Portfolio Activity 7

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Assume that you are a marketing manager in your country and provide reflective

responses to the questions below:

 Give some specific examples of where you think marketing “crosses the line” into
unethical behavior,

INTRODUCTION

Ethical business practices are important in every industry, including digital marketing.
Consumers are often distrustful. The public hasn’t forgotten past ads that they
suspected were too good to be true that turned out to be less than truthful. A company
must have ethical marketing policies to guide their pricing, advertising, research, and
competitive strategies. Ethical marketing means making honest claims to attract
potential customers. When customers perceive your marketing practices to be honest
and genuine, they can begin to trust in your brand. Mutual trust works to develop brand
loyalty, which keeps customers coming back and motivates them to spread the word
about your business. Unethical marketing sends the wrong messages out to prospects
about your products and services. These practices can lead to legal problems, but more
importantly, they can lead to reputational loss or destroy your brand.

Ethics in Advertising and Promotion

In the 1940s and 1950s, tobacco used to be advertised as promoting health. Today an
advertiser who fails to tell the truth offends against morality in addition to the law.

The advertising of certain products may strongly offend some people while being of
interest to others. Examples include feminine hygiene products for example Always and
Harpic toilet cleaner-whose adverts are always done when most families are just about
to have their dinner. The advertising of condoms has become acceptable in the interests
of AIDS-prevention but are nevertheless seen by some as promoting promiscuity.

Through negative advertising techniques, the advertiser highlights the disadvantages of


competitor products rather than the advantages of their own. These methods are
especially used in politics- an example is the current ongoing political rallies in Kenya-
gearing up to the 2021 elections. The two presidential candidates are not just selling
their manifestos but bad-mouthing each other.

Deceptive Advertising and Ethics

Deception is making the customer believe in the value provided by the product/service
which it doesn’t provide. It may take the form of misrepresentation or omission of key
facts or misleading practices. Deceptive marketing is not specific to one target market
and can sometimes go unnoticed by the public. There are several ways in which
deceptive marketing can be presented to consumers; one of these methods is
accomplished using humor. For example, the Ariel Ad where they insinuate that Ariel
can clean the dirtiest of fabrics through use of humor, excluding the fact that it may
react with some consumers because of the raw materials used.

Unethical Product and Distribution Practices- Several product-related issues,


especially regarding the quality of products and services raise questions about ethical
conduct in marketing. Frequent complaints are voiced regarding the products which are
of unsafe nature. Companies which make products that are of poor quality or potentially
unsafe for its consumers may jeopardize its image and develop a reputation for poor
quality products or services. It may also put itself in the situation of product claims or
legal actions. Since the marketing personnel and sales representatives are evaluated
mostly based on sales performance, they may face performance pressure and this
pressure may lead to ethical dilemmas. This may lead to unethical practices like pushing
sales for products with a higher commission, exerting influence on vendors to reduce
promotions for competitors’ products, or making false promises regarding shipment
dates and quantities.

Pyramid scheme is an anti-competitive process. It is a non-sustainable business model


that promises the participants payment or services, mainly for enrolling other people
into the scheme; it does not supply any real investment or sell products or services to
the public. This business practice demands the initial investor or the "captain" to enroll
other people for a fee to them who again will further enroll more people to be paid by
the company. Example

Manipulating Vulnerable Audiences- In the same way that the use of racial or ethnic
groups in advertising can serve to stereotype them, the absence from using these
groups in marketing in a multiethnic society can create image and identity problems
among those that are excluded. Marketing aimed at children is fraught with the risk of
opening ethical factors in marketing. For example, the targeting of children with fast
food and unhealthy snacks can lead children to not want to eat anything else and result
in childhood obesity.

Then make some recommendations on what should change.

1. Review all the aspects of marketing – The organization should review all
aspects of marketing including product design, pricing, distribution, and
promotion.
2. Product Design and Development – The organization needs to consider how
the product will be produced that is the methods of manufacturing, materials,
and other resources to be used in the production. It needs to consider whether
the product has the potential of being exploited and misused. The organization
should take into consideration, the disposal of the product after it has been used.
3. Pricing – The prices of the products should provide value to the customers. It
should not necessarily be the lowest price on the market. The company should be
able to convey the value to the customers that they are getting for the price they
pay.
4. Packaging and Labeling –The organization should ensure that the labeling
provides clear information regarding the use of the products. If there are some
potential health or safety hazards associated with the product, they should be
clearly brought to notice of the customer through means of labeling.
5. Distribution – In terms of distribution, the organization should make sure that
the products are freely accessible to the customers without any discrimination.
With the growing concentration of retail business, retailers have gained
considerable power to exert influence over the customers as well as the suppliers.
The retailer may get involved in unethical practices like stocking products for only
some of the companies who pay them more margins.
6. Recognize your customers’ rights – The organization should have an
appropriate policy to handle the grievances a customer might have. The
organization should be considerate about the rights and interests of vulnerable
groups and should not exploit them.

CONCLUSION

To solve most ethical issues in marketing, marketers need a combination of technical


knowledge, a commitment to telling the truth, and a passion for finding solutions rather
than just making the sale.

REFERENCES

1. Custora. (n.d.). The benefits of customer centric marketing. Retrieved from


Custora: https://university.custora.com/for-marketers/customer-centric
marketing/basic/the-benefits-of-customer-centric-marketing

2. https://www.forbes.com/sites/forbescommunicationscouncil/2019/06/24/how-to-
draw-the-line-on-unethical-marketing/?sh=631c356f5736
3. Lawrence B. Chonko and Shelby D. Hunt, “Ethics and Marketing Management: An
Empirical Examination,” Journal of Business Research, Vol. 13, 1985, pp. 339–359.

4. Winer, R. S., & Dhar, R. (2011). Marketing management. (4th, Ed.) Boston: Prentice
Hall
1. Tama. K. (June, 2019).
How To Draw The Line On
Unethical Marketing.
Retrieved from
2. https://www.forbes.com/
sites/
forbescommunicationscounci
l/2019/06/24/how-to-draw-
3. the-line-on-unethical-
marketing/#6c70d4557362
4. Tama. K. (June, 2019).
How To Draw The Line On
Unethical Marketing.
Retrieved from
5. https://www.forbes.com/
sites/
forbescommunicationscounci
l/2019/06/24/how-to-draw-
6. the-line-on-unethical-
marketing/#6c70d4557362
7. Tama. K. (June, 2019).
How To Draw The Line On
Unethical Marketing.
Retrieved from
8. https://www.forbes.com/
sites/
forbescommunicationscounci
l/2019/06/24/how-to-draw-
9. the-line-on-unethical-
marketing/#6c70d4557362

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