ETHICS IN

GLOBAL MARKETING & ADVERTISING

Prof: Christopher Sir

MALINI KISHOR SANGHVI COLLEGE OF COMMERCE AND

ECONOMICS

PROJECT ON :

ETHICS IN GLOBAL MARKETING

Unethical

Practices

Includes Indulging in hard sell, using coercion to push products, engaging in price fixing among others.

Adoption Of

Ethics Due To Market Compul

sions

Applies to products like cigarettes and gutkhas.Activism has led the age old philosophy of ‘let the buyer beware’ be changed to ‘let the seller be aware.’

Ethical Use Of Marketing

Communication-

•Ethical problems and issues arise in respect of personal selling, sales promotion, direct marketing, public relations and other means of communicating to consumers.

Social And Cultural

Impact On Society-

• Should not cause serious or widespread offence.

• Should not cause undue harm or distress.• Should not provoke anti-social or violent

behaviour.• Should not result in the physical, mental or

moral harm to children.

Ethical Issues In Pricing

There 3 types of pricing situations where ethical issues are involved-• 1 Price Gouging• 2 Monopolistic Pricing• 3 Price fixing

There are 4 types of pricing practices where ethical issues are involved-• 1 Excessive Pricing• 2 Price Fixing• 3 Predatory Pricing• 4 Deceptive Pricing

Ethics in Internet, e-commerce and with the help of computers.

Stolen credit card

Online automotive

fraud

Purchase scams

Website frauds

Stock market manipulation

scheme

Other frauds

Recent trend internet scams are as under :

Altering computer inputs in an unauthorized way

Altering or deleting stored data

misusing existing system tools or software packages

Manipulating banking systems

Offensive Content

Harassment

Drug traffiking

Computer Frauds

Ethics and IT

1• INFORMATION ETHICS is

the field that investigates the ethical issues arising from the development and application of IT.

2• COMPUTER ETHICS refers

to the ways in which ethical traditions and norms are tested, applied, stretched, negotiated and broken in the realm of computer technology

Scope of compute

r

Scope of Computers

Ethical Issues In Advertising

Truth

Comparative Advertising

Use of Nudity in

Advertisements

Competition in advertising ethics:

1.Competitive market

2.Struture their

advertisement

3.Target audience

Profit motives& advertising ethics:

•Profit motives

•Different experiments

•Advertising industry & mass media

CASE STUDYGIANT UNETHICAL CORPORATION

OF AMERICA

Company profile and history

• The Wal-Mart story began in 1962, when Sam Walton opened the company’s first discount store in Rogers, Ark. Five years later, there were 24 Wal-Mart stores in Arkansas ringing up $12.6 million in sales. 1968 saw the hiring of Wal-Mart Aviation’s first full-pilot, who provided help to Sam and Bud Walton, as well as the opening of the first stores outside of Arkansas, in Sikeston, Mo., and Claremore, Okla. The company officially incorporated as Wal-Mart Stores Inc. on October 31, 1969. Today, 7,390 Wal-Mart stores and Sam’s Club locations in 14 markets employ more than 2 million associates, serving more than 200 million customers per year.

UNETHICAL PRACTICES OF WAL-MART

• Payment of low wages: Wal-Mart pays low wages and appears to aggressively seeks to keep wages

down.

• Gender Discrimination The company faces the largest gender discrimination case in the history of

this country. Discriminatory policies are as follows:

1. Denied Training: Women had been denied training and promotion opportunities that are offered to men.

2. Under payment: women are underpaid in relation to men.

According to Hoover’s handbook of American business, “in June 2001 a group of six current and former female Wal-Mart employees filed a sex discrimination lawsuit (seeking to represent up to 500,000 current and former Wal-Mart workers) against the company . The suit was filed because Wal- Mart failed to provide equal employment for women.

REPORTINGS BY EMPLOYEES

• I hate wall-mart I worked there 3 years and saw many bad practices. The final straw that made me quit was the fact that I was a full time department manager, yet only was getting 16-22 hours a week!!!

When I asked why my hours where being cut they told me it was due to a lack of busness.HELLO you are WAL-MART a short drop in sales should not lead to me and my family being broke.

get things together wall-mart if you would actually pay your workers enough to live maybe you would save money in the 'loss prevention' department because your workers wont have to steal from you to make ends meat!!!

MikeBismarck, ArkansasU.S.A

THANK YOU

FENIL SHAH-143,

HINAL SHAH-144,

KARAN SHAH-145,

MANSI SHAH-146,

MOKSHA SHAH-147,

POOJA SHAH-148.