Chapter 11
Chapter 11
Chapter 11
Social Responsibility
Social Criticisms of Marketing
Marketing’s Impact on Individual
Consumers
– High Prices
High costs of distribution
High advertising and promotion costs
Excessive markups
Social Criticisms of Marketing
Marketing’s Impact on Individual
Consumers
– Deceptive (misleading) Practices
Pricing
Promotion
Packaging
– High-Pressure Selling
Social Criticisms of Marketing
Marketing’s Impact on Individual
Consumers
– Shoddy or unsafe products
– Planned obsolescence
– Poor service to disadvantaged consumers
Social Criticisms of Marketing
Marketing’s Impact on Society as a Whole
– False wants and too much materialism
– Too few social goods
– Cultural pollution
– Too much political power
Social Criticisms of Marketing
Marketing’s Impact on Other Businesses
– Acquisitions of competitors
– Marketing practices that create barriers to
entry
– Unfair competitive marketing practices
Citizen & Public Actions to
Regulate Marketing
Consumerism
– Traditional seller’s rights
– Traditional buyer’s rights
– Additional rights proposed by consumer
advocates
Each proposed right has led to more
specific proposals by consumerists
Citizen & Public Actions to
Regulate Marketing
Environmentalism
– An organized movement of concerned
citizens, businesses and government
agencies to protect and improve people’s
living environment
– Environmental Sustainability
Pollution prevention
Product stewardship
New environmental technology
Sustainability vision
Citizen & Public Actions to
Regulate Marketing
Public Actions to Regulate Marketing
– Major legal issues affect every area of marketing
management, including:
Selling and advertising decisions
Channel decisions
Product decisions
Packaging decisions
Price decisions
Competitive reaction decisions
Business Actions Toward Socially
Responsible Marketing
Enlightened Marketing
– Customer-Oriented Marketing:
Companies view and organize their marketing
activities from the consumer’s point of view.
– Innovative Marketing:
Companies seek real product and marketing
improvements.
Business Actions Toward Socially
Responsible Marketing
Enlightened Marketing
– Value Marketing:
Companies put most of their resources into
value-building marketing investments.
– Sense-of-Mission Marketing:
Companies define their mission in broad social
terms, rather than in narrow product terms.
Business Actions Toward Socially
Responsible Marketing
Enlightened Marketing
– Societal Marketing:
Companies make marketing decisions
by considering consumers’ wants, the
company’s requirements, consumers’
long-run interests, and society’s
long-run interests.
Business Actions Toward Socially
Responsible Marketing
Enlightened Marketing