Analysis of Marketing Ethics
I would to focus on scenario 4. Acme is the company involved in selling the industrial supplies. The company provides the purchasing agents with gifts in order to encourage more purchase. Acme’s policy is that, bigger the order, bigger the gift for purchasing agents. The gifts range from a pair of tickets to a sporty event to outboard motors and snow mobiles. This scenario throws light on the golden rule which states, ‘Act on the way you would expect others to act towards you.’ This scenario is based on framework of Duties of Justice which is based on the obligation to distribute rewards based on merit. I feel the company is behaving ethically. A company provides gifts in order to retain customers. By retaining customers, the company increases its sales and maximises its profits. So, the sole purpose of providing gifts is to maximise profits .So, a company’s policy of gifting the personnel based on size of the order is appropriate, practical and ethical. A company cannot afford to give away heavy gifts for a customer who has made a small purchase, if it does so, the company would lose out on profits. On the other hand, it cannot give small gifts to the customers who have made huge purchases. If both, the customers who have made huge purchases, and the customer who has made small purchases are treated the same way, the customer who has purchased huge volumes may be let down as there is no value given to him for the larger purchases made. Such a customer would no longer want to deal with the company. If the company provides gifts to its customers in accordance with the purchases made, nobody would be hurt and hence cannot be called unethical.