Marketing Principles Dr. Mary Wolfinbarger

Class Info Syllabus: Find it at my website www.csulb.edu/~mwolfin

Syllabus: Find it at my website

www.csulb.edu/~mwolfin

About Me Education: Ph.D. 1990, Marketing, University of California, Irvine M.B.P.A. 1985, Business and Public Administration, University of California, Irvine B.S. 1983, English, Vanderbilt University

Education:

Ph.D. 1990, Marketing, University of California, Irvine

M.B.P.A. 1985, Business and Public Administration, University of California, Irvine

B.S. 1983, English, Vanderbilt University

About Me Professional Experience Internal Marketing : Research for DuPont, Polaroid, Taco Bell, PG&E, Intel, UCIMC Studying online consumer behavior (Center for Research on Information Technology in Organizations) Web strategy consulting: Primal Elements (www.primalelements.com) Present research: Internal Marketing; Senior Internet Usage; email usage for HH decision making for separated spouses (Navy project); Simpsons’ fan sites and discussion groups

Professional Experience

Internal Marketing : Research for DuPont, Polaroid, Taco Bell, PG&E, Intel, UCIMC

Studying online consumer behavior (Center for Research on Information Technology in Organizations)

Web strategy consulting: Primal Elements (www.primalelements.com)

Present research: Internal Marketing; Senior Internet Usage; email usage for HH decision making for separated spouses (Navy project); Simpsons’ fan sites and discussion groups

Lecture: Why Study Marketing? How many of you bought something today? How many have seen or heard an ad today? How many of you consumed something today? How many of you engaged in word of mouth about a product/service today?

How many of you bought something today?

How many have seen or heard an ad today?

How many of you consumed something today?

How many of you engaged in word of mouth about a product/service today?

Reason #1 Marketing is a fundamental human activity it’s ubiquitous in daily life it happens around the world we can learn to make better consumer decisions

Marketing is a fundamental human activity

it’s ubiquitous in daily life

it happens around the world

we can learn to make better consumer decisions

Reason #2 Marketing impacts the economy Marketing (broadly conceptualized) is about 50% of retail sales expenses Healthy marketing systems support economic advance

Marketing impacts the economy

Marketing (broadly conceptualized) is

about 50% of retail sales expenses

Healthy marketing systems support economic advance

Peter Drucker (writing about lesser developed countries) “…in an economy that is striving to break the age-old bondage of man to misery, want and destitution, marketing is…the catalyst for transmutation of latent resources, of desires into accomplishments, and the development of responsible economic leaders and informed economic citizens.”

“…in an economy that is striving to break the age-old bondage of man to misery, want and destitution, marketing is…the catalyst for transmutation of latent resources, of desires into accomplishments, and the development of responsible economic leaders and informed economic citizens.”

Reason #3 Marketing management is essential to organizational success

Marketing management is essential to organizational success

Build a better mousetrap? …and the world will beat a path to your doorstep. Or does it???? 80-90% of new products fail Same rate for new businesses

…and the world will beat a path to your doorstep.

Or does it????

80-90% of new products fail

Same rate for new businesses

Reason #4 Marketing can contribute to societal well-being

Marketing can contribute to societal well-being

Reason #5 It’s about people (consumers) and it’s fun. (Well, it’s more fun than accounting and calculus anyway…)

It’s about people (consumers) and it’s fun.

(Well, it’s more fun than accounting and calculus anyway…)

Student Criticisms of Marketing Marketing communications are not always honest “ They can sometimes play on people’s emotions and fears and can cause them to buy things they really don’t need.” It can “psychologically manipulate” consumers (they sell the “sizzle,” not the steak). Youth may be targeted by companies selling adult products (e.g. alcohol) Marketing sells products that can be harmful Some ads are crude “ [Sex] is not necessary to sell something, and if it is, the product is not worth much!”

Marketing communications are not always honest

“ They can sometimes play on people’s emotions and fears and can cause them to buy things they really don’t need.”

It can “psychologically manipulate” consumers (they sell the “sizzle,” not the steak).

Youth may be targeted by companies selling adult products (e.g. alcohol)

Marketing sells products that can be harmful

Some ads are crude

“ [Sex] is not necessary to sell something, and if it is, the product is not worth much!”

Student Criticisms of Marketing Telemarketers! Spam! Pop-up ads! Adware! “ Sometimes I feel like I am being inundated with information involving every medium of communication, particularly advertising.” “ Marketing is ubiquitous and unrelenting to the point where it is almost inescapable…it exploits and creates stupid holidays, making us feel guilty if we don’t buy presents for our family and friends.” Sometimes minorities are stereotyped Advertising can be clichéd or corny “ 99% of commercials are so boring.” Fashion advertising emphasizes an unattainable body

Telemarketers! Spam! Pop-up ads! Adware!

“ Sometimes I feel like I am being inundated with information involving every medium of communication, particularly advertising.”

“ Marketing is ubiquitous and unrelenting to the point where it is almost inescapable…it exploits and creates stupid holidays, making us feel guilty if we don’t buy presents for our family and friends.”

Sometimes minorities are stereotyped

Advertising can be clichéd or corny

“ 99% of commercials are so boring.”

Fashion advertising emphasizes an unattainable body

My criticism of marketing Exalts the buying and consuming experience (of course) Encourages us to find meaning in things Preaches that buying things makes you happy Implicitly demeans self-control, gratitude, and transcendent (non-material) values (e.g. buy now, you deserve it….) Transforms products into objects of affection and desire through promotions and branding

Exalts the buying and consuming experience (of course)

Encourages us to find meaning in things

Preaches that buying things makes you happy

Implicitly demeans self-control, gratitude, and transcendent (non-material) values (e.g. buy now, you deserve it….)

Transforms products into objects of affection and desire through promotions and branding

My criticism of marketing Sometimes takes advantage of consumer lack of knowledge (let the buyer beware) Especially true for goods and services with “credence” qualitites Examples: car repair, plumbing, medical services, pharmaceuticals

Sometimes takes advantage of consumer lack of knowledge (let the buyer beware)

Especially true for goods and services with “credence” qualitites

Examples: car repair, plumbing, medical services, pharmaceuticals

One more criticism?: The “Paradox of Choice” Sociologist Barry Schwartz shows that more choice can make us less happy Choice has increased over time “ Maximizers” may get more than “satisficers” but may be less happy Choice increases the burdens of making “good decisions” and regret over suboptimal decisions Availability of choice raises expectations What’s the solution?

Sociologist Barry Schwartz shows that more choice can make us less happy

Choice has increased over time

“ Maximizers” may get more than “satisficers” but may be less happy

Choice increases the burdens of making “good decisions” and regret over suboptimal decisions

Availability of choice raises expectations

What’s the solution?

What’s good about marketing? Usually seeks to be successful by focusing on satisfying consumer desires (needs?) Often delivers customers what they want, when they want it, at a price they are willing to pay (More on customer focus later!) What’s the alternative?

Usually seeks to be successful by focusing on satisfying consumer desires (needs?)

Often delivers customers what they want, when they want it, at a price they are willing to pay

(More on customer focus later!)

What’s the alternative?

What is marketing anyway? Conceptualizing Marketing

Types of Marketing “Offerings” Goods are tangible

Goods

are tangible

Types of Marketing “Offerings” Services an experience provided by the application of human or mechanical skill Examples – haircut, dry cleaning, consulting, movies…

Services

an experience provided by the application of human or mechanical skill

Examples – haircut, dry cleaning, consulting, movies…

How services differ Can’t inventory Intangible Quality control difficult Often a real time performance Consumer participation

Can’t inventory

Intangible

Quality control difficult

Often a real time performance

Consumer participation

A third marketing “offering” Ideas -- the most intangible of all at worst, “spin” at best, worthy social causes are promoted Is marketing persuasion? (MOTL)

Ideas -- the most intangible of all

at worst, “spin”

at best, worthy social causes are promoted

Is marketing persuasion? (MOTL)

Marketing as Selling Ideas “Social marketing has been with us for a long time. The Greeks and Romans launched campaigns to free slaves. During the Industrial Revolution, campaigns were mounted to abolish debtor prisons and child labor and grant voting rights to women. In the past century social reform campaigns in

“Social marketing has been with us for a long time. The Greeks and Romans launched campaigns to free slaves. During the Industrial Revolution, campaigns were mounted to abolish debtor prisons and child labor and grant voting rights to women. In the past century social reform campaigns in

Selling ideas/Social Marketing America have spoken for abolition, temperance and prohibition, and women’s suffrage movements.” --James Mintz, Marketing News

America have spoken for abolition, temperance and prohibition, and women’s suffrage movements.”

--James Mintz, Marketing News

Common Social Marketing Concerns Health Environment Education Safety

Health

Environment

Education

Safety

The Marketing of Ideas/ Causes “Charitable causes and social services campaigns for funds and donations are everywhere: on TV and radio, in newspapers and magazines, in point of purchase material, in public service announcements between the coming attractions and the main feature at the local movie theater…”

“Charitable causes and social services campaigns for funds and donations are everywhere: on TV and radio, in newspapers and magazines, in point of purchase material, in public service announcements between the coming attractions and the main feature at the local movie theater…”

Cause-related marketing Supporting causes as part of marketing program Matching: e.g. Coors and clean water

Supporting causes as part of marketing program

Matching: e.g. Coors and clean water

Pro bono work Advertising and media do free work Example: Partnership for a Drug-free America

Advertising and media do free work

Example: Partnership for a Drug-free America

Goods, Services, Ideas and... You can market yourself!

You can market yourself!

Marketing Yourself! “ Starting today you are a brand. You’re every bit as much a brand as Nike, Coke, Pepsi, or the Body Shop…start thinking like your favorite brand manager and ask yourself…What is it that my product or service does that makes it different?…Start by identifying the qualities or characteristics that make you distinctive from your competitors or your colleagues…What would your colleagues…say is your greatest and clearest strength? Your most noteworthy personal trait?” -- Tom Peters “The Brand Called You,’ In Fast Company , Sept. 1997

“ Starting today you are a brand. You’re every bit as much a brand as Nike, Coke, Pepsi, or the Body Shop…start thinking like your favorite brand manager and ask yourself…What is it that my product or service does that makes it different?…Start by identifying the qualities or characteristics that make you distinctive from your competitors or your colleagues…What would your colleagues…say is your greatest and clearest strength? Your most noteworthy personal trait?” -- Tom Peters “The Brand Called You,’ In Fast Company , Sept. 1997

Profit vs. Not-for Profit Have “customers” AND donors Customers may not want product Donors may want to be involved in decisions No bottom line

Have “customers” AND donors

Customers may not want product

Donors may want to be involved in decisions

No bottom line

Profit vs. Not-for Profit Lack of marketing sophistication

Lack of marketing sophistication

Marketing as Exchange The goal of marketing is to facilitate exchanges

The goal of marketing is to facilitate exchanges

Alternatives to Exchange Origination Force Transfer

Origination

Force

Transfer

Requirements for exchange Two or more parties Parties have unsatisfied wants/needs Parties have something of value to exchange Each party has something other party wants Means of Communication & delivery (marketing!)

Two or more parties

Parties have unsatisfied wants/needs

Parties have something of value to exchange

Each party has something other party wants

Means of Communication & delivery (marketing!)

Requirements for Market Exchange A “marketplace” A medium of exchange Specialization of labor Marketing management/coordination

A “marketplace”

A medium of exchange

Specialization of labor

Marketing management/coordination

Concepts of Marketing

The Marketing Concept Achieve success by focussing on consumer needs Adapt the business to deliver what consumers want Be profitable The most important principle of marketing? “I would say the most important principle of marketing is to know your audience.” (audience=customer )

Achieve success by focussing on consumer needs

Adapt the business to deliver what consumers want

Be profitable

The most important principle of marketing?

“I would say the most important principle of marketing is to know your audience.” (audience=customer )

Keys to Implementing the Marketing Concept Research Departmental Integration Commitment to “consumer sovereignty”

Research

Departmental Integration

Commitment to “consumer sovereignty”

On Research “ More companies are increasing their research activities to pay closer attention to what consumers want. To them, the mission of marketing isn’t just persuasion, but learning how to satisfy consumer wants. Among other things, the customer demand for quality and reliability…has taught companies that it’s easier to sell products that meet the true need of consumers .” Wall Street Journal

“ More companies are increasing their research activities to pay closer attention to what consumers want. To them, the mission of marketing isn’t just persuasion, but learning how to satisfy consumer wants. Among other things, the customer demand for quality and reliability…has taught companies that it’s easier to sell products that meet the true need of consumers .” Wall Street Journal

The Marketing Mix 4 traditional P’s: Product Price Promotion Place (Distribution) 2 more: Preparedness Personnel

4 traditional P’s:

Product

Price

Promotion

Place (Distribution)

2 more:

Preparedness

Personnel

Definition of Marketing (until last year) “ Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals.” American Marketing Association Definition of Marketing, www.marketingpower.com

“ Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals.”

American Marketing Association Definition of Marketing, www.marketingpower.com

New AMA Definition (late 2004) “ Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.” Key new ideas: “value,” “customer relationships,” (the “new era orientation”), “stakeholders” (note: your text explains the “value chain”) What’s gone? “Create exchanges,” the listing of the 4 P’s, “satisfying individual and organizational goals” Creating value rather than satisfaction; benefiting stakeholders rather than indivs and organs.

“ Marketing is an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.”

Key new ideas: “value,” “customer relationships,” (the “new era orientation”), “stakeholders” (note: your text explains the “value chain”)

What’s gone? “Create exchanges,” the listing of the 4 P’s, “satisfying individual and organizational goals”

Creating value rather than satisfaction; benefiting stakeholders rather than indivs and organs.

The Marketing Concept? “ Selling is not marketing. Selling concerns itself with the tricks and techniques of getting people to exchange their cash for your product…[selling] does not, as marketing invariably does, view the entire business process as consisting of a tightly integrated effort to discover, create, arouse and satisfy customer needs.” – Theodore Levitt, “Marketing Myopia” 1960

“ Selling is not marketing. Selling concerns itself with the tricks and techniques of getting people to exchange their cash for your product…[selling] does not, as marketing invariably does, view the entire business process as consisting of a tightly integrated effort to discover, create, arouse and satisfy customer needs.” – Theodore Levitt, “Marketing Myopia” 1960

Other Marketing Philosophies Production Concept Product Concept Selling Concept Societal or Social Marketing Concept

Production Concept

Product Concept

Selling Concept

Societal or Social Marketing Concept

Production Concept Mass production Lower prices Example: Ford’s Model T

Mass production

Lower prices

Example: Ford’s Model T

Production Concept Assumption : consumers will buy it if it’s cheap Makes sense when little differentiation is demanded Makes sense for price sensitive segments

Assumption : consumers will buy it if it’s cheap

Makes sense when little differentiation is demanded

Makes sense for price sensitive segments

The Production Concept Why did Henry Ford’s production concept finally fail?

Why did Henry Ford’s production concept finally fail?

Product Concept Customers want bells and whistles and will pay “ The Engineering Fallacy” May result in unwanted products -- e.g. clear whiskey May make sense for some segments -- e.g. hobbyists Some segments and markets are novelty-driven

Customers want bells and whistles and will pay

“ The Engineering Fallacy”

May result in unwanted products -- e.g. clear whiskey

May make sense for some segments -- e.g. hobbyists

Some segments and markets are novelty-driven

Product Concept May overlook segments wanting simpler products

May overlook segments wanting simpler products

Selling Concept Company relies on sales talent May result in high pressure sales tactics Makes more sense when new product’s benefits are hard to understood

Company relies on sales talent

May result in high pressure sales tactics

Makes more sense when new product’s benefits are hard to understood

Selling Concept Can be fall-back position of marketers without enough product development More likely when salespeople feel they have one opportunity

Can be fall-back position of marketers without enough product development

More likely when salespeople feel they have one opportunity

Societal (Social) Marketing Concept Deliver consumers desired satisfactions effectively and efficiently AND serve societal well-being

Deliver consumers desired satisfactions effectively and efficiently AND serve societal well-being

Societal (social) Marketing Concept Four considerations consumer needs and wants consumer best interests profit society’s best interest (Whew!)

Four considerations

consumer needs and wants

consumer best interests

profit

society’s best interest

(Whew!)

Societal (social) Marketing Concept Any problems with this? Consumers can want what isn’t good for them Are businesses qualified to determine what is good for society? Doing social good works can make it more difficult to be profitable

Any problems with this?

Consumers can want what isn’t good for them

Are businesses qualified to determine what is good for society?

Doing social good works can make it more difficult to be profitable

Internal and External Environment

Internal Environment Increasing emphasis on internal departmental integration AND teamwork Marketing conflicts

Increasing emphasis on internal departmental integration AND teamwork

Marketing conflicts

Selected Conflicts

Selected Conflicts R & D Basic Research Functional Features Marketing Applied Research Sales Features

R & D

Basic Research

Functional Features

Marketing

Applied Research

Sales Features

Selected Conflicts Engineering Few Models Long Lead Design Time Marketing Many Models Short Lead Time

Engineering

Few Models

Long Lead Design Time

Marketing

Many Models

Short Lead Time

Selected Conflicts Finance Strict spending rationales Strict budgets Marketing Intuitive spending rationales Flexible budgets

Finance

Strict spending rationales

Strict budgets

Marketing

Intuitive spending rationales

Flexible budgets

Selected Conflicts Accounting Standard Transactions Marketing Special Terms & Discounts

Accounting

Standard Transactions

Marketing

Special Terms & Discounts

Selected Conflicts Credit Low Credit Risks Tough Credit Terms Marketing Medium Risks Easy Terms

Credit

Low Credit Risks

Tough Credit Terms

Marketing

Medium Risks

Easy Terms

How to Resolve Conflicts Market Orientation

Market Orientation

What is Market Oriented? Market information shared across the company Interfunctional decisions Result: well-coordinated decisions executed with commitment

Market information shared across the company

Interfunctional decisions

Result: well-coordinated decisions executed with commitment

What is Market Oriented? “Serial communication, when one function passes an idea or request to another routinely without interaction -- like tossing a brick with a message tied to it over a wall -- can’t build the commitment needed in a customer-driven company…”

“Serial communication, when one function passes an idea or request to another routinely without interaction -- like tossing a brick with a message tied to it over a wall -- can’t build the commitment needed in a customer-driven company…”

What is Market Oriented? “…joint opportunity analysis, in which functional and divisional people share ideas and discuss alternative solutions and approaches, leverages the different strengths of each party.” -- Benson Shapiro, Harvard Business Review

“…joint opportunity analysis, in which functional and divisional people share ideas and discuss alternative solutions and approaches, leverages the different strengths of each party.”

-- Benson Shapiro, Harvard Business Review

What is Market-Oriented? “Marketing…is the whole business seen from the point of view of its final result, that is, from the customer’s point of view.” --Peter Drucker

“Marketing…is the whole business seen from the point of view of its final result, that is, from the customer’s point of view.”

--Peter Drucker

Empirical Study, Marketing Science Institute Compared R&D, cost-cutting and market orientation ( “customer focus”) Included new biz ventures in Japan and U. S. Market oriented co’s were more profitable R&D oriented co’s add features customers may not want Cost-cutting strategy often easy to copy

Compared R&D, cost-cutting and market orientation ( “customer focus”)

Included new biz ventures in Japan and U. S.

Market oriented co’s were more profitable

R&D oriented co’s add features customers may not want

Cost-cutting strategy often easy to copy

External Environment Channel: Set of firms that cooperate to make the product available Markets consumer markets business markets government markets international markets secondary markets

Channel: Set of firms that cooperate to make the product available

Markets

consumer markets

business markets

government markets

international markets

secondary markets

The External Environment Competitors Publics Financial Publics Media Publics Citizen Action Publics The General Public

Competitors

Publics

Financial Publics

Media Publics

Citizen Action Publics

The General Public

The External Environment Citizen Action Publics “ Most boycott groups…don’t expect or even hope to gut a company’s sales with their protests. Nor do companies fear it. Still, even a small decline can have an effect…a boycott that affects sales by 5% is considered cause for concern by companies. “ Further, those likely to boycott are often the most valuable demographic group…two income families, holding college degrees and hailing from the big-spending thirty-something crowd.” Wall Street Journal

Citizen Action Publics

“ Most boycott groups…don’t expect or even hope to gut a company’s sales with their protests. Nor do companies fear it. Still, even a small decline can have an effect…a boycott that affects sales by 5% is considered cause for concern by companies.

“ Further, those likely to boycott are often the most valuable demographic group…two income families, holding college degrees and hailing from the big-spending thirty-something crowd.” Wall Street Journal

The External Environment The Macro Environment Demographics Cultural Forces Economic Forces-disposable income, foreign economies Technological Forces The Regulatory/Legal Environment Government: Federal Trade Commission Non-Government: BBB, NARB, Business and Trade Associations

The Macro Environment

Demographics

Cultural Forces

Economic Forces-disposable income, foreign

economies

Technological Forces

The Regulatory/Legal Environment

Government: Federal Trade

Commission

Non-Government: BBB, NARB,

Business and Trade Associations

Trends in the Macroenvironment Demographics Info from www.census.gov

Demographics

Info from www.census.gov

Trends in the Macroenvironment Estimated U. S. Population: About 295,000,000 One birth every 8 seconds One death every 12 seconds

Estimated U. S. Population: About 295,000,000

One birth every 8 seconds

One death every 12 seconds

Demographics Estimated World Population Over 6 billion! (6.4 billion) 4.2 births/second 1.7 deaths/second

Estimated World Population

Over 6 billion! (6.4 billion)

4.2 births/second

1.7 deaths/second

Changing face of U. S. (2000 Census) White 77.1% Black/African American 12.9 American Indian or Alaska Native 1.5 Asian 4.2 Native Hawaiian/other Pacific Islander .3 Some other race* 6.6 * Adds to more than 100% because 2.4% of people reported 2 or more races Hispanic (of any race**) 12.5% **(69% of Hispanics are classified as “white”)

White 77.1%

Black/African American 12.9

American Indian or Alaska Native 1.5

Asian 4.2

Native Hawaiian/other Pacific Islander .3

Some other race* 6.6

* Adds to more than 100% because 2.4% of people reported 2 or more races

Hispanic (of any race**) 12.5%

**(69% of Hispanics are classified as “white”)

Seniors 15% of population is currently 65+ Estimate for 2050: One in four!

15% of population is currently 65+

Estimate for 2050: One in four!

Demographics Median Income (2000) U. S. $42, 148 California 46,802 Maryland 51,695 West Va 29,052 Colorado 48,506 Texas 39,842 Alabama 33,105

Median Income (2000)

U. S. $42, 148

California 46,802

Maryland 51,695

West Va 29,052

Colorado 48,506

Texas 39,842

Alabama 33,105

Demographics *75% of jobs in services *Marrieds just over 50% of households *Nearly 1/4 of households are of single people

*75% of jobs in services

*Marrieds just over 50% of households

*Nearly 1/4 of households are of single people

Education (25+) *H. S. degree or higher 80.4% *B. S. or higher 24.4 *Grad school 15.5

*H. S. degree or higher 80.4%

*B. S. or higher 24.4

*Grad school 15.5

Technology B2C Commerce: ~$125 billion (including travel) Current retail percentage: 3.5% -5% (and growing) Eventual consumer %? 10%? 15% 25%? About 2/3s of Americans have Internet connections at home About 30% of Americans don’t use the Internet (yet) Broadband connections growing (50% of Internet HH)

B2C Commerce: ~$125 billion (including travel)

Current retail percentage: 3.5% -5% (and growing)

Eventual consumer %? 10%? 15% 25%?

About 2/3s of Americans have Internet connections at home

About 30% of Americans don’t use the Internet (yet)

Broadband connections growing (50% of Internet HH)

Marketing Ethics American Marketing Association Code of Ethics

AMA Code of Ethics Page 67 It is signed by everyone who joins the American Marketing Association

Page 67

It is signed by everyone who joins the American Marketing Association

AMA Code of Ethics Marketers’ professional conduct must be guided by The basic rule of professional ethics; not knowingly to do harm The adherence to all applicable laws and regulations The accurate representation of their education training and experience; and The active support, practice and promotion of this Code of Ethics.

Marketers’ professional conduct must be guided by

The basic rule of professional ethics; not knowingly to do harm

The adherence to all applicable laws and regulations

The accurate representation of their education training and experience; and

The active support, practice and promotion of this Code of Ethics.

AMA Code of Ethics Honesty and Fairness. Marketers shall uphold and advance the integrity, honor, and dignity of the marketing profession by Being honest in serving consumers, clients, employees, suppliers, distributors and the public Not knowingly participating in conflict of interest without prior notice to all parties involved; and Establishing equitable fee schedules...

Honesty and Fairness. Marketers shall uphold and advance the integrity, honor, and dignity of the marketing profession by

Being honest in serving consumers, clients, employees, suppliers, distributors and the public

Not knowingly participating in conflict of interest without prior notice to all parties involved; and

Establishing equitable fee schedules...

AMA Code of Ethics Rights and Duties of Parties. Participants in the marketing exchange process should be able to expect that: Products and services offered are safe and fit for their intended uses; Communications about offered products and services are not deceptive; All parties intend to discharge their obligations, financial and otherwise in good faith…..

Rights and Duties of Parties. Participants in the marketing exchange process should be able to expect that:

Products and services offered are safe and fit for their intended uses;

Communications about offered products and services are not deceptive;

All parties intend to discharge their obligations, financial and otherwise in good faith…..

AMA Code of Ethics In the area of product development management: Disclosure of all substantial risks associated with product or service usage….

In the area of product development management:

Disclosure of all substantial risks associated with product or service usage….

AMA Code of Ethics In the area of promotions: Avoidance of false and misleading advertising Rejection of high pressure manipulations, or misleading sales tactics Avoidance of sales promotions that use deception or manipulation

In the area of promotions:

Avoidance of false and misleading advertising

Rejection of high pressure manipulations, or misleading sales tactics

Avoidance of sales promotions that use deception or manipulation

AMA Code of Ethics In the area of distribution: … Not using coercion in the marketing channel Not using undue influence over the resellers’ choice to handle a product

In the area of distribution:

… Not using coercion in the marketing channel

Not using undue influence over the resellers’ choice to handle a product

AMA Code of Ethics In the area of pricing: Not engaging in price fixing Not practicing predatory pricing Disclosing the full price associated with any purchase

In the area of pricing:

Not engaging in price fixing

Not practicing predatory pricing

Disclosing the full price associated with any purchase

AMA Code of Ethics In the area of marketing research: Prohibiting selling or fund raising under the guise of doing marketing research Maintaining research integrity by avoiding misrepresentation and omission of pertinent research data Treating outside clients and suppliers fairly

In the area of marketing research:

Prohibiting selling or fund raising under the guise of doing marketing research

Maintaining research integrity by avoiding misrepresentation and omission of pertinent research data

Treating outside clients and suppliers fairly

AMA Code of Ethics Organizational Relationships … .Apply confidentiality and anonymity in professional relationships with regard to privileged information Meet obligations and responsibilities in contracts and mutual agreements in a timely manner Avoid taking the work of others, in whole, or in part, and represent this work as their own or directly benefit from it without compensation or consent of the originator or owner

Organizational Relationships

… .Apply confidentiality and anonymity in professional relationships with regard to privileged information

Meet obligations and responsibilities in contracts and mutual agreements in a timely manner

Avoid taking the work of others, in whole, or in part, and represent this work as their own or directly benefit from it without compensation or consent of the originator or owner

AMA Code of Ethics Organizational Relationships (continued) Avoid manipulation to take advantage of situations to maximize personal welfare in a way that unfairly deprives or damages the organization or others Any AMA members found to be in violation of this Code of Ethics may have his or her Association membership suspended or revoked.

Organizational Relationships (continued)

Avoid manipulation to take advantage of situations to maximize personal welfare in a way that unfairly deprives or damages the organization or others

Any AMA members found to be in violation of this Code of Ethics may have his or her Association membership suspended or revoked.