¶ … casts light upon the unethical practices carried out in the domain of marketing strategy. The paper identifies basic ethical issues explaining how customers are trapped and they lose confidence in the organizations and their marketing campaigns.
Marketing is considered as the backbone of a business organization which enables it to communicate with the customers. It is an unquestioned fact that business is driven by the customers who are primary revenue generators and no business can survive without customers (Kotler). The core objective behind establishment of a business is to earn profit and the customer is the sole body driving the process of profit generation.
Profit generation is the function of increasing gap between cost and price of item sold or increasing the number of items sold. The former option is difficult to practice in every industry and it may be a temporary approach. Hence the business practitioners tend to focus on the latter option. Even the organizations which enjoy higher profit margins tend to attract more and more customers as there is no ceiling to profits and no one dislikes the higher profits coming from high sale of items.
Having understood the importance of customers in the business market, every organization tends to attract more and more customers. The marketing strategy is crucial for every business organizations and experts are hired to devise an effective marketing strategy.
Marketing revolves around making the target market realize that the product or service offered by a particular organization is the need of the customer. There was a time when product development cycle was triggered by the need of a particular product. Need identification was the basic step in every business identity and organizations came into existence to meet the needs of the customers (Rosenau). As the lifestyle improved, and the needs changed from food, clothing and shelter to uncountable objects facilitating human lives, the business organizations ended up following unethical practices in marketing strategies.
It is important to mention that the modern 21st century changed the marketing paradigm from developing a product to satisfy the customers' need to developing a product and creating its need. It is ironic but fact that the customer of 21st century feels his life incomplete without the products which were beyond the imagination of people living in 20th century. The quest for development in life style led to many changes hence the organizations evolved with offering the products which do not satisfy any need rather serve no purpose other than generating profits for the organizations. This practice in unethical as the customer is trapped to buy the product considering it his need, while the reality is not the same.
The marketing literature is rich in flattering customers about the importance of their satisfaction level for the organizations. Every business organization claims that its success lies in the satisfaction of customer and it leaves no stone unturned to attain the maximum possible satisfaction level (Szwarc). There are organizations which go even beyond the satisfaction level and talk about customer's gratification level and his delight. Still, while devising marketing strategies, the organizations tend to promote the positive points of their offers and hide the negative points. Consequently, the customers are attracted and many leads are generated. The leads are converted into opportunities as well as the task force is trained enough to trap the customers. It is only after the customer uses the product that he comes across the real features and performance of the product.
The organizations boast of their feedback system that they get feedback from their customers (Self and Roche) and use that feedback for improvement of their products. They fail to realize that every customer does not give feedback. There are uncountable users of their products who have no time and interest in their feedback surveys. Hardly any customer gets back to the organization to complain about the product. Rest of them finds it an easy solution that the product offered by competitor is purchased.
The absence of feedback and complain does not mean that the customers are satisfied. The simple consequence is the customers lose confidence in the organization's marketing tactics which had forced them to buy the product. It also happens that people start ignoring the sales force as they feel that the sales people cheat the customers.
There are many ethical and social issues having their roots in the marketing strategy of organizations and ultimately lead to increased dissatisfaction of the customers. The customers may...
Intellectual Property and Corporate Espionage Corporate espionage is an illegal activity though it is on rise in industrial settings. Organizations consider it as one of the techniques to increase their market share and beat the competitor. Various laws have been approved to combat these practices on domestic and international levels. Violation of these acts can result is heavy fines and suspension from business sector. The advent of information technology has revolutionized the
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