Exam 6: The Regulatory and Ethical Environment of Promotions

Scenario 6-4 The Lightning Rod is a fishing rod being introduced by Castaway Sports. At a preliminary meeting with its agency, the president of Castaway Sports mentions that the rod can improve casting distance for an average individual by more than 20 percent. The account executive asks if the president has data to support this. The president replies yes. The agency proceeds to produce a series of television spots featuring the endorsement of a well-known celebrity. The spots run on network television and trumpet the improved casting distance that the rod provides. The slogan of the spots is "Lightning Rods--the finest rod ever cast." After about a week, a competitor questions whether the rods really offer the improved performance Castaway Sports claims. The competitor files a complaint with the FTC. -(Scenario 6-4) The slogan for the spot, "Lightning Rods--the finest rods ever cast," would most likely be considered by courts in the United States as

According to critics of advertising, advertising educates consumers and informs them of the choices they have including product features and benefits and is helpful in comparing one product to another.

Scenario 6-3 "Consumerism is a pattern of behavior that helps to destroy our environment, personal financial health, the common good of individuals and human institutions" begins the first page on a World Wide website entitled "Overcoming Consumerism." It continues, "This site details ways that you can help defeat consumerism, save money, work less and lead a more satisfying and environmentally benign life while helping to restore the self-sufficiency of your community." (http://www.verdant.net/) As one travels from page to page in the site, advertising is often implicated as a source of the movement toward consumerism. Many of the same criticisms of advertising found in the site were outlined in the textbook. -(Scenario 6-3) A quote from the site states, "Consumerism encourages people to buy for the sake of buying, with little regard for the true utility of what is bought." Which one of the following is not representative of the point of view of the writer?

According to Maslow, when Clorox wipes highlight the germ-harboring aspect of conventional sponges, it is addressing

Which one of the following is a controversial product other than tobacco or alcohol

Critics of advertising charge that alcohol and tobacco firms are targeting adolescents with ads that make dangerous and addictive products appealing; which of the following is true

Scenario 6-4 The Lightning Rod is a fishing rod being introduced by Castaway Sports. At a preliminary meeting with its agency, the president of Castaway Sports mentions that the rod can improve casting distance for an average individual by more than 20 percent. The account executive asks if the president has data to support this. The president replies yes. The agency proceeds to produce a series of television spots featuring the endorsement of a well-known celebrity. The spots run on network television and trumpet the improved casting distance that the rod provides. The slogan of the spots is "Lightning Rods--the finest rod ever cast." After about a week, a competitor questions whether the rods really offer the improved performance Castaway Sports claims. The competitor files a complaint with the FTC. -(Scenario 6-4) To meet FTC standards for the use of a celebrity endorser,

Some argue that a "pro" of advertising is that it fosters a diverse and affordable mass media; if so, which of the following is (are) true?

Scenario 6-1 A group that calls itself Adbusters has a site on the World Wide Web. The site contains many pages that address issues of consumption and culture, media practices and corporate responsibilities. For example, "the momentum has clearly accelerated. By some measures humans have used more physical resources since World War II than in all of history before it. It's now taking a toll beyond anything we could ever have imagined. What does it mean when one-sixth of the world's population consumes without any real restraint?" Throughout the website, there are many references to advertising's role in creating and maintaining this situation. Not surprisingly, virtually all of the references to the practice of advertising are negative. (http://www.adbusters.org/home/) -(Scenario 6-1) Adbusters faults cigarette companies for targeting billboard campaigns at ethnic and minority groups. In the same vein, advertisers are criticized as portraying women:

The NARB is a government agency that has the power to enforce government regulations and create new federal standards regarding unfair or deceptive advertising practices.