Exam 14: Regulations and Ethical Concerns

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When the Federal Trade Commission orders a firm to prepare corrective advertisements, the goal is to bring people back to the neutral state that existed before the false and deceptive advertising was used by the company.

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True

A person targeted by a mail fraud campaign should contact the Federal Communications Commission.

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False

What is stealth marketing?

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Stealth marketing is a form of buzz. The approach entices a consumer to examine a product through a personal contact without realizing the person making the pitch is actually paid or compensated in some way.

If the NARB rules against an advertiser, it will issue an order that will be similar to a:

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Which statement below about the advertising of underwear, sexually-related products, feminine hygiene products, and male enhancement products is false?

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In terms of foundations and frameworks for guiding human behavior, legal systems are designed to tell people what they can and cannot do.

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The agency with the greatest degree of jurisdiction over marketing and advertising is the:

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The Wheeler-Lea Amendment makes advertising using puffery illegal.

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Explain the difference between deception and puffery.

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Incidental ambush marketing occurs when:

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If the National Advertising Division finds an advertisement has not been properly substantiated, the NAD normally will:

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A form of law based on a broad set of legal principles and decisions made based on legal codes that have been written over time is which type of law?

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Direct ambush marketing occurs when:

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Name the entities or organizations that can register complaints that will trigger a Federal Trade Commission (FTC)investigation.

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The philosophy of life that involves maximizing pleasure and minimizing pain is:

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Individuals and organizations have responded to the need for a more ethical environment by creating ethics training programs, codes of ethics, and ethics consulting systems.

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A form of law based on local customs, traditions, and precedents is which type of law?

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Brand infringement issues become more complex when a brand is so well established that it may be considered a generic term, such as Ford or Toyota.

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If a consent agreement cannot be reached after an investigation by the Federal Trade Commission, the case would next go to the full commission.

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Many social commentators suggest that advertising and other forms of marketing perpetuate negative stereotypes of males, females, and minorities.

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