink)

Based on the reconstruction of the development of 14 food supply chain initiatives in 7 European countries, we developed a conceptual framework that demonstrates that the process of increasing the sustainability of food supply chains is rooted in strategic choices regarding governance , embedding, and marketing and in the coordination of these three dimensions that are inextricably interrelated. The framework also shows that when seeking to further develop an initiative (e.g., through scaling up or product diversification) these interrelations need continuous (...) rebalancing. We argue that the framework can serve different purposes: it can be used as an analytical tool by researchers studying food supply chain dynamics, as a policy tool by policymakers that want to support the development of sustainable food supply chains, and as a reflexive tool by practitioners and their advisors to help them to position themselves, develop a clear strategy, find the right allies, develop their skills, and build the capacities that they need. In this paper, we elaborate upon the latter function of the framework and illustrate this briefly with empirical evidence from three of the initiatives that we studied. (shrink)

Pharmaceutical and medical device companies apply social psychology to influence physicians' prescribing behavior and decision making. Physicians fail to recognize their vulnerability to commercial influences due to self-serving bias, rationalization, and cognitive dissonance. Professionalism offers little protection; even the most conscious and genuine commitment to ethical behavior cannot eliminate unintentional, subconscious bias. Six principles of influence — reciprocation, commitment, social proof, liking, authority, and scarcity — are key to the industry's routine marketing strategies, which rely on the illusion that the (...) industry is a generous avuncular partner to physicians. In order to resist industry influence, physicians must accept that they are vulnerable to subconscious bias and have both the motivation and means to resist industry influence. A culture in which accepting industry gifts engenders shame rather than gratitude will reduce conflicts of interest. If greater academic prestige accrues to distant rather than close relationships with industry, then a new social norm may emerge that promotes patient care and scientific integrity. In addition to educating faculty and students about the social psychology underlying sophisticated but potentially manipulative marketing and about how to resist it, academic medical institutions should develop strong organizational policies to counteract the medical profession's improper dependence on industry. (shrink)

Children's exposure to food marketing has exploded in recent years, along with rates of obesity and overweight. Children of color and low-income children are disproportionately at risk for both marketing exposure and becoming overweight.Comprehensive reviews of the literature show that advertising is effective in changing children's food preferences and diets.This paper surveys the scope and scale of current marketing practices, and focuses on the growing use of symbolic appeals that are central in food brands to themes such as finding an (...) identity and feeling powerful and in control.These themes are so potent because they are central to children in their development and constitution of self. The paper concludes that reduction of exposure to marketing will be a central part of any successfu anti-obesity strategy. (shrink)

A longstanding debate exists in both academic literature and popular culture about whether non-informative marketing tactics are manipulative. However, given that we tend to believe that some marketing tactics are manipulative and some are not, the question that marketers, their critics, and consumers need to ask themselves is that of how to actually determine whether any particular marketing tactic is manipulative and whether a given manipulative tactic is, in fact, immoral. This article proposes to operationalize criteria that can be used (...) by marketers for making such determinations and attempts to provide some clarification toward our under- standing of the concept of manipulation and the conditions for the moral acceptability of manipulative marketing practices. It argues that a marketing tactic is manipulative if it is intended to motivate by undermining what the marketer believes is his/her audience’s normal decision-making process either by deception or by playing on a vulnerability that the marketer believes exists in his/her audience’s normal decision-making process. Such a tactic is morally objectionable on several grounds, which make it morally impermissible unless outweighed by sufficient “redemptive” moral considerations. (shrink)

Does the level of marketing activity in a country contribute to societal well-being or quality of life? Does economic efficiency also play a positive role in societal well-being? Does economic efficiency also moderate or mediate the marketing activity effect on societal well-being? Marketing activity refers to the pervasiveness of promotion expenditures and number of retail outlets per capita in a country. Economic efficiency refers to the extent to which the economy is unhampered by corruption, burdensome government regulation, and a large (...) informal economy. We used secondary data from the World Bank and other statistical sources to answer these questions. Our study findings suggest that both marketing activity and economic efficiency contribute positively to societal well-being, and that economic efficiency plays more of a mediator than moderator role between marketing activity and societal well-being. The public policy implication of this study is that increases in marketing activity and economic efficiency in countries characterized as low on both dimensions should significantly increase the quality of life in those countries. (shrink)

As part of their corporate social responsibility, many organizations practice cause-related marketing, in which organizations donate to a chosen cause with every consumer purchase. The extant literature has identified the importance of the fit between the organization and the nature of the cause in influencing corporate image, as well as the influence of a connection between the cause and consumer preferences on brand attitudes and brand choice. However, prior research has not addressed which cause composition most appeals to consumers or (...) the impact of cause choice on corporate image. A between-subjects field experiment in the Netherlands examines the influence of three core cause attributes—cause type, cause scope, and cause acuteness—on consumers’ perceptions of corporate image. Furthermore, this experiment examines the extent to which consumer identification with the cause mediates the influence of the cause attributes on corporate image. The findings indicate that identification with the cause leads to more positive evaluations of marketing campaigns for cause type and cause scope. Also, however, our results uncover a negative direct relationship between cause scope and corporate image. Cause acuteness is only marginally influential in corporate image perceptions. By proposing and testing a comprehensive model of the influence of cause attributes on corporate image in cause-related marketing, this article provides important implications and suggests avenues for further research. (shrink)

According to Michael Sandel in recent decades we have witnessed a change in our thinking and acting. Namely we have become to think more in terms of economics and we have also started to buy and sell a lot more things. Sandel finds this troubling and presents two arguments: (1) the inequality and fairness argument, which states that such practises help to transfer inequalities, and (2) the corruption argument, which states that such practises corrupt the nature of the thing being (...) bought and sold. It is argued here that neither of those arguments works in the way Sandel intends. It is also shown that a charitable reading allows us to extract a third implicit argument which does not work either. The article ends with a brief discussion of two arguments which show promise in proving Sandel’s point, but unfortunately are left underdeveloped. (shrink)

Deception has been practiced by sellers since the beginning of the marketplace. Research in marketing ethics has established benchmarks and parameters forethical behavior that include honesty, full disclosure, equity, and fairness. Deception in marketing, however, has not received the same level of attention. This paper proposes to treat deception in marketing within the context of criminology. By examining deception in marketing within the context of criminology, additional insight can be gained into identifying its antecendents and the likelihood of its occurrence. (...) To this end, deception in marketing is interpreted under the empathy/harm matrix, Cressey’s fraud triangle, and the transparency/time-lag matrix. These frameworks are then combined into a diagram detailing antecedents affecting the likelihood of marketing agents participating in deceptive marketing actions. A number of propositions are presented. (shrink)

Discussion of marketing deception has mostly focused on two main areas: first are cases that involve the intentional deception of people who tend to have compromised intelligence, such as children or the elderly, and second are cases that involve intentional falsehoods or the withholding of vital information, such as Madoff’s exploits. This article will differ from most in the field by examining marketing practices that are generally truthful, but deceive almost everyone. These practices do not fool just small select groups, (...) but are fooling those usually assumed to be rational. For example, we love “free” merchandise so much that we are willing to irrationally settle for less to get the free product. Behavioral economists and psychologists are proving that, as Dan Ariely puts it, most all of us are “Predictably Irrational.” Is it wrong for marketers to take advantage of the mass’s foibles as it is wrong to take advantage of children? The article will look at some of the behavioral economists’ data, how that data affects the rational and ignorant person standards of marketing, and suggest the reflective rational person standard as a way to morally evaluate marketing techniques given this new data. (shrink)

Abela and Murphy (J Acad Mark Sci 36(1):39–53, 2007 ) examined Service-Dominant (S-D) logic (Vargo and Lusch, J Mark 68(1):1–17, 2004 ) from the viewpoint of Marketing Ethics and concluded that whilst S-D logic does not have explicit ethical content, the Foundational Premises (FPs) of S-D logic do have implicit ethical content. They also conclude that what may be needed to make the implicit more explicit is the addition of another FP. The aim of this article is to explore whether (...) S-D logic needs to be modified, if one wishes to construct a theoretical framework for analysis of Marketing that has ethical considerations fully integrated. We critically evaluate the claim that the FPs are inherently ethical and conclude that S-D logic should be modified. We offer an additional FP for consideration that relates to the role of personal and societal values in the co-creation of value. This FP is necessary because of the role that the ethical positions of actors play in exchange behaviour. However, it should be pointed out that whilst the article explores the ethical potential of S-D logic it does not privilege any particular ethical position or code. These concerns will be addressed in subsequent articles: the aim here is to establish the underlying rationale for including an explicit commitment to ethics in S-D logic. (shrink)

The familiar issue of corporate social responsibility takes on a new topic. Added to the list of concerns from affirmative action and environmental integrity is their growing contributions to education. At first glance, the efforts may appear to be ordinary gestures of communal good will in terms of providing computers, sponsoring book covers, and interactive materials provided by Scholastic Magazine. A closer view reveals a targeted market of student life who are vulnerable to commercials placed in these formats. Among the (...) most effective corporate intervention is Channel One News. It offers a newsworthy show but with mandatory commercial viewing. This increasing trend of corporations intervening to assist schools that need more money and/or equipment is disingenuous.In this essay, I present the background of this commercialization of education and demonstrate the violations against student autonomy and integrity. Although there may be utilitarian merits to some interventions, I argue that these infringe upon the moral value of personhood. Advertising in schools in its current practice is immoral on deontological grounds. (shrink)

In this paper I present a moral account of the legal notion of deceptive advertising. I argue that no harmful consequences to the consumer need follow from a deceptive advertisement as such, and I suggest instead that one should focus on the consequences of permitting the practise of deceptive advertising on society as a whole. After a brief account of deceptive advertising, I move to discuss the role of the reasonable person standard in its definition. One interpretation of this standard (...) is empirical, aiming to objectify the quality of misleadingness in the advertisement. I offer an alternative normative interpretation which aims to draw the line between the advertiser's responsibility and that of the consumer, between misleading and miscomprehension. I then examine and reject several possible moral grounds for condemning and prohibiting deceptive advertising. These include: harm, in the sense of welfare, to the misled consumer; harm to competitors; and a violation or a reduction of the consumer's autonomy. Finally, I explain how the effect of the practise of deceptive advertising on society as a whole should inform our normative line-drawing between misleading and miscomprehension, and how it provides the basis for the moral evaluation of deceptive advertising. (shrink)

Adriana Ayers studies the evolution of kotex advertising, focusing specifically on the way in which African American women were figured into changing advertisers’ conceptions of womanhood. The article analyzes images featured in various women’s magazines to examine how ideas surrounding menstruation were packaged and sold to women.

on copyright and product placement, their ubiquity.

This paper examines visual representation from a distinctive, interdisciplinary perspective that draws on ethics, visual studies and critical race theory. Suggests ways to clarify complex issues of representational ethics in marketing communications and marketing representations, suggesting an analysis that makes identity creation central to societal marketing concerns. Analyzes representations of the exotic Other in disparate marketing campaigns, drawing upon tourist promotions, advertisements, and mundane objects in material culture. Moreover, music is an important force in marketing communication: visual representations in music (...) promotions are also explored as data for inquiry. Offers an alternative to phenomenologically based approaches in marketing and consumer research scholarship that use consumer responses to generate data. Contributes additional insight into societal marketing and places global marketing processes within the intersection of ethics, aesthetics and representation. (shrink)

Marketing ethics is normally marketed as a sub-specialization of business ethics. In this paper, marketing ethics serves as an umbrella term for advertising, PR and sales ethics and as an example of professional ethics. To structure the paper, four approaches are distinguished, with a focus on typical professional conflicts, codes, roles or climates respectively. Since the moral climate approachis more inclusive than the other approaches, the last part of the paper deals mainly with moral climates, within the above-mentioned marketing sub-professions.

Journal of Mass Media Ethics, Volume 27, Issue 2, Page 152-154, April-June.

The Pharmaceutical Benefits Scheme, operating in Australia under the National Health Act 1953, provides citizens equal access to subsidised pharmaceuticals. With ever-increasing costs of medicines and global financial pressure on all commodities, the sustainability of the PBS is of crucial importance on many social and political fronts. Direct-to-consumer advertising (DTCA) of prescription medicines is fast expanding, as pharmaceutical companies recognise and reinforce marketing potentials not only in healthcare professionals but also in consumers. DTCA is currently prohibited in Australia, but pharmaceutical (...) companies continuously lobby for the ban to be lifted. There is evidence that such marketing strategies influence consumer behaviour and concerns have been raised about whether DTCA could affect government expenditure on the PBS in Australia. This pharmacy-based study explored Australian consumer attitudes towards DTCA and whether consumer attitudes regarding DTCA differ based on socioeconomic status, measured in terms of income and education. Consumers from different socioeconomic areas in Sydney were asked to respond to a survey about an advertisement created specifically for the promotion of a mock prescription medicine. Their views about the intent, value and reliability of the advertisement were explored. The study found that consumers of lower socioeconomic status were more likely to perceive DTCA as a source of valuable and reliable medical information, and that they were more likely to request an advertised medication from their physician. If DTCA of prescription medicines was to be introduced in Australia, an increase in government expenditure on the PBS would be anticipated. Findings of this study also expose a deficit in respect for patients’ right to autonomy and informed consent which should be based on evidence-based, unbiased, information rather than advertisements. (shrink)

Social advertising often employs persuasive imagery in support of a morally laden cause. These visual arguments can take the form of veridical representations of the given situation or the form of purposeful visual blends. Both visual routes to persuasion have serious ethical issues to confront. In what concerns the purportedly veridical images, controversies about picture retouching and framing have cast many doubts on their success in offering unmediated access to a given reality. Editorial interests have proven far too influential on (...) the destiny of what and how is presented to the audience from the amount of visual material available on a topic. Even when the audience is certain that photos are not doctored, the use of veridical images may be seen as unethical. Their disproportionate affective impact may lead the audience to hold biased opinions, since other concerns may be impossible to capture in a vivid picture. Visual blends may be the answer to this problem, employing the fictional or the figurative to help the viewer grasp the moral anatomy of a given situation. Their generous use of figurative meaning may be seen as their strength and their weakness at the same time. It makes them less likely to face accusations of distorting reality, because they do not claim to be windows on reality per se. At the same time, it makes them vulnerable to interpretations that miss their true point – one might appreciate the artistry of a visual metaphor or a visual pun and fail to consider the statement it makes about a given situation. Contemporary philosophical approaches to the place of visuals in moral persuasion inform my analysis of the use of visual arguments in charity-oriented advertising. (shrink)

It is not uncommon for advertisers to present required product disclaimers quickly at the end of advertisements. We show that fast disclaimers greatly reduce consumer comprehension of product risks and benefits, creating implications for social responsibility. In addition, across two studies, we found that disclaimer speed and brand familiarity interact to predict brand trust and purchase intention, and that brand trust mediated the interactive effect of brand familiarity and disclaimer speed on purchase intention. Our results indicate that fast disclaimers actually (...) reduce brand trust and purchase intention for unfamiliar brands, suggesting that there are both economic and social responsibility reasons to use less rapid disclaimers for unfamiliar brands. Conversely, disclaimer speed had no negative effects on brand trust and purchase intention for highly familiar brands, presenting ethical tensions between economic interests (e.g., an efficient use of advertisement time) and social responsibility. We discuss the implications of our framework for advertising ethics, for corporate social performance, and for corporate social responsibility. (shrink)

Many argue that consumers possess a “right to know” when products contain ingredients derived from genetically modified organisms, on the grounds that it would protect consumer autonomy. In this paper, I critically evaluate that claim. I begin by providing a version of the “consumer autonomy” argument, showing that its success relies on ambiguities in the notion of autonomy. I then distinguish four approaches to autonomy and articulate the circumstances under which they would support active disclosure of a product property. I (...) argue that none of these conceptions would support active disclosure of the presence of ingredients derived from genetically modified organisms. (shrink)

Television advertisements depicting the use of electronic cigarettes have recently exposed minors to images of smoking behaviors. While these advertisements are currently legal, existing laws should be interpreted or expanded to ban the commercial depiction of smoking behaviors with any product that resembles a cigarette to shield minors from potentially influential advertising.

This study investigates the persuasive advertising and informative advertising effects of CSR initiatives on corporate reputation and brand equity based on the evidence from the life insurance industry in Taiwan. The study finds, first, policyholders’ perceptions concerning the CSR initiatives of life insurance companies have positive effects on customer satisfaction, corporate reputation, and brand equity. Second, the advertising effects of the CSR initiatives on corporate reputation are only informative. Third, the impacts of CSR initiatives on brand equity include informative advertising (...) and persuasive advertising effects. This study contributes the literature by explicit defining the advertising effects of CSR initiatives. Following the first step made by McWilliams et al. (Journal of Management Studies 43(1):1–18, 2006 ), the hypotheses of this study crystallize their conceptual framework. The obtained results in this research first identify the informative advertising effects and persuasive advertising effects of CSR initiatives. (shrink)

Like all interventions in health care, direct-to-consumer advertising should be evaluated by comparing its risks to its benefits, in the context of the available or potentially available alternatives. The objective, of course, is to realize any unique benefits while minimizing the risks. On balance, the adverse effects of DTC advertising outweigh the still-unde-monstrated benefits of the advertising.

Sut Jhally begins his essay “Advertising at the Edge of the Apocalypse” with the following provocative claim: “Advertising is the most powerful and sustained system of propaganda in human history and its cumulative effects, unless quickly checked, will be responsible for destroying the world as we know it.” Jhally argues that the advertising industry, in fostering an association between human aspiration and desire for consumable goods, creates an artificial demand for such goods that is, at once, far in excess of (...) what is needed for human flourishing and catastrophic to the global environment. Jhally sees capitalism as the ultimate culprit. In a system in which wealth is defined as a “vast collection of commodities” (Marx, Capital), those who produce such commodities have no other choice but to promote excess consumption. Hence the advertising industry emerges as the propaganda arm of capitalism. My paper argues that, though Jhally’s analysis of the problem is both compelling and alarming, his diagnosis fails to reach its heart. Indeed, it is not Marx but Plato who provides us with the terms needed both to understand and respond to the problem Jhally cites. My paper provides a Platonic analysis of these issues and concludes with some suggestions as to how to address them. (shrink)

An orthodox view in marketing ethics is that it is morally impermissible to market goods to specially vulnerable populations in ways that take advantage of their vulnerabilities. In his signature article “Marketing and the Vulnerable,” Brenkert (Bus Ethics Q Ruffin Ser 1:7–20, 1998) provided the first substantive defense of this position, one which has become a well-established view in marketing ethics. In what follows, we throw new light on marketing to the vulnerable by critically evaluating key components of Brenkert’s general (...) arguments. Specifically, we contend that Brenkert has failed to offer us any persuasive reasons to think that it is immoral to market to the vulnerable in ways that take advantage of their vulnerability. Although Brenkert does highlight the fact that the specially vulnerable are at greater risk of being harmed by already immoral marketing practices (e.g., deception, manipulation), he fails to establish that the specially vulnerable are a unique moral category of market clients or that there are special moral standards that apply to them. Moreover, even if Brenkert’s position were theoretically defensible, the practical implications of his position are far less tenable than he suggests. If our criticisms are sound, then Brenkert and others who endorse his position are seriously mistaken regarding how one can permissibly market products to vulnerable populations, and, in addition, they have improperly categorized certain morally permissible marketing practices as being immoral. (shrink)

Marketers are increasingly relying on promotional practices (variously labeled as stealth marketing, hybrid messages, covert advertising) based on the diffusion of product information by third parties that appear to be independent of advertisers. In this paper, we examine to what extent the media treat their advertisers favorably, providing these advertisers’ products extra visibility in supposedly neutral editorial content. Empirically, we model the determinant of media coverage of Italian fashion products in an extended dataset of consumer magazines in Italy, France, Germany, (...) UK, and the USA. Research findings show that advertising is an important determinant of product placements in editorial content, and this result is consistent across countries and publishers. Our results imply that resource-rich advertisers engaging in compensatory advertising (that is, advertising investments that compensate poor product quality) might bias media coverage in their favor. Consumers will consequently be exposed twice to favorable messages about those products, in both advertisements and media content, resulting in higher purchases and reduced consumer welfare. (shrink)