Legal and Ethical Considerations of Marketing

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  • Topic: Ethics, Marketing, Business ethics
  • Pages : 5 (1692 words )
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  • Published : February 20, 2012
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The Legal and Ethical Considerations of Marketing in America Paper

Evolution of the Market Orientation explains why marketing is a driving force in the modern global economy. First of all, the first stage was covered up until the early years of the 1920’s, in the United States, called the ‘production era’. Goods were scarce and buyers were willing to accept virtually any goods that were available and make do with them. The ‘sales era’ picked up right after the early 1920’s to the 1960’s, where manufacturers found they could produce more goods than buyers could consume and competition grew. In the 1960’s American firms relied on marketing because it became the motivating force and the ‘marketing concept era’ dawned, which is the idea that an organization should strive to satisfy the needs of consumers, while also trying to achieve organization’s goals. Many firms such as General Electric have achieved great success by putting extraordinary efforts on consistently collecting information about customer’s needs, sharing this information freely, and using it to build and create customer value. This is the result of the ‘customer relationship era, in which firms seek continuously to satisfy the high expectations of customers which led to customer relationship management (CRM), the process of identifying prospective buyers, listening to the inner thoughts, and developing favorable long-term perceptions of the organization and its offerings, hoping the buyers will choose them in the marketplace. According to William Frankena (1973), ethics are a group of moral principles aimed at improving the safety and welfare of the society. Balancing interests such as ethics and social responsibility has shifted from an emphasis on producers’ interests to consumers’ interests. Several marketing issues are not precisely addressed by existing laws and regulations. The four key elements to a better business ethics foundation are Ethics programs and a solid ethics foundation. The first is a strong code of ethics, like the Sarbanes-Oxley Act of 2002 that made it important for businesses to have an ethic code, in writing about what one ought to do, and what to strive for. The second key element is ethics training with in the business. This is where the ethics code is integrated into the workplace. The third key element to a strong ethics foundation is an “ethics coach”. An “ethics coach” will be available as a friend and in confidence of any ethical given dilemmas in the workforce. The final key element is an anonymous reporting tip-line, serving to provide employees an alternative route to reporting observed misconduct or violation without fear of reprisal. Social welfare is a high priority to uphold a good public image but reputation is a business’s strongest asset. That is if they want to strive and survive. Businesses and the Third World need to be wary of using sweat shop labor. Do not treat them badly. In return treat them with respect and dignity. Most third world countries do not frown on child labor laws because they can pay less than what is expected from any other average person who is of the legal working age. There have been too many unjust and un-wanted headlines about company misconduct and business ethics violations. This has demanded businesses to make ethics a top priority in their company besides its profits. In business ethics it is relevant on how the company is treating the environment and how the company is reacting with the local community. Culture can be served as socializing force that dictates what is morally right and just, which refers to the set of values, ideas, and attitudes that are learned and shared among members of a group. These standards most of the time reflect the laws and regulations that affect social and economic behavior, which can also create moral dilemmas. The Consumer Bill of Rights was outlined by President John F. Kennedy in 1962 that codified the ethics of...
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