Question

Assume the role of a critic of advertising. Describe the characteristics of advertising that reduce the effectiveness of markets and decrease the social welfare of society

Answer 1

The ethics of advertising campaigns sometimes comes into question, particularly when customers are encouraged to make unneeded purchases or inaccurate, misleading information is given. For example, putting a price on an ad that actually belongs to an inferior commodity is both immoral and illegal according to the Communications Council. Another unethical practice the council eschews is to rely on ethnic or gender stereotypes. In the case of the Humira ad run by Abbott Labs in 2009, small, illegible printing can not patently circumvent false statements made in the larger ad print. In that case, the deceptive advertising resulted in a fine of $70 million for the drug maker

Advertising that overshoots the gaps between your company and the goods of your rivals is frequently criticized as inaccurate and misleading. It also dismisses unfair competition in an attempt to lure customers. Customers often become disenchanted with negative ads, which then can backfire on the originator of the exaggerated claims.

Media critics also point to the provocative and excessive use of sexual and pornographic innuendos. Many marketing campaigns attract criticism from local churches, women's organizations or parenting associations, such as the 1970s Calvin Klein advertisements featuring a young Brooke Shields. Critics have been calling the advertising pornographic and exploitable. Boycotts and legal action will follow offensive ads, which can eventually lead to even greater visibility for your brand

Sellers are less likely to stretch out the facts, whether it concerns costs or protection and efficiency subtleties, when they know it can stir up a vicious response from wounded rivals. It suggests that if one company advertises their product in a deceptive way, then comparable ads will be detrimental against another company with a similar product.

Some in the marketing industry have said that the value of ads comes into play when the organization gives investors a presentation. The company needs a strong marketing campaign to keep the stockholders and investors trust in the company and keep the money flowing in, in order to manufacture the goods.