Week Two – 2/28/13Ethics in Advertising and Marketing            Ethics in Advertising and Marketing
Week Two - Agenda•   Administrivia•   Framework for Ethics•   Review Examples in Light of Framework•   Facebook Case, Othe...
Administrivia• Instructor - Jennifer Beever IMCP• jenbeever@gmail.com• 818-347-4248 (cell)• Slides posted on Slideshare  h...
DefinitionsMarketing ethics is the systematic study of howmoral standards are applied to marketingdecisions, behaviors, an...
DefinitionsEthical marketing refers to practices thatemphasize transparent, trustworthy, andresponsible personal and/or or...
Basic Perspectives for Evaluating and Improving Marketing Ethics                                    BP3: Marketers are res...
Basic Perspectives for Evaluating and Improving Marketing Ethics               BP1: Ethical marketing puts people first   ...
BP1: Put people first• Needs and desires of target audience drive  marketing• Net benefits to society  – Tobacco industry ...
BP1: Put people first• People are not a means to an end  – High pressure selling  – Coercion in distribution  – Over the t...
Basic Perspectives for Evaluating and Improving Marketing Ethics               BP1: Ethical marketing puts people first   ...
BP2: Exceed Legal Requirements• Marketing Law  – Anti-trust Law (unfair competition)  – FTC – sales and trading practices ...
BP2: Exceed Legal Requirements• Marketing ethics  – American Marketing Association’s Statement of    Ethics               ...
Basic Perspectives for Evaluating and Improving Marketing Ethics             BP3: Marketers are responsible for whatever  ...
BP3: Responsible for intended means              to an end• The intent of the action• The means or method by which the pra...
Basic Perspectives for Evaluating and Improving Marketing Ethics                                    BP3: Marketers are res...
BP4: Differences in Moral Imagination          and Development• Egoistic or relativistic marketing managers  – “Everyone e...
Basic Perspectives for Evaluating and Improving Marketing Ethics                                    BP3: Marketers are res...
Hunky Dory Chips Rugby Sponsorship                               BP3: Marketers are responsible for                       ...
Hunky Dory Chips – Largo FoodsHunky Dorys is known for its fun, extrovert and cheeky naturewith strong flavours, including...
Bolthouse Eat Em Like Junk Food                            BP3: Marketers are responsible for                            w...
Other• http://www.youtube.com/watch?v=Zkjj-  xHqeH0                Ethics in Advertising and Marketing
Facebook Case Study• Where do you draw the line between general  information that can be shared and personal  information ...
Facebook Case Study• In what way do you think Facebook’s growth  around the workd both helped and hurt its  ability to pro...
Facebook Case Study• Despite criticism and even news of user  information leaks, Facebook continues to  grow exponentially...
Trust• Trust = (Credibility +  Reliability + Intimacy) /  Selfishness.• “Be in the relationship  before the sale.”• “In so...
Transparency• Emails – CAN SPAM Act• Social Media Profiles  – Same photo  – Person not company• Websites  – Real people at...
Group Project• All must have documented sources• Presentations (Guy Kawasaki’s 10-20-30)    – http://vimeo.com/56559291•  ...
Homework For Class Three, 3/7• Casas Bahia Case Study (3 pages, 4 total)  http://www.scribd.com/NewIncite• Montenegro Elec...
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Ethics week 2

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Ethics week 2

  1. 1. Week Two – 2/28/13Ethics in Advertising and Marketing Ethics in Advertising and Marketing
  2. 2. Week Two - Agenda• Administrivia• Framework for Ethics• Review Examples in Light of Framework• Facebook Case, Other Social Media Cases?• Trust and Transparency in Social Media• Brief Discussion, Group Project Options Ethics in Advertising and Marketing
  3. 3. Administrivia• Instructor - Jennifer Beever IMCP• jenbeever@gmail.com• 818-347-4248 (cell)• Slides posted on Slideshare http://www.slideshare.net/jenbeever• Documents/cases posted on Scribd http://www.scribd.com/NewIncite Ethics in Advertising and Marketing
  4. 4. DefinitionsMarketing ethics is the systematic study of howmoral standards are applied to marketingdecisions, behaviors, and institutions. – Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 4 Ethics in Advertising and Marketing
  5. 5. DefinitionsEthical marketing refers to practices thatemphasize transparent, trustworthy, andresponsible personal and/or organizationalmarketing policies and actions that exhibitintegrity as well as fairness to consumers andother stakeholders.– Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 4 Ethics in Advertising and Marketing
  6. 6. Basic Perspectives for Evaluating and Improving Marketing Ethics BP3: Marketers are responsible for whatever they intend as a means or end with a marketing actionBP5: Marketers should articulate and embrace BP6: Adoption of a stakeholder orientation is a core set of ethical principles essential to ethical marketing decisions BP1: Ethical marketing puts people firstBP4: Organizations should cultivate better and BP7: Organizations should delineate an ethical higher moral imagination in their managers decisions making protocol and employees BP2: Ethical marketers must achieve a behavioral standard above the law Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  7. 7. Basic Perspectives for Evaluating and Improving Marketing Ethics BP1: Ethical marketing puts people first Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  8. 8. BP1: Put people first• Needs and desires of target audience drive marketing• Net benefits to society – Tobacco industry – Market credit cards to students Ethics in Advertising and Marketing
  9. 9. BP1: Put people first• People are not a means to an end – High pressure selling – Coercion in distribution – Over the top approaches to an end People are not a means – Sexual exploitation or ethnic stereotyping – Price gouging when there is a shortage Ethics in Advertising and Marketing
  10. 10. Basic Perspectives for Evaluating and Improving Marketing Ethics BP1: Ethical marketing puts people first BP2: Ethical marketers must achieve a behavioral standard above the law Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  11. 11. BP2: Exceed Legal Requirements• Marketing Law – Anti-trust Law (unfair competition) – FTC – sales and trading practices – Ad Standards Authority (UK, Independent) – EU Misleading & Comparative Marketing Communications Regulations of 2007 – US Consumer Product Safety Commission Ethics in Advertising and Marketing
  12. 12. BP2: Exceed Legal Requirements• Marketing ethics – American Marketing Association’s Statement of Ethics Ethics in Advertising and Marketing
  13. 13. Basic Perspectives for Evaluating and Improving Marketing Ethics BP3: Marketers are responsible for whatever they intend as a means or end with a marketing action BP1: Ethical marketing puts people first BP2: Ethical marketers must achieve a behavioral standard above the law Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  14. 14. BP3: Responsible for intended means to an end• The intent of the action• The means or method by which the practice was implemented• The end or outcomes Ethics in Advertising and Marketing
  15. 15. Basic Perspectives for Evaluating and Improving Marketing Ethics BP3: Marketers are responsible for whatever they intend as a means or end with a marketing action BP1: Ethical marketing puts people firstBP4: Organizations should cultivate better and higher moral imagination in their managers and employees BP2: Ethical marketers must achieve a behavioral standard above the law Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  16. 16. BP4: Differences in Moral Imagination and Development• Egoistic or relativistic marketing managers – “Everyone else is doing it!”• Legalist marketing managers – “We didn’t break the law!”• Moral strivers – “My boss told me to do it…”• Principled marketing managers – Apply ethical norms, laws, imagination, principle Ethics in Advertising and Marketing
  17. 17. Basic Perspectives for Evaluating and Improving Marketing Ethics BP3: Marketers are responsible for whatever they intend as a means or end with a marketing actionBP5: Marketers should articulate and embrace BP6: Adoption of a stakeholder orientation is a core set of ethical principles essential to ethical marketing decisions BP1: Ethical marketing puts people firstBP4: Organizations should cultivate better and BP7: Organizations should delineate an ethical higher moral imagination in their managers decisions making protocol and employees BP2: Ethical marketers must achieve a behavioral standard above the law Ethics in Marketing, International Cases and Perspectives, Patrick E. Murphy, Gene R. Laczniak, and Andrea Prothero, p. 7 Ethics in Advertising and Marketing
  18. 18. Hunky Dory Chips Rugby Sponsorship BP3: Marketers are responsible for whatever they intend as a means or end with a marketing action BP1: Ethical marketing puts people first BP4: Organizations should cultivatebetter and higher moral imagination in their managers and employees BP2: Ethical marketers must achieve a http://www.youtube.c behavioral standard above the law om/watch?v=LFaPbTo oPN8 Ethics in Advertising and Marketing
  19. 19. Hunky Dory Chips – Largo FoodsHunky Dorys is known for its fun, extrovert and cheeky naturewith strong flavours, including the infamous Buffalo flavour,inspired by the herd of Buffalo based near the factory in Co.Meath.Hunky Dorys campaigns over the years have been edgier thanyour typical crisp brand. A playful and exciting brand, HunkyDorys has a great sense of humour. Communication is vital tothe brand’s values and it engages with the target audience in ahumorous and entertaining manner. Most recently, the HunkyDorys 2010 ‘Rugby’ campaign was a massive success and hasseen brand growth extend to over €1.5 million in the pastyear. http://www.taytocrisps.ie/ Ethics in Advertising and Marketing
  20. 20. Bolthouse Eat Em Like Junk Food BP3: Marketers are responsible for whatever they intend as a means or end with a marketing action BP1: Ethical marketing puts people first BP4: Organizations should cultivatebetter and higher moral imagination in their managers and employees BP2: Ethical marketers must achieve http://www.youtube.com/watc a behavioral standard above the law h?v=DbZHasnugts Ethics in Advertising and Marketing
  21. 21. Other• http://www.youtube.com/watch?v=Zkjj- xHqeH0 Ethics in Advertising and Marketing
  22. 22. Facebook Case Study• Where do you draw the line between general information that can be shared and personal information that should never be given to an advertiser?• How much responsibility falls on Facebook users? Advertisers? Facebook itself? Do you know of examples of how Facebook’s ever- changing privacy policy has affected you or your friends, like it did for Daniel and Jane? Ethics in Advertising and Marketing
  23. 23. Facebook Case Study• In what way do you think Facebook’s growth around the workd both helped and hurt its ability to protect its users? What are the costs and benefits?• Is Facebook, a company whose mission is to make the world more open, in conflict with its own identity when it tries to restrict access to user information? Ethics in Advertising and Marketing
  24. 24. Facebook Case Study• Despite criticism and even news of user information leaks, Facebook continues to grow exponentially. As a result, have Facebook users become too “hooked” to forgo social networking even if their privacy is sacrificed? How dependent are we on Facebook? Ethics in Advertising and Marketing
  25. 25. Trust• Trust = (Credibility + Reliability + Intimacy) / Selfishness.• “Be in the relationship before the sale.”• “In social media, human is the new black.”• “Be worthy of being liked.” Ethics in Advertising and Marketing
  26. 26. Transparency• Emails – CAN SPAM Act• Social Media Profiles – Same photo – Person not company• Websites – Real people at the company – Physical address if possible Ethics in Advertising and Marketing
  27. 27. Group Project• All must have documented sources• Presentations (Guy Kawasaki’s 10-20-30) – http://vimeo.com/56559291• Infographic, mock ad• Skit or role play, video• Get creative!• Given case or your choice of topic Ethics in Advertising and Marketing
  28. 28. Homework For Class Three, 3/7• Casas Bahia Case Study (3 pages, 4 total) http://www.scribd.com/NewIncite• Montenegro Electronics, Ltd. (4 pages, 5 total) http://www.scribd.com/NewIncite• Submit written case question answers to jenbeever@gmail.com• Personal ethics statements to jenbeever@gmail.com Ethics in Advertising and Marketing

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