The Legal and Ethical Considerations of Marketing in America

The Legal and Ethical Considerations of Marketing in America

Marketing in today's world is increasingly difficult as companies are challenged with a fragmented marketplace. Companies are tasked with determining who their target market is, where they are consuming their news and information, and what they will respond to. Consumers have many places to look for information; print, company websites, review websites or search engines, television, direct marketing, magazines, social networks, radio and friends and family. In the world of marketers, the task at hand is to develop a plan to target their audience in the most effective fashion while maintaining the company's core values. For most, the message is clear and concise; for others, the messages are designed to cut through the clutter through promises of the next best thing, but often times fall short. The lack of honesty in marketing with companies that are determined to win at any cost continue to bring the issue of ethics and marketing to the forefront.

The topic of ethical marketing and business ethics are closely related, and therefore can be interchangeable in many situations. Essentially, a company that has a strong, moral (ethical) foundation will generally conduct business in a transparent and trustworthy fashion. From a marketing perspective, the messages will likely follow the lead of the executives and will be presented to consumers in a transparent fashion. For example, Costco Wholesale has created an environment that is known for taking care of its members on all levels. On its website, Costco's Code of Ethics states four things: obey the law, take care of our members, take care of our employees and respect our suppliers (Code of Ethics, n.d.). By being transparent in its business practices, marketing their services ethically, and standing behind their code of ethics on all levels, Costco has created a level of trust with their members and ultimately, meets its goals with its shareholders.

Creating trust in the marketplace is one of the most time consuming and difficult things to achieve for an organization. As a marketer, it does not mean that an organization cannot have trade secrets, nor does it mean the "special sauce" of an organization must be revealed to the public - or it's competitors - to be transparent and create trust. Rather, a marketer that adheres to the code of ethics set forth by the American Marketing Association (AMA), serves their organization, but also acts "as stewards of their society in creating, facilitating and executing the transactions that are part of the greater economy" (Statement of, 2013). For example, Wildflower Bread Company promotes the use of free-range, organic foods in their restaurants. For an individual seeking this kind of dietary requirement, it is imperative that the information supplied by the restaurant is accurate. If it was discovered