ETHICS IN MARKETING

PRICING ISSUES IN MARKETING

ETHICS IN ADVERTISING

PRESENTED BY:

ANU SAJI, Rno:12

ATHUL SEKHAR A, Rno:14
ATHIRA BIJU, Rno:13
 INTRODUCTION
• Marketing consists of planning and execution of
the basic idea its pricing promotion and
distribution of the goods and services to satisfy
both organization and individual objectives.

• The whole concept of marketing is based on the

only objective of fulfilling consumer’s needs.
 WHAT IS MARKETING?

• According to William J Stanton- “Marketing is

a total system of interacting business activities
designed to plan, price, promote, and distribute
want satisfying products and services to the
present and potential customers”.
 WHAT IS MARKETING
ETHICS?
• Marketing ethics are certain moral principles
inbuilt in the operations and regulations of
marketing.
Ex: deliberate and wrong misrepresentation of
information.
• The process of marketing ethics ensures that
the end users and clients are not receiving a
bad deal from the production.
ETHICAL NORMS AND VALUES
FOR MARKETERS
• Responsibility of marketer
• Honesty & fairness
• Rights and duties in the marketing exchange
process
• Organisational relationships
• Conduct business so as to build long-term
loyalty
Contd..
• Avoiding harmful marketing
• Marketers must foster trust in the
marketing system
• Marketers must embrace communicate
and practice the fundamental ethical
values
 IMPACT OF ETHICS IN
MARKETING
• Accuracy
• Customer focus
• Pricing
• Distribution
• Competition
 INTRODUCTION
• Price is the amount of money a customer
pays for a product or service.
• Pricing is an inevitable part of any
marketing strategy.
• Most of the modern day firms adopt
fraudulent pricing strategies to earn
maximum profit as well as for steering out
competitors from the industry.
 TYPES OF PRICE FRAUDS

• Price discrimination
• Price fixing
• Price Skimming
• Variable Pricing
• Predatory Pricing
• Dumping Pricing
• Price wars
 ADVERTISEMENT
• According to AMA, advertisement means “ any
paid form of non personal presentation of ideas,
goods or services by an identified sponsor”.
• The term “advertising” is derived from the Latin
word “advertere” which means “to turn” the
attention.
• Ethics in advertising means a set of well-defined
principles which govern the ways of
communication taking place between the seller
and the buyer.
ETHICAL ISSUES IN ADVERTISING

• Surrogate Advertising

• Deceptive Advertising

• Puffery
 SURROGATE ADVERTISING
• Intentionally utilising a company, a person
or object to help to convey the message of
another party
• Is forbidden in several country
• When the manufacture is unable to sell his
product in the market he may handover
the product to a well-known organization
to sell on behalf of the manufacturer
 DECEPTIVE ADVERTISING
• Also known as subconscious stimuli
messaging
• Uses subtle imaginary, sounds, and
content to attempt to influence the
subconscious mind into making purchase
• Is an invasion of privacy
• Tapping into the consumer’s unconscious
mind without their knowledge
• Is manipulative because it acts on us
without our knowledge
Example
 PUFFERY
• Is a common practice in advertising
• Refers to “exaggerated claims comments,
commendations or hyperbole”
• In legal term refers to promotional
statements and claims that express
subjective rather than objective views,
such that no reasonable person would
take literally
THANK
YOU