Discuss potential areas of ethical issues in marketing.

label Business
account_circle Unassigned
schedule 1 Day
account_balance_wallet $5

  Discuss potential areas of ethical issues in marketing.

Jan 29th, 2015

There are three potential areas of ethical issues in marketing: 1. Misleading information 2. Risks not disclosed and 3 Ponzi schemes

Customers are provided incorrect or misleading information.  This may lead to litigation.  For example, if a product contains peanuts, customers should know it.  Otherwise people with peanut allergy may have serious health issues after its use.

Risks involved should be communicated to the customers or buyers.  For instance, the mortgage fiasco occurred because the agents did not inform customers about the risk involved in inflated rate mortgages.  Customers did not know that they could loose their house because they were not qualified and were vulnerable to these loans.

Ponzi schemes are unethical because they cause heavy financial losses to customers. Well-known example is that of Madoff who used to pay inflated dividends from other peoples' principal payments.  As a result, number of people incurred heavy financial losses when he could not fulfill his obligations.

Jan 29th, 2015

Studypool's Notebank makes it easy to buy and sell old notes, study guides, reviews, etc.
Click to visit
The Notebank
...
Jan 29th, 2015
...
Jan 29th, 2015
Oct 19th, 2017
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer