How Do Adds Affect Our Life
Chapter 3
The Economic, Social, and Regulatory Aspects of Advertising
Objectives
TO IDENTIFY AND EXPLAIN THE ECONOMIC, SOCIAL, ETHICAL, AND
LEGAL ISSUES ADVERTISERS MUST CONSIDER. The basic economic
principles that guided the evolution of advertising also have social and legal effects. When they are violated, social issues arise and the government may take corrective measures. Society determines what is offensive, excessive, and irresponsible; government bodies determine what is deceptive and unfair. To be
law-abiding, ethical, and socially responsible, as well as economically effective, advertisers must understand these issues. After studying this chapter, you will be able to:
* * *
Classify the two main types of social criticisms of advertising. Employ an economic model to discuss advertising’s effect on society. Explain the difference between social responsibility and ethics in advertising.
* * *
Understand how governments regulate advertising here and abroad. Discuss recent court rulings that affect advertisers’ freedom of speech. Describe how federal agencies regulate advertising to protect both consumers and competitors.
* *
Define the roles state and local governments play in advertising regulation. Discuss the activities of nongovernment organizations in fighting fraudulent and deceptive advertising.
In their constant quest to attract consumers and associate products with “cool” or luxurious and hedonistic lifestyles, some advertisers have consistently pushed the boundaries of what is ethically and socially acceptable. American advertising has always embraced erotic suggestiveness while usually staying clear of full nudity and explicit sexuality. Campaigns that blur that distinction often arouse controversy and even protest. For two decades, the most notorious purveyor of sensual “cool” was
Calvin Klein—beginning in the late 1970s with the “nothing comes between me and my Calvin’s” campaign featuring Brooke Shields and culminating in 1998’s
The Economic, Social, and Regulatory Aspects of Advertising
Objectives
TO IDENTIFY AND EXPLAIN THE ECONOMIC, SOCIAL, ETHICAL, AND
LEGAL ISSUES ADVERTISERS MUST CONSIDER. The basic economic
principles that guided the evolution of advertising also have social and legal effects. When they are violated, social issues arise and the government may take corrective measures. Society determines what is offensive, excessive, and irresponsible; government bodies determine what is deceptive and unfair. To be
law-abiding, ethical, and socially responsible, as well as economically effective, advertisers must understand these issues. After studying this chapter, you will be able to:
* * *
Classify the two main types of social criticisms of advertising. Employ an economic model to discuss advertising’s effect on society. Explain the difference between social responsibility and ethics in advertising.
* * *
Understand how governments regulate advertising here and abroad. Discuss recent court rulings that affect advertisers’ freedom of speech. Describe how federal agencies regulate advertising to protect both consumers and competitors.
* *
Define the roles state and local governments play in advertising regulation. Discuss the activities of nongovernment organizations in fighting fraudulent and deceptive advertising.
In their constant quest to attract consumers and associate products with “cool” or luxurious and hedonistic lifestyles, some advertisers have consistently pushed the boundaries of what is ethically and socially acceptable. American advertising has always embraced erotic suggestiveness while usually staying clear of full nudity and explicit sexuality. Campaigns that blur that distinction often arouse controversy and even protest. For two decades, the most notorious purveyor of sensual “cool” was
Calvin Klein—beginning in the late 1970s with the “nothing comes between me and my Calvin’s” campaign featuring Brooke Shields and culminating in 1998’s