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New Concepts in Commerce Second edition Chapter 6: Promoting and selling, pages 162–163 Worksheet 6.1 Product promotion strategies — you be the judge Student: Alland Odisho ....................................... Class: 10 COM 1 Teacher: Ms. Obrien ........................................... Due date: ............................. Good advertisements can help consumers spend their money wisely. It is largely through advertising that consumers learn about goods and services that are available to be bought. However, advertisers sometimes try to get people to buy goods for the wrong reasons. Advertising is a harmful influence when it misrepresents or when it persuades consumers to make unwise choices. Instructions 1. Assume you have been asked to present a five-minute speech on the advantages and disadvantages of advertising. To help prepare for the speech, complete the following table. The first entry has been completed for you. Arguments for advertising Arguments against advertising 1. Advertisements inform consumers about the choices available to them. 1. High advertising costs are passed on to the consumer in higher prices. 2. The advertisement might attract customers which will increase profits. 2. May present false advertisement and mislead consumers. 3. Promote the business. 3. 4. You can express how your product is better then others. 4. 5. 5. 6. 6. 7. 7. 2. A well-respected consumer advocate urges that are ‘dishonest’ or in poor taste? consumers to boycott goods and services they A:You could contact the ACCC and they can believe are ‘dishonestly advertised’. She adds that take action against the people involved with the ‘when you suffer in silence, the reputable and honest advertisement. advertisers are misled by your silence’. (a) What does the term ‘boycott’ mean? 3. The website of a Canadian-based group called A:To abstain from buying or using Adbusters includes some tactics used by corporations to promote their products. To explore (b) What do you suppose she means by this site, use the weblink in your eBookPLUS. ‘dishonestly advertised’? What is your opinion of the stand being taken by A:When advertising is misleading and does not Adbusters? Do you think that this type of publicity tell the truth. is fair or unfair to corporations who are trying to (c) Do you agree or disagree with this advice? Why? promote their goods? A: I disagree with the advice because I believe consumers should be responsible for what they A:I believe it is fair because when you make an buy. advertisement with misleading information you (d) What else can you do to discourage advertisements should be shamed. John Wiley & Sons Australia, Ltd 2010. 1 2 John Wiley & Sons Australia, Ltd 2010. This sheet may be photocopied for non-commercial classroom use.