Survey
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Business Studies in Action: HSC Course 3rd edition Chapter summaries Topic 3: Marketing Chapter 13 Ethical and legal aspects of marketing The ethical and legal position adopted by a marketing manager is ultimately determined by individual judgement. Two marketing strategies that have raised the concerns of many people relate to the ethics of: - sponsorship deals - product placement: the inclusion of advertising into entertainment. Marketers need to be sensitive to society’s environmental concerns. This can lead to new marketing opportunities such as green marketing; that is, products that have minimal environmental impact. Other ethical considerations include: - customer manipulation and persuasion. - encouragement of materialism. - security and privacy of databases. - high advertising costs create higher prices. - sugging: selling under the guise of a survey. There are a number of consumer laws that protect the rights of consumers, and clarify the rights and responsibilities of businesses. The main ones include: - Sale of Goods Act 1923 (NSW): deals with what must exist for a sales contract to be legal. - Fair Trading Act 1998 (NSW): outlines a code of good business conduct. - Trade Practices Act 1974 (Cth): prohibits various restrictive trade practices. Business Studies in Action: HSC Course 3rd ed. Chapman, Norris, Devenish and Merritt. Chapter summary Page 1 The main restrictive trade practices are: - deceptive and misleading advertising – creating a false impression in an attempt to influence customers. - price discrimination – the setting of different prices for a product in separate markets - implied conditions – unspoken and/or unwritten terms of a contract. The two most important implied terms relating to consumer purchases refer to: o merchantable quality: the product is of a standard a reasonable person would expect for the price. o fitness of purpose: the product is suitable for the purpose for which it is being sold. - warranties – promise to repair or replace faulty products. - resale price maintenance – forcing a set price on a retailer. Business Studies in Action: HSC Course 3rd ed. Chapman, Norris, Devenish and Merritt. Chapter summary Page 2