Ethical Issues in Advertising

Presented by : Sadique Ahmed Farhin Khanam Shweta lekhrajani

INTRODUCTION
There is no doubt that advertising attracts all of us in number of ways, but there are also number of controversies associated with advertising Generally, these controversies are concerned about the impact of advertising on economy, society and ethics.

ROLE OF ADVERTISING IN MODERN BUSINESS WORLD

Advertising is primarily a means by which sellers communicate to prospective buyers. What they communicate? The worth of their goods and services.

ROLE OF ADVERTISING IN MODERN BUSINESS WORLD

1. Economic function 2. Social function 3. Psychological function

Economic function
Economic function Advertising communicates the message in persuasive language. It create wide markets as the information is delivered to people far and wide It inclines people favorably to the products and affect our attitudes Therefore, advertising performs an economic function by being an art of persuasion Advertising is also an economic processit helps the product to become known and it facilitates exchange between those who need the product and those who can satisfy the need Provides employment opportunities.

Social function
1. Social function Advertising affects the core cultural values and subsidiary cultural values. 2. Advertising is a mirror to the society in which it operatesit reflects the cultural values of that society Advertising can also transfer some cultural values of one society to other. 3. Advertising has improved our standard of living e.g. we buy TV, AC, Computers, Cars etc after getting interested in these products through advertising. 4. We have accepted new ideas such as microwave, electric shaving, detergents etc through advertising.

Psychological function
Psychological function Advertising is closely linked to consumer behavior, therefore, it affects personality of consumer, his concept of self, his attitudes, beliefs, opinions, his life-style etc Advertising appeals to our physiological and psychological motives.

ADVERTISING AND SOCIETY

Advertisements are not just the sellers. They reflect the society Whatever is used in society is reflected in advertising e.g. Indian society is highly family oriented (example ads: savings for children, daughters marriage) Indian society is peopleoriented, and not self-oriented For the sake of our family and others, we Indians can postpone our own gratification We are also fun loving (example ads: Lux, Coke, Denim Jeans etc)

ETHICS IN ADVERTISING
1. Should not mislead the consumer What it promises must be there in the performance of products. 2. Ad should not be indecent and obscene As advertising is also a social process, it must honor the norms of social behavior, and should not offend our moral sense. 3. ASCI (Advertising Standards Council of India) regulates the advertising in India.

ASCI GUIDELINES
1. To ensure the truthfulness and honesty of representations and claims made by advertisements and to safeguard against misleading advertising. 2. To ensure that advertisements are not offensive to generally accepted standards of public decency. 3. To safeguard against indiscriminate use of advertising for promotion of products which are regarded as hazardous to society or to individuals to a degree or of a type which is unacceptable to society in large. 4. To ensure that advertisements observe fairness in competition so that consumers need to be informed on choices in the market place and the canons of generally accepted competitive behavior in business are both served.

ETHICAL ISSUES IN ADVERTISING

Advertising is a highly visible business activity and any lapse in ethical standards can often be risky for the company. Some of the common examples of ethical issues in advertising are give below: Vulgarity/Obscenity used to gain consumers attention Misleading information and deception Puffery Stereotypes Racial issues Controversial products (e.g. alcohol, gambling, tobacco etc)

Thank You!