this ppt is of ethics main topic is ETHICAL ISSUES IN ADVERTISING it is basicly for undergrd students

2. ETHICAL ISSUES IN ADVERTISING
Presented by: Nabeel Shahid
Shahrukh Usmani
Maaz Ali
Presented to: Sir Fazal

3. Scheme
• Kinds of promotions
• Advertising
• Criticism on Advertising
• Economic Analysis
• Persuasion and behavioral control
• The dependence effect
• What wants are worth satisfying

4. Scheme(1)
• Rational persuasion
• What is deception
• Deceptive advertising
• How deception is created
• Comparison of ads with poetry
• A final definition of deceptive advertising
• Conclusion

5. Kinds of Promotional Activities
• Advertising
• Publicity
• Sales promotion
• Personal Selling

6. Advertising

8. Advertising
• Definition
– A notice or announcement in public medium
promoting a product or event or a job.

9. Criticism on Advertising
• Irritating
• Repetition
• Lack of taste
• Morally Wrong
• Creating a consumerism
• Non productive Activity

10. Economic Analysis
• Utilitarian point of view
– Effect of advertising
• Morally Objectionable
• Overall conclusion

11. Charge of Wastefulness
on Advertising

12. Criticism
• Loss of Resources
– Adds no value to product instead divert resources
from production of new products
– People are forced to buy available product
– Money or resource can be used to produce more
satisfaction
• Quality and Safety
– Instead of wasting money on adds it can be used
to make quality better for customers

13. Defenses
• Satisfaction defense
– Product cannot satisfy need of consumer until it is
purchased and used
• Resources defense
– Increase in jobs
– Quality and quantity benefit

14. Charge That Advertising
Is Inefficient

15. Criticism
• Advertising create difficulty in maintaining
brand name and loyalty
• Create a preventing effect for smalls firms to
enter the market
• Increase price of product and create
monopoly
• Not every time sales target is achieved

16. defense
• Advertising do not promote monopoly but
create competition
• Prices will fall because of Advertising as it
enables consumers to make price
comparisons

17. Activity(1)
• Pick a product make a plan how will you
advertise it to increase sales benefit in an
effective way

18. PERSUATION AND BEHAVIORAL CONTROL

19. PERSUATION AND BEHAVIOR
CONTROL
• Aimed at changing a person or a group
attitude
• The techniques in modern advertising
• Cumulative physiological effect

20. THE DEPENDENCE EFFECT

21. THE DEPENDENCE EFFECT(i)
• Dependence effect was coined by John Kenneth
Galbraith
• Effect of creating wants in society
• With Increasing affluent, wants are increasing
• Catalyzed and promoted by producers
• Example: bad breath

22. THE DEPENDENCE EFFECT(ii)
• “We only give the public what it wants”
• Galbraith argument

23. WHAT WANTS ARE WORTH
SATISFYING?
• Some wants are more worth satisfying than
others
• Hayak says, Need a criterion
• Rationality
example

24. RATIONAL PERSUATION

25. RATIONAL PERSUATION(i)
• Advertising that cynically exploits deep seated
emotions
• Subliminal advertisement
• Commonly used technique
• Method of subliminal AD

26. RATIONAL PERSUATION(ii)
• Richard T. DeGeorge views
• Example: Ice cream Ad
• Subliminal communication morally
unacceptable

27. ACTIVITY(2)
• Write an example of subliminal AD, and tell it
is morally acceptable or not?

28. CONCLUSION
• Morality Criteria of Advertising
• Responsible use of Persuasive Power of
Advertising
• In today's world it is impossible to remain
unaffected from Advertising Effects

29. Deceptive Advertising

31. What is Deception?
• the act of hiding the truth, especially to get an
advantage
• Deception is a trick or scheme used to get
what you want
• the act of making someone believe something
that is not true

32. What is a deceptive ad?
• An ad that impacts the consumers after they
see or hear it.
• It doesn’t only depend on truth or false
claims.
• An ad can be deceptive with or without
containing any false information.

33. How deception is created?
• Deception can be created by false claims
• Logical or illogical comparison between two
things can create deception
• Example of blade, cars and pain killers

34. Comparison of ads with poetry
• Some writers consider falsehoods and
meaningless advertising as legitimate and
even socially desirable
• Theodore Levitt compared advertising to
poetry.
• According to him both poetry and ads have a
purpose of influencing an audience.

35. Comparison of ads with poetry
• Basic purpose of to affect perception and to
change minds of people.
• Both are used to convince and seduce.
• Poets use lyrics, exaggerated, distorted and
false description and are applauded for it.
• In commerce symbols, illusions and
implication that promise more than pure
functionality is used.

36. Anacin Case
• Anacin was a pain relieving medicine.
• It contained aspirin and caffeine as basic
elements
• All the information provided was true but
their ad exaggerated things creating
deception

37. Anacin Case
• According to ad Anacin claimed that it has
superior formula and anacin itself is superior
• Anacin claimed to have no side effects but
they didn’t have enough evidence.
• Lack of evidence created deception

38. David M. Gardner’s definition of
deception
If an advertisement leaves the consumer with
an impression or belief different from what
would normally be expected if the consumer
had enough knowledge and that impression is
factually untrue or potentially misleading, than
deception is said to exist

39. Objections(i)
Knowledge and Mental age of Consumers:
An ad is not deceptive if the consumer doesn’t
have enough knowledge.
Example of a person and toothpaste ad.
An ad is not deceptive if it fools only some
extremely gullible people.
Example of Ford motor’s ad.

40. Objections(ii)
Rationality:
False impressions used can affect people’s
purchasing decisions
People have less than perfect information and no
ad can clear away their false impressions or
beliefs
An ad can’t be said deceptive without specifying
some standard of reasonable knowledge

41. Carson, Richard and Cox definition
• According to them definition given by Gardner
didn’t apply on deceptive advertising to
children.
• According to them an ad is deceptive if it
causes a significant percentage of potential
consumers to have false beliefs about
product.

42. Activity(3)
All Food ads claim to have natural ingredients.
How deceptive these ads are? Explain according
to Gardner’s definition and second definition.

43. Final Definition
Deception occurs when a false belief, which an
advertising either creates or takes advantage of,
substantially interferes with the ability of people
to make rational consumer choices.

44. FINAL ACTIVITY
Read the volvo case on page 259 carefully and
tell that which type of advertising is it ?

45. CONCLUSION
• Deceptive advertising is objectionable
according to utilitarianism
• These adds harm people
• It effects the rationality of consumers

46. THANK YOU  ;)