Ethics in Marketing Flashcards
It addresses principles and standards that define acceptable conduct in the market place.
Marketing Ethics
The law and regulations are generally designed to protect the consumers from unethical practices by businesses. These laws and regulations recognize that consumers have certain basic rights in the market place.
Marketing Ethics & Consumer Rights
It is the component of the marketing environment consisting of laws and their interpretations that require firms to operate under competitive conditions and to protect consumer rights.
Political-legal Environment
It has the broadest regulatory powers over marketing
Federal Trade Commission
It is where complying with laws and regulations serves customers and avoids legal problems. It also influenced the outcome of legislation through lobbying or boycotts.
Controlling the Political-Legal Environment
Marketers’ standards of conduct and moral values.
Marketing Ethics
What are the Ethics in Marketing Research?
Invalid or unreliable research studies.
Invasion of consumer privacy, not respecting confidentiality.
Disguising sales as research.
Failure to secure voluntary and informed participation.
Competitive intelligence gathering.
Consumers are concerned about privacy, and
Internet has increased privacy concerns:
(1) FTC provides consumer information about
privacy online.
(2) The U.S. government also maintains a Do Not
Call registry to prevent unwanted telemarketing.
Truth in advertising is the bedrock of this type of ethics in Marketing.
Ethics in Promotion
It is the most regulated aspect of a firm’s marketing activities.
Ethics in Pricing
What are the Four areas of Pricing that is considered Unethical and illegal?
Deceptive Pricing
Unfair Pricing
Price Discrimination
Price Fixing
- Horizontal Pricing Fixing
- Vertical Price Fixing
It is where a salesperson tries to influence lure customers into a store. Thereafter, a salesperson tries to influence to buy a higher-priced item.
Deceptive Pricing
This is when competitors are driven out by low prices the company raises price back to their former level.
Unfair Pricing
It can be unethical if similar buyers are charged different prices for the same based on their ability to pay.
Price Discrimination
It is an agreement among firms in an industry to set up prices at certain levels.
Price Fixing
Marketing philosophies, policies, procedures, and actions that have the enhancement of society’s welfare as a primary objective.
Social Responsibility in Marketing / Social Responsibility
Marketing decisions must involve consideration of general well-being and even potential global effects. Some organization help promote social causes or practice socially responsible investing.
Marketing Responsibilities
It is the production, promotion, and reclamation of environmentally sensitive products.
Green Marketing
What are the Ethical Values that can also use in Marketing?
Honesty
Responsibility
Fairness
Respect
Openness
Citizenship
It is to be truthful and forthright in our dealings with customers and stakeholders.
Honesty
It is to accept the consequences of our marketing decisions and strategies.
Responsibility
it is where trying to balance justly the needs of the buyer with the interests of the seller.
Fairness
It is to acknowledge the basic human dignity of all stakeholders.
Respect
It is to create transparency in our marketing operations.
Openness
It is to fulfill the economic, legal and societal responsibilities that serve stakeholders in a strategic manner.
Citizenship
