Ethics week 3

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Ethics week 3

  1. 1. Week Three – 3/7/13Ethics in Advertising and Marketing Ethics in Advertising and Marketing
  2. 2. Week Three - Agenda• Administrivia• Social Media Example – Budweiser Flash Mob – Changing laws to accommodate social media• Framework for Ethics• Case Discussion – Brazilian Retail Chain• Case Discussion – Electronics Company• Marketing and Advertising – The Law• Brief Discussion, Group Project Options – Infographics tool (FYI only) – Marketing event example 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. Week Three – 3/7 Administrivia -Ethics in Marketing Homework: Short Case Study -Ethics in Selling #4 Honest Tea & Coke -Trust & Transparency Additional article(s), video(s) TBAWeek Four – 3/14 -(CSR) Corporate Social Discussion, Honest Tea & Responsibility Programs Coke case -Core Values Homework: GROUP PROJECT -Making Ethical Decisions (Start working on in-class presentations on ethics case or issue of your choice, due 3/28) Format may be a video you produce, a skit or role play, an infographic, a presentation….Week Five – 3/21 -Ethical Marketing Research Discussion, ethical marketing Practices research -Using the Internet for market Work on Final Group Projects, research due 3/28Week Six – 3/28 Final Group Presentations Take Home Final Exam – answers due by 4/3 Written Code of Ethics for your business, your soon-to- be place of business, or personal due 4/3 Ethics in Advertising and Marketing
  5. 5. AdministriviaGrading:Course grades will be based on participation and completion of assignments as follows:% Item25% Written Short Case Studies and Homework Assignments30% Active Case participation and discussions20% Final Group Case Study Research and In-Class Presentation25% Final exam with Case Study Essay 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 – 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. 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 a core set of ethical principles 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
  19. 19. BP5: Use a Core Set of Principles• Utilitarianism – Action Utilitarianism – Rule Utilitarianism – Flexible, Based on Cost-Benefit• Duty-based – Act on rules which are universal – Humanity in a person is an end, not the means – Act as if you were sovereign and subject both Ethics in Advertising and Marketing
  20. 20. BP5: Use a Core Set of Principles• Contract-based – Social Contract Theory (SCT) • Respect dignity of each human • Core human rights are guaranteed • Equity – fair treatment of similar people • Avoid unnecessary injury • Preserve physical environment – Rawlsian Theory (John Rawls) • Each person has equal right to basic liberty • Things should be arranged to benefit most disadvantaged Ethics in Advertising and Marketing
  21. 21. BP5: Use a Core Set of Principles• Virtue-based – Lead a virtuous life – Based on individuals – Organizations are virtuous by acting ethically – Orgs have to teach managers how to be virtuous• Religious-based – Jewish religion – the Torah – Islamic religion – based on equity and justice Ethics in Advertising and Marketing
  22. 22. BP5: Use a Core Set of Principles• Confucian Ethics – Extend from one situation to another – Pay careful attention – Intelligence guides actions, but balance is important• Buddhist – Don’t cause harm – Don’t cheat – Don’t lie – Don’t promote intoxication – Don’t engage in sexual exploitation Ethics in Advertising and Marketing
  23. 23. BP5: Use a Core Set of Principles• Hindu – Generate wealth while creating social good – Satisfy desires within the quest for spiritual fulfillment• Catholic Social Thought (CST) (Human good; Common good; Subsidiarity; Preference for the poor and vulnerable; Worker rights; Solidarity; Stewardship) Ethics in Advertising and Marketing
  24. 24. 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 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
  25. 25. BP6: Embrace the Stakeholder Concept• Stakeholder is anyone who can affect or who is affected by organization’s objectives• Marketing operates in and for society• Primary, indirect, secondary (potential)• Marketers engage stakeholders proactively• Triple bottom line – People, Profits, Planet• Marketers think about consumer stakeholder Ethics in Advertising and Marketing
  26. 26. 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
  27. 27. BP7: Delineate a Protocol• Be ethically aware• I.D. ethical issues• Articulate stakeholders affected by issues• Select an ethical theory (legal, utilitarian)• Specify alternatives, conduct ethical analysis• Make a decision• Monitor the results of ethical decisions Ethics in Advertising and Marketing
  28. 28. Group Project• All must have documented sources• Presentations (Guy Kawasaki’s 10-20-30) – http://vimeo.com/56559291• Infographic, mock ad campaign• Skit or role play, video• Get creative!• Given case or your choice of topic Ethics in Advertising and Marketing
  29. 29. 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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