Societal marketing concept - Discussion on the different ways by which organizations can become more ethical and socially responsible in their marketing activities

Résumé du document

Consumers have shown an increasing interest in ethical issues over the last few years. Consequently, ethics has become particularly relevant in marketing, as it represents the interface between the company and the customers. This paper discusses the different ways in which an organization can become more ethical and socially responsible in its marketing activities. A presentation of ethical theories clarifies what ethics in marketing is. Many examples of companies' practices permit to identify societal marketing strategies and common ethical issues that marketers are likely to encounter. The development of codes and decision-making processes can help them to be more ethical in their activities.

Keywords - Corporate societal marketing , Social responsibility, Code of conduct and Ethical decision making

Extraits

[...] Classical ethical theories Becoming more ethical requires some knowledge about ethical theory. In philosophy, being ethical means doing what is right or good. Ethic relies then on morality, determining what is morally right, not strategically or commercially right which can be very different (Crane and Matten 2004). This is the evaluation criteria of human behaviour. Lazniack and Murphy (1993) distinguish four ethical theories. The first and most criticized approach is called “Managerial Egoism”. This philosophy assumes that people act only in their own self interest and consequently managers should take decisions which are in the interest of their firm as long as they are accepted by the law. [...]

[...] First step, all the norms, rules, guidelines that the marketing managers will have to follow must be written. It is not an easy task to define these guidelines; the American Marketing Association Code of Ethics can be a good starting point (appendix 2). However, the best written code of conducts could not ensure an ethical behaviour of all the members of the companies because ethic relates to individuals. Everyday a marketing manager has to take decisions on its own that may have an ethical dimension. To be effective, a code of ethics requires a total corporate commitment. [...]

[...] In this role, marketers should embrace the highest ethical norms of practicing professionals and the ethical values implied by their responsibility toward stakeholders (e.g., customers, employees, investors, channel members, regulators and the host community). General Norms 1. Marketers must do no harm. This means doing work for which they are appropriately trained or experienced so that they can actively add value to their organizations and customers. It also means adhering to all applicable laws and regulations and embodying high ethical standards in the choices they make Marketers must foster trust in the marketing system. [...]

[...] CSM Strategies and benefits Companies which seek more ethical or socially responsible marketing practices have developed a lot of different CSM strategies. Thus, they create a interesting competitive advantage. The first strategy is the corporate philanthropy, i.e. the effort or inclination to increase the well- being of humankind, as by charitable aid or donations. For example, each year Tesco aims to give per cent of its pre-tax profit to good causes and selects a national charity with a strong community network to become its “Charity of the Year” which receives 20% from Tesco Charity Trust. [...]

[...] This trend is increasing and has a positive impact on the public. Indeed, ethic, corporate responsibility and environmental issues play nowadays an important role in customers' decision- making process. The next section will explain the major ethical theories. The paper then will go on to discuss different strategies used by organizations to become more ethical. After, ethical issues in marketing mix will be identified. The final part of the paper will focus on codes and decision-making processes that help marketing managers to act ethically. [...]