16.5 Marketing Ethics and the Sustainable Company Flashcards
Why is good ethics important in sustainable marketing?
Good ethics are important because unethical marketing harms customers and society as a whole, damages a company’s reputation and effectiveness, and jeopardizes its survival.
What should a corporate marketing ethics policy cover?
A corporate marketing ethics policy should cover distributor relations, advertising standards, customer service, pricing, product development, and general ethical standards
What are the two philosophies that guide companies and marketing managers on issues of ethics and social responsibility?
The free market and legal system should decide such issues, meaning companies and managers are not responsible for making moral judgments.
Individual companies and managers should have a social conscience, applying high standards of ethics and morality when making decisions, regardless of what the system allows.
How can companies maintain strong customer relationships based on honesty and trust?
Companies can maintain strong customer relationships by dealing with issues of ethics and social responsibility in a proactive, open, and forthright way, and by developing standards based on personal integrity, corporate conscience, and long-run consumer welfare.
What challenges do international marketers face regarding ethics?
International marketers face challenges due to varying business standards and practices in different countries, such as the legality of bribes and kickbacks, and determining whether a company must lower its ethical standards to compete effectively in countries with lower standards.
How should companies approach ethical standards in international marketing?
Companies should make a commitment to a common set of shared standards worldwide, instead of lowering their ethical standards to compete in countries with lower standards.
What is the purpose of the CMA Code of Ethics and Standards of Practice?
The purpose of the CMA Code of Ethics and Standards of Practice is to establish and maintain high standards of practice as a fundamental responsibility to the public, essential to winning and holding consumer confidence, and forming the foundation of a successful and independent marketing industry in Canada.
What are some key principles outlined in the CMA Code of Ethics and Standards of Practice?
Some key principles include:
Truthfulness in marketing communications.
Campaign limitations to avoid disparagement or exploitation of any person or group.
Accuracy of representation in marketing products, services, or programs.
Support for claims made in marketing communications.
Avoiding disguise in marketing communications.
Refraining from disparagement of competitors.
Protection of personal privacy according to privacy laws and principles.
What are the Ten Privacy Principles?
The Ten Privacy Principles are:
Accountability: Designating individuals accountable for compliance with privacy principles.
Identifying Purposes: Identifying the purposes for which personal information is collected.
Consent: Obtaining knowledge and consent of the individual for the collection, use, or disclosure of personal information.
Limiting Collection: Limiting the collection of personal information to what is necessary for the identified purposes.
Limiting Use, Disclosure, and Retention: Using or disclosing personal information only for the purposes it was collected, unless consent is given or required by law, and retaining the information only as long as necessary.
Accuracy: Ensuring personal information is accurate, complete, and up-to-date for its intended use.
Safeguards: Protecting personal information with appropriate security safeguards.
Openness: Making information about privacy policies and practices readily available to individuals.
Individual Access: Allowing individuals to access their personal information and challenge its accuracy and completeness.
Challenging Compliance: Enabling individuals to challenge compliance with privacy principles and address concerns to designated individuals.
How do companies teach managers about ethical issues and proper responses?
Companies teach managers about ethical issues and proper responses by holding ethics workshops and seminars, creating ethics committees, appointing high-level ethics officers, and establishing their own codes of ethical conduct.
What is the purpose of Under Armour’s Code of Conduct?
Under Armour’s Code of Conduct aims to guide employees in making ethical decisions, protecting the brand’s well-being, and ensuring that all actions taken are ethically right and follow the law.
Do written codes and ethics programs ensure ethical behavior?
No, written codes and ethics programs alone do not ensure ethical behavior. Ethics and social responsibility require a total corporate commitment and must be integrated into the overall corporate culture.
What is the foundation of marketing?
The foundation of marketing is the belief that companies that fulfill the needs and wants of customers will thrive, while those that fail to meet customer needs or harm customers, others in society, or future generations will decline.
What is a sustainable company?
A sustainable company is one that creates value for customers through socially, environmentally, and ethically responsible actions.
What is the mission of sustainable marketing?
The mission of sustainable marketing is to pursue shared value and a triple bottom line: people, planet, and profits. It involves caring for the needs and wants of today’s customers while also ensuring the well-being of tomorrow’s customers, the business, shareholders, employees, and the broader world in which they live.
