Green Market And Ethical Issues In Marketing 3z1t66

ISSUES IN GREEN AND ETHICAL MARKETING

Submitted by: Damandeep S 1204366

DEFINITION OF GREEN MARKETING •  Green marketing refers to the process of selling products or services based on their environmental benefits. Such a product or service may be environmentally friendly in itself or produced or packaged in an environmentally friendly way.

DEFINITION OF MARKETING ETHICS Ethics is the art and science of determining good and bad or right and wrong moral behavior. Marketing ethics is an area that deals with the moral principles behind marketing. Ethics in marketing applies to different spheres such as in product, pricing, Placing (Distribution), promotion & advertising etc...

Concept about green and ethical issues The responsibility to save environment and to keep the surroundings pollution-free is growing day by day as the atmosphere is already polluted to most extent and it is time to save environment and to save ourselves.

Green Concept The concept which helps us to protect the green of our environment is known as Green concept. Because of lacking of this concept we, the factories of our country, are facing the image problem for which we are loosing our buyers Green concept includes these following items : •Water refining •Smoke refining •Garbage recycling

•Water refining: Water refining is the process by which we will get pure and clean water by refining waste water.

ETP FOR TEXTILE INDUSTRY: ETP is used for treated waste water which is come from different manufacturing industries where different types of chemical and dyes are used for treated the materials. After treatment waste water are discharge to the environment directly. The waste water is harmful for the environment. To protect the environment from the harmful effect of the waste water effluent treatment plant is used where waste water is treated and makes is not harmful to the environment.

• Smoke refining: Smoke refining is the process by which we get fresh smoke which is essential for our environment.

• Garbage recyclining: It is the process by which we get new and useful product by reclining used and waste material. This is done to reduce the use of raw materials.

Ethical Concept • Standard salary

• Pure drinking water supply

• Training for new workers

• Remove child labor

• Full time medical

• Fire safety

ETHICAL ISSUES IN MARKETING 

Market Research During research process it is the responsibility of researcher to keep the information secret which he collects from respondent. Misuse of this info creates unethical issue in marketing.

 Market Audience • Unethical practices in marketing can result in grouping the audience into various segments. Selective marketing may be used to discourage the demand arising from these socalled undesirable market segments or to disenfranchise them totally. • Examples of unethical market exclusion may include the industry attitudes towards the gay, ethnic minority and plus-size groups.

 Pricing issues a.) Bait and switch : Bait and switch is a type of fraud where customers are "baited" through the ments for some products or services that have a low price; however, the customers find in reality that the d good is unavailable and they are "switched" towards a product that is costlier and was not intended in the ments. Selling higher priced product is legal but advertising low priced item is unethical.

b.) Price fixing: collaboration of two or more firms in setting prices usually to keep prices high. Two types: • Horizontal price fixing: When competitors making same product tly determine the price. Ex: in 1994 six major airlines fix the prices. • Vertical price fixing: Manufacturers retailers to charge high prices. Consumer goods pricing act 1966.

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c.) Predatory pricing : Predatory pricing is the practice of sale of a product or service at a negligible price, intending to throw competitors out of the market, or to create barriers to entry. d.) Bid rigging : It is a type of fraud in which a commercial contract is promised to one party, however, for the sake of appearance several other parties also present a bid.

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Advertising and Promotion

I) Honesty: An r who fails to tell people the truth about their product breaks the law and goes against moral standards. For example in the 1940s and 1950s tobacco was d to be good for one’s health, but doing so today would not be allowed. II)

Negative Advertising: This is where the r highlights the shortcomings of their competition rather than highlight to their audience, their advantages. • Negative advertising is commonly used in political campaigns.

III) Direct Marketing: Direct marketing brings about ethical issues especially when the public has not asked or agreed to being provided with adverts. A good example of this is spam mail. IV) Fake Reviews: Sometimes may make fake positive reviews for their products. For example the reviews may be published on sites like Amazon.com or in auction sites like Ebay.com. Some promoters even manipulate the number of views they get on Youtube.com, to favor them.

Current ethical issues in marketing I) Tobacco advertising: advertising of tobacco isnot illegal in some country but it isunethical II) Alcohol advertising: ment in thename of mineral water or club soda • Ex: bagpiper

III) Despite the decrease in sales of hard liquor,there is an increase in alcoholic soft drinks.

IV) These taste like colas or fruit juices but maycontain more alcohol than beer does.

GREEN MARKETING- ISSUES I) Need for Eco labeling Schemes : It is found that only 5% of the marketing messages from green campaigns are entirely true and there is a lack of standardization to authenticate. There is no standardization currently in place to certify a products as organic. Unless some regulatory bodies are involved in providing the certification there will not be only verifiable means. So a standard quality control board needs to be in place for labeling.

II) New Concept : Indian literate and urban consumer is getting more aware about the benefits of using green products but still it is a new concept for rural people. So rural consumer needs to be educated and made aware of environmental products. III) Lack of Patience : The invertors and corporate need to view the environment as a long term investment opportunity. So they will require a lot of patience and no immediate result. Because this is a new concept and it will take a lot of time.

Conclusion Consumers are drawn to organizations that they believe act ethically. Marketers have taken note of this and are shifting their marketing strategies to cater for this. Therefore, corporations care for their public image and the exposure of their unethical practices by the press. Green marketing but still it is in infancy stage. And green marketing programs have not been entirely successful. Two main problem are that consumers may believe the product is of inferior quality as a result of being green and they also feel that the product is not really that green to begin with. So we have to educate customers with marketing messages for eg. “Pesticide free product is healthier”, “Energy efficiency saves money ”, solar power is convenient.