bmgt 205 chapter_4
TRANSCRIPT
M A R K E T I N G E T H I C S
B M G T 2 0 5 : P R I N C I PA L S O F M A R K E T I N G
M A R K E T I N G E T H I C S
F I R M G O A L S
Greed and short term profit seeking
Serious long term conseque
nces
Creating value
over the long run
Long term success
H T T P : / /W W W. Y O U T U B E .C O M / W AT C H ?V = M L L K H J Y E Q 7 I
AT T I T U D E S A B O U T T H E E T H I C A L S TA N D A R D S O F VA R I O U S P R O F E S S I O N S
• Why do you feel marketers (advertising practitioners & salespeople) rank so low on this scale?
• What can marketers do to improve their ranking?
Jeffrey M. Jones, “Nurses Top Honesty and Ethics List for 11th Year,” Gallup, November 19–21, 2010, http://www.gallup.com/poll-145043/nurses-top-honesty-ethicslist-11-year.aspx
C R E AT I N G A N E T H I C A L C L I M AT E I N T H E W O R K P L A C E
Values • Establish • Share • Understand
Rules • Management
commitment • Employee dedication
Controls • Reward • Punishment
A M E R I C A N M A R K E T I N G A S S O C I AT I O N C O D E O F E T H I C S
Generally accepted code in marketing
Flows from general norms of conduct to specific values
Subareas within marketing have their own code of ethics to deal with specific issues
http://www.marketingpower.com/AboutAMA/Pages/Statement%20of%20Ethics.aspx
T H E I N F L U E N C E O F P E R S O N A L E T H I C S
Genetics Family Religion Values
Corbis/Jupiter images
©Royalty-Free/CORBIS Getty Images
C O M P E T I N G O U T C O M E SDangerous flaw in new model
Delay production
Delayed revenue
Possible layoffs
Loss of bonuses
Continue production
Potential injury to consumers
Loss of revenue
T H E L I N K B E T W E E N E T H I C S A N D C O R P O R AT E S O C I A L R E S P O N S I B I L I T Y
Socially Responsible Socially IrresponsibleEt
hica
lU
neth
ical
Both ethical and socially responsible
Neither ethical nor socially responsible
Questionable firm practices, yet donates a
lot to the community
Ethical firm not involved with the larger
community
W H I C H C O M PA N Y I S M O R E S O C I A L LY R E S P O N S I B L E ?
A F R A M E W O R K F O R E T H I C A L D E C I S I O N M A K I N G
Step 1 • Identify Issues
Step 2 • Gather
information and identify stakeholders
Step 3 • Brainstorm and
evaluate alternatives
Step 4 • Choose a course
of action
S T E P O N E : I D E N T I F Y I S S U E SMarketing research firm issues
Using results to mislead or
even harm the public
Data collection methods
Hiding the real purpose of the
study
S T E P T W O : G AT H E R I N F O R M AT I O N A N D I D E N T I F Y S TA K E H O L D E R S
Identify all ethical issues and relevant legal information
Identify all relevant stakeholders and get their input on any identified ethical issues
S T E P T H R E E : B R A I N S T O R M A N D E VA L U AT E A LT E R N AT I V E S
• Halt the market research project?
• Make responses anonymous?
• Instituting training on the AMA Code of Ethics for all researchers
S T E P F O U R : C H O O S E A C O U R S E O F A C T I O N
Weigh the alternatives
Take a course of action
• Government agencies have been established to help firms decide what is “ethical”
C H E C K Y O U R S E L F
1. Identify the stages in the ethical decision-making framework.
I N T E G R AT I N G E T H I C S I N T O M A R K E T I N G S T R AT E G Y
Planning Phase
Implementation Phase
Control Phase
P L A N N I N G P H A S E
• The mission or vision statement sets the overall ethical tone for planning.
• Mission statements can be used as a means to guide a firm’s SWOT analysis.
I M P L E M E N TAT I O N P H A S E
Should the firm be targeting this market with this product?
Should the firm be selling its product in this market in this manner?
Should the firm be relocating production to another country?
I S R E D B U L L M A R K E T I N G O N C O L L E G E C A M P U S E S E T H I C A L ?
C O N T R O L P H A S E
1. Check successful implementation 2. React to change
C H E C K Y O U R S E L F
1. What ethical questions should a marketing manager consider at each stage of the marketing plan?
C O R P O R AT E S O C I A L R E S P O N S I B I L I T Y
• describes the voluntary actions taken by a company to address the ethical, social, and environmental impacts of its business operations and the concerns of its stakeholders.
C O R P O R AT E S O C I A L R E S P O N S I B I L I T Y
••Employees ••Their families
Employees
••Current customers ••Potential customers
Customers
••Community ••EnvironmentSociety••Partners
••CompetitorsMarketplace
F O R T U N E M O S T A D M I R E D C O M PA N I E S
H T T P : / / M O N E Y. C N N . C O M / M A G A Z I N E S / F O R T U N E / M O S T-A D M I R E D / 2 0 1 3 / S N A P S H O T S / 6 7 0 . H T M L ? I I D = F _ F 5 0 0 M
C H E C K Y O U R S E L F
1. How has corporate social responsibility evolved since the turn of the twenty-first century?
2. Provide examples of each of the stakeholders that firms should consider in their corporate social responsibility efforts.