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Contemporary Ethical Issues In Marketing.

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Introduction

Contemporary Ethical Issues In Marketing HNC - Business Marketing Option - Marketing Planning Tutor - Jeff Perry Mary Dineen Q1 Ethics have gone up in the business agenda in recent years and are a potentially powerful influence on consumer decisions. Ethics relate to moral evaluations of decisions and actions as right or wrong on the basis of commonly accepted principles of behaviour. Marketing ethics are moral principles that define right and wrong behaviour in marketing. The most basic ethical issues have been formalised through laws and regulation's to provide conformity to the standards of society. At the very least, marketers are expected to conform to these laws and regulations. However, it is important to realise that marketing ethics go beyond legal issues, ethical marketing decisions, ethics foster mutual trust among individuals and in marketing relationships. Ethical issues typically arise because of conflicts among individuals' personal moral philosophies and the marketing strategies, policies, and organisational environment in which they work, they may stem from conflicts between a marketer's attempts to achieve organisational objectives and customers' desire for safe and reliable products. There is little doubt that ethical considerations are a powerful influence on consumer purchasing decisions e.g. Nike with its cheap labour sourcing policies. If a brand gets its ethical stance wrong it can be very bad for business. ...read more.

Middle

Importantly, systems have been put in place to check that employers are conforming to their local government labour laws and that their factories comply with the legal age of employment A strong sense of social responsibility is part of the Boots heritage. Today it's reflected in their values and behaviors and made explicit in their statement of business purpose. Example of a recent marketing campaign is the re-launch of the company's No.7 Brand of cosmetics. The product was perceived to be good quality but drab and old-fashioned. In 1995 it was decided to re-launch the No.7 brand as a premium product. Recent developments had allowed a substantial range of ethical claims to be made for the products such as "not tested on animals" and "hypoallergenic". Two thirds of the colour range was new and every possible innovation incorporated. There was extensive customer testing against competitors in the new market to ensure that products in the range out performed their rivals. New ways of marketing products are constantly emerging. Whilst Boots continues to use tried and tested methods such as TV press and advertising, new communication channels mean that there is a wider array of tools Boots can use to get messages across to their customers. Some examples include Internet and Direct Mail through the Boots Advantage Card (which is the biggest loyalty scheme in Europe). ...read more.

Conclusion

Examination of a few issues that could develop in the different marketing mix elements, can provide some direction and lead to an understanding of the ethical problems that marketers must confront. When examining both of the organisations above in the marketing mix I found that both companies are very ethical in there own brand product lines, Boots have Botanicals made from only natural ingredients, and The Body Shop also use natural ingredients and are totally against testing on animals. The Boots company may be more expensive than other chemists own brands, this is because they pay people who work for them in the 3rd world a wage that they can live on and provide them with food & shelter, Body Shop uses money raised from there sales to help provide for the people in poorer countries and they also use environmentally friendly light bulbs in there shops. Boots and The Body Shop have shops on the high street they are both recognizably more expensive than other chemists such as superdrug, but both The Body Shop & Boots offer more ethical products. Boots advertises how ethical it is on TV, it also has an Advantage Card loyalty scheme, The Body Shop does not advertise on TV, most people already know the body shop stance on ethical issues, but if you go into a shop there are posters and leaflets explaining what they stand for. ...read more.

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