Exam 4: Social Responsibility and Ethics in Marketing

L'Oreal, a manufacturer of personal care and beauty products has a focus on sustainability. It has developed eco-packaging, eliminated many potentially harmful chemicals from its products, and has improved its production systems to reduce waste. What major social responsibility issue is L'Oreal addressing?

A cereal company advertises that its newly launched product can lower cholesterol although the company cannot provide evidence to substantiate this claim. This situation involves an ethical issue related to which element of the marketing mix?

In a meeting with key personnel, Watson Corporation's president speaks to the firm's managers about social responsibility in business today. He suggests that the key to being socially responsible is to

There are few costs associated with being socially responsible and satisfying society's demands.

Marketing ethics refers to principles and standards that define acceptable conduct in marketing.

At the most basic level of marketing citizenship, marketers have an obligation to contribute funds to philanthropic causes.

Reese has recently joined PharmaTec, a large pharmaceutical firm, as a sales representative. During his interview, he was surprised that no one wanted to talk about why the previous sales rep suddenly left the company. However, today he has just been "briefed" on the recent lawsuit one of the physician's has filed against PharmaTec concerning the lack of information he received from the company about the negative effects of one of its cholesterol drugs. Reese's sales manager has demanded that if he comes across any documentation in the former sales representative's office about visits with the physician, that Reece is to not say anything to anyone and notify the manager immediately. Reese certainly doesn't want to jeopardize his new, and potentially profitable, job. He has identified four possible courses of action he could take. He knows he should evaluate each possible action with which of the following criteria in order to choose the one most appropriate?

​The Federal Trade Commission (FTC) is an organization that plays a significant role in defining the principles and standards that define acceptable conduct in the marketing, promotion and advertising of products and services in the United States.Which one of the following statements is true about the organization?

Scenario 4.2 Use the following to answer the questions.WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996, and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gasses from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically modified soy beans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans. -Refer to Scenario 4.2. The use of wind power to offset energy consumption by Silk Soymilk's parent company demonstrates its commitment to

The more a person is exposed to unethical activity in the organizational environment, the more likely it is that he or she will behave unethically.

Strategic philanthropy involves linking a firm's products to a particular social cause on a sort-term basis.

A business that contributes resources to the community to improve the quality of life is taking on a(n) ____ responsibility.

The practice of linking a firm's product marketing to a particular social cause on an ongoing or short-term basis is known as

What do environmentalists set as an objective for profitability?

Scenario 4.2 Use the following to answer the questions.WhiteWave Foods, producer of brands such as Silk Soymilk, specializes in manufacturing innovative and nutritious food products. Silk Soymilk was first launched in 1996, and is committed to the health of its customers, as well as the health of the planet. At Silk, they have offset all of their energy consumption with wind power, preventing over 16,000 tons of greenhouse gasses from entering the atmosphere each year. Silk Soymilk is made from a mixture of organic and natural, non-genetically modified soy beans, reducing the amount of pesticides in the air, soil, and water. Since 2002 they have been sponsoring the FarmAid concert, whose mission is to is to keep family farmers on their land and ensure a safe, healthy food supply for all Americans. -Refer to Scenario 4.2. Silk Soymilk's sponsorship of the FarmAid concert is best thought of as an example of its

An organization can rid itself of "bad apples" through screening techniques and enforcement of its code of conduct.

If Hefty Bags expresses concern that its products are having too great an impact on the pollution of ground water under landfills, this concern is directly related to the firm's

Which of the following would be consistent with Johnson Chemicals' understanding of the "bad apple" concept of improving the ethical conduct of salespeople?

In response to organizational pressure to perform, Barry used a deceptive sales tactic to obtain a major sales contract. He was surprised that he wasn't punished for his behavior and even received a substantial bonus for securing the contract. Given the same opportunity in the future, Barry will most likely

Opportunity is a favorable set of conditions that limit barriers or provide rewards.