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ADVERTISING-
     SOCIAL,LEGAL,ETHICAL &
      ECONOMICAL ASPECTS



Submitted to :        Submitted by:
Swati Sharma          Avtar Singh
Faculty, Rbs          Anil Kumar
                      Pankaj Kumar
                      Sham Singh
WHAT IS ADVERTISING
► Advertising is any paid form of non personal
 presentation and promotion of goods,
 services & ideas by an identified sponsor.

► Advertising is a general phrase used for the
 announcements made by sellers to promote
 the sales of their products.
Social aspects of advertising
 Advertising as a part of firm’s marketing effort
 operates in the society. It has to therefore
 follow the social norms.

  Key areas of debate regarding society and
 advertising are:
 Deception
 Manipulation
 Taste
Social aspects of advertising
Deception: it refers not only to the information
 content in advertising but may also arise from
 misplace emphasis in presentations.

According to federal trade commission of the USA-

“Advertising as a whole must not create a misleading
  impression although every statement, separately
  considered, may be literally truthful”
Social aspects of advertising
Manipulation :- The freedom of choice of consumers
 is restricted by the power of advertising since it
 can manipulate buyers into making a decision
 against their will or interest.

Manipulation is done through emotional appeals.
 These companies can utilize advanced and very
 scientific advertising techniques and thus make an
 impression on consumers.
Social aspects of advertising
Taste:- Sometimes ads are offensive,
   tasteless, irritating, boring and so on.
a) Sources of distaste
b) Sexual Appeals
c) Shock advertising
Social aspects of advertising
Some examples of the Advertisements with
  social aspects:-
 Grow-more-trees advertisements
 Drink milk
 Eat healthy food, eat eggs
 Mother’s milk is best for the baby
 Say no to drugs every time
 Get your child vaccinations in times
Legal aspects of advertising
 The government in each country has to
  make sure that advertisements appearing
  do not flaunt of their rules & regulations.
  It should not:-
 show anti-national feelings
 contain misleading information about the
  product
 Violate government rules
Legal aspects of advertising
Some examples of the Advertisements with
  legal aspects:-
 Get your car checked for pollution
 Drinks & driving do not mix
 Weight, price, manufacturing date, date of
  expiry should be mentioned on the packing
  case
Ethical aspects of advertising
Ethics are the moral standards against which
behavior is judged

Key areas of debate regarding ethics and
advertising are:
  Truth in advertising
  Advertising to children
  Advertising controversial products
Ethical aspects of advertising
► Truth in Advertising
   Deception is making false or misleading
    statements.
   Puffery (commercial exaggeration) is legal.
   Cannot legislate against emotional appeals
Ethical aspects of advertising
Advertising to Children—Issues
 Advertising promotes superficiality and
  materialism in children.
 Children are inexperienced and easy prey.
 Persuasion to children creates child-parent
  conflicts.
 What does the literature say about kid’s abilities
  to process persuasive information?
Ethical aspects of advertising
Advertising Controversial Products
  Critics question the “targeting” of minorities.
    ►Tobacco, alcohol, gambling and lotteries are product
     categories of greatest concern.
  How does the concept of “primary demand”
   provide insights here?
  What does the literature say about advertising’s
   impact on these product categories?
Economic aspects of advertising
► Making   Consumers Aware of Products and
    Services

►   Providing Consumers With Information to
    Use to Make Purchase Decisions

►   Encouraging Consumption and Fostering
    Economic Growth
Economic aspects of advertising
►    Effects on Consumer Choice
 Differentiation
    Brand Loyalty
► Effects     on Competition
    Barriers to entry
    Economies of scale
► Effects     on product costs and prices
   Advertising as an expense that increases the cost of
    products
   Increased differentiation
THANK YOU FOR NICE
    ATTENTION

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Advertising sociallegalethicaleconomicalaspects-090904225056-phpapp02 (1)

  • 1. ADVERTISING- SOCIAL,LEGAL,ETHICAL & ECONOMICAL ASPECTS Submitted to : Submitted by: Swati Sharma Avtar Singh Faculty, Rbs Anil Kumar Pankaj Kumar Sham Singh
  • 2. WHAT IS ADVERTISING ► Advertising is any paid form of non personal presentation and promotion of goods, services & ideas by an identified sponsor. ► Advertising is a general phrase used for the announcements made by sellers to promote the sales of their products.
  • 3. Social aspects of advertising Advertising as a part of firm’s marketing effort operates in the society. It has to therefore follow the social norms. Key areas of debate regarding society and advertising are:  Deception  Manipulation  Taste
  • 4. Social aspects of advertising Deception: it refers not only to the information content in advertising but may also arise from misplace emphasis in presentations. According to federal trade commission of the USA- “Advertising as a whole must not create a misleading impression although every statement, separately considered, may be literally truthful”
  • 5. Social aspects of advertising Manipulation :- The freedom of choice of consumers is restricted by the power of advertising since it can manipulate buyers into making a decision against their will or interest. Manipulation is done through emotional appeals. These companies can utilize advanced and very scientific advertising techniques and thus make an impression on consumers.
  • 6. Social aspects of advertising Taste:- Sometimes ads are offensive, tasteless, irritating, boring and so on. a) Sources of distaste b) Sexual Appeals c) Shock advertising
  • 7. Social aspects of advertising Some examples of the Advertisements with social aspects:-  Grow-more-trees advertisements  Drink milk  Eat healthy food, eat eggs  Mother’s milk is best for the baby  Say no to drugs every time  Get your child vaccinations in times
  • 8. Legal aspects of advertising The government in each country has to make sure that advertisements appearing do not flaunt of their rules & regulations. It should not:-  show anti-national feelings  contain misleading information about the product  Violate government rules
  • 9. Legal aspects of advertising Some examples of the Advertisements with legal aspects:-  Get your car checked for pollution  Drinks & driving do not mix  Weight, price, manufacturing date, date of expiry should be mentioned on the packing case
  • 10. Ethical aspects of advertising Ethics are the moral standards against which behavior is judged Key areas of debate regarding ethics and advertising are:  Truth in advertising  Advertising to children  Advertising controversial products
  • 11. Ethical aspects of advertising ► Truth in Advertising  Deception is making false or misleading statements.  Puffery (commercial exaggeration) is legal.  Cannot legislate against emotional appeals
  • 12. Ethical aspects of advertising Advertising to Children—Issues  Advertising promotes superficiality and materialism in children.  Children are inexperienced and easy prey.  Persuasion to children creates child-parent conflicts.  What does the literature say about kid’s abilities to process persuasive information?
  • 13. Ethical aspects of advertising Advertising Controversial Products  Critics question the “targeting” of minorities. ►Tobacco, alcohol, gambling and lotteries are product categories of greatest concern.  How does the concept of “primary demand” provide insights here?  What does the literature say about advertising’s impact on these product categories?
  • 14. Economic aspects of advertising ► Making Consumers Aware of Products and Services ► Providing Consumers With Information to Use to Make Purchase Decisions ► Encouraging Consumption and Fostering Economic Growth
  • 15. Economic aspects of advertising ► Effects on Consumer Choice  Differentiation  Brand Loyalty ► Effects on Competition  Barriers to entry  Economies of scale ► Effects on product costs and prices  Advertising as an expense that increases the cost of products  Increased differentiation
  • 16. THANK YOU FOR NICE ATTENTION