FIGURE 4-1 Classifying marketing
decisions according to ethical and legal
relationships
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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FIGURE 4-2 A framework for understanding
ethical behavior
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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MARKETING NEWSNET
Internet Piracy and Campus Pirates
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING ETHICAL
MARKETING BEHAVIOR
• Business Culture and Industry Practices
 Business Cultures
 Ethics of Exchange
• Caveat Emptor
• Consumer Bill of Rights
• Federal Trade Commission (FTC)
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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Federal Trade Commission
Is your online privacy protected?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING ETHICAL
MARKETING BEHAVIOR
• Business Culture and Industry Practices
 Ethics of Competition
• Economic Espionage
• Bribes
• Kickbacks
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING ETHICAL
MARKETING BEHAVIOR
• Corporate Culture and Expectations
 Corporate Culture
 Code of Ethics
 Ethical Behavior of Top Management and
Co-workers
• Whistle-blowers
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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FIGURE 4-3 American Marketing
Association Code of Ethics
Click on the icon for the
AMA Code of Ethics
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING ETHICAL
MARKETING BEHAVIOR
• Personal Moral Philosophy and
Ethical Behavior
 Moral Idealism
 Utilitarianism
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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FIGURE 4-A Personal moral philosophies
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING SOCIAL
RESPONSIBILITY IN MARKETING
• Concepts of Social Responsibility
 Profit Responsibility
 Stakeholder Responsibility
 Societal Responsibility
• Green Marketing
• ISO 14000
• Cause Marketing
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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FIGURE 4-4 Three concepts of social
responsibility
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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Avon
Why do companies engage in cause marketing?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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MARKETING NEWSNET
Will Consumers Switch Brands
for a Cause? Yes, if…
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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UNDERSTANDING SOCIAL
RESPONSIBILITY IN MARKETING
• The Social Audit: Doing Well by Doing
Good
 Social Audit
 Sustainable Development
• Turning the Table: Consumer Ethics
and Social Responsibility
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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Ronald McDonald House
How do companies ‘do well by doing good’?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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Reebok
Why is sustainable development important?
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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VIDEO CASE 4
Starbucks
FIGURE 1 Starbucks Mission Statement and
Guiding Principles
© 2006 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
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