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Whether the Use of Technology by Marketers to Gather Information about Customers is Ethical or Unethical - Essay Example

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This paper identifies the various methods by which marketers gather information about customers’ shopping activities and their personal details, with the use of advanced technology. The ethical and unethical aspects of the techniques and strategies used by marketers are discussed in detail …
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Whether the Use of Technology by Marketers to Gather Information about Customers is Ethical or Unethical
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Marketing WHETHER THE USE OF TECHNOLOGY BY MARKETERS TO GATHER INFORMATION ABOUT S IS ETHICAL OR UNETHICAL Introduction Marketing strategies are changing with greater use of the Internet which is now the centre of increasing business activity. Personalized marketing is made possible by tracking the customer, recording his or her preferences and inclinations, and presenting the customer with products that they are most likely to buy. There is a shift away from business based on generalizations and estimates of the average requirements of customers, to a system of one-on-one trade activities. The change in the dynamics of business activities is due to the transition from the Industrial Age to the Information Age and the increased use of technology (George, 2000: 262-265). The move of business to the information age raises many ethical issues. Identifying the ethical issues and providing ethical guidelines is a major challenge for commerce and business ethics in the new millennium. Information about individuals raises the issue about privacy, and information about corporations leads to problems related to trade secrecy and espionage. As information becomes a central marketing tool, the abuse or mis-use that technology makes possible can lead to harm for individuals, society and social relations. Due to the vulnerability of information networks the need for safe-guards of online privacy as a part of business ethics has become vital today. (George, 2000: 262-268). A corporation’s greatest asset is customer trust which forms the foundation for a continuing relationship; hence information managers and technologists are confronted with the challenge of protecting online privacy (Cannon, 2002: 42). The purpose of this paper is to investigate the extent to which the use of technology by marketers to gather information about customers, is ethical or unethical in its outcomes. Discussion Marketing ethics is “the systematic study of how moral standards are applied to marketing decisions, behaviours and institutions” (Abela & Murphy, 2007: 1). Most companies and professional service organizations collect information about customers, using new technologies. They keep pace with new information technology for tracking customers’ information by various methods. Most of the information is gathered through self-divulgence of data by the consumers for various reasons such as for purchases, for accessing a Web site, anonymous profile data, cookies, and from monitoring newsgroups and chatrooms (Kelly & Rowland, 2000: 4). Research has shown that some service firms were continuing to use their marketing databases for mail-list management and contact tracking, by automating the old procedures (Ovans, 1999: 18). With today’s advanced technology, the collection, categorising, and acquiring an integrated view of data is done instantaneously. Organizations have the means of analysing the finest details about each customer. They can identify the most profitable clients and formulate their marketing messages accordingly. With the collaboration and integration of information from different departments of the enterprise, the customer receives messages from a single source. This process is beneficial for the company and it also ensures better services for the client, but is dependent on the integration of information being done correctly. As personalization and data collection technologies become more advanced, it is observed that customers’ expectations are rising rapidly. Customers’ patience levels are decreasing and mistakes on the part of the organization are not overlooked (Cannon, 2002: 42). Each advance in technology such as mobile communication and broadband Internet, opens up new sets of opportunities. Increased connectivity and speed of information exchange are causing beneficial decrease in transaction costs. Information is the adhesive factor that holds together the value chains on which business is based, the supply chains which define industry, the customer relationships and product brands that underlie a franchise, and organizational hierarchy, power and the boundaries of operations. Navigators bring together the data that enable decision making in the context of greater connectivity and choice. Companies have to continually refocus and strategise with ongoing technology advancements, to compete in the present-day business environment (Evans, 2000: 16). The impact of new information processing technology on the functional aspects of service organizations is known; but it is now becoming clearer that the technology has a fundamental impact on marketing systems, especially in the service sector. It is vital that organizations should formulate marketing and information technology strategies (Piercy, 1984: 193). Loyalty economics is a thorough method of measuring the value of customer retention in terms of company profits, and “of providing the tools that enable a company to manage the real drivers of cost, growth and profit” (Reichheld, 1996: 61-62). By increasing customer retention by 5 percent, the company is able to accrue a profit of 25 percent to 125 percent per customer, in the business-to-business marketplace. There are several factors that play an important part in the ethical use of technology, such as privacy and customer permission, personalization, customer relationship management, the means by which latest technology is used for gathering information about customers, and the arguments which support their use as ethical approaches, and the arguments against their use as unethical approaches to data collection. Privacy and Customer Permission: For continued customer loyalty, the company has to ensure an ethical approach. Consent from the customer and process fairness are two important issues related to business ethics, according to Dhillon (2003: 2). For social contract to be established between the customer and the company, process fairness in protecting consumer information as well as in business transactions and in fulfilling orders are important criteria. This is supported by Cannon (2002: 42-44), who states that customer trust is based on two important concepts: privacy and customer permission. Having basic permission and privacy policy is now commonly obtained by marketers, as compared to earlier when these were considered exclusive. Privacy is becoming an important business strategy. Companies are introducing the new position of Chief Privacy Officer (CPO), at executive levels, who serve the best interests of the consumers, employees and suppliers. Hence, product launches, marketing campaigns and strategic partnerships which affect privacy can be monitored by the CPOs. Further, Ovans (1999: 18) is of the view that the actual focus should be on using marketing databases strategically, for achieving powerful growth and profitable outcomes. This would include determining which clients to target, the service lines which generate the highest returns, the domains in which clients were being stolen from competitors, where the company was losing to competitors, and other indices. The comparative advantages for adopting new superior technology have to be immense, as against continuing with the installed base technology, in three aspects: a combination of the following features is necessary: more accurate and/ or better and larger number of performance features in the workpiece; high level of error- and defect-free performance; higher relevance to use and customer satisfaction (Woodside, 1996: 37-38). Along with the promises of increased profits and financial growth, are the pitfalls of communication explosion resulting in information overload. It is crucial that both consumers as well as suppliers of online information are aware of the lines between information and advertising, between information and manipulation such as brainwashing, and between information and self-interest. Truthfulness, accuracy, trustworthiness and reliability are key to maintaining a high level of business ethics (George, 2000: 268). Personalization: This is another method of raising the level of customer loyalty. Personalization is sending the right message to the right person at the right time, while taking care to regulate the amount of information given out. It is not enough for a company to have highly publicised privacy policies. To ensure best outcomes from interactions with customers, sensitizing and training of online managers and technicians must be conducted. Personalization benefits all concerned: the company, customer and supplier. Better customer service is ensured which in turn leads to better customer loyalty and retention (Cannon, 2002: 43). Personalization software allows the name of the user to be introduced into the web pages, any details of previous purchases and transactions to be displayed, and related areas of interest to be demarcated. Personalized email messages are sent to a selected group of customers who are considered as prime targets, at an inexpensive rate. Research reveals that this type of marketing is effective, since Web users who configure, personalize or register on web sites, are more than twice as likely to purchase online than those who do not. It is found that in online transactions, a combination of a reward scheme with personalization can be a powerful instrument for loyalty. Personalization is being introduced in Tesco’s online service with its increased sophistication in analytical abilities, for suggesting particular products or special offers that would fit individual customers’ needs, based on their purchase history (Harris, 2002: 169-170). Customer Relationship Management: Customer relationship management is key to companies getting to know their customers. It refers to the relationship between the customer and those in the marketing sphere who interact with the customer. The database as a medium of conducting dialogue with the customer, enables the strategic development and maintenance of this relationship. “Each piece of information made available at the various interactions with the customer must be made available throughout the enterprise” (Cannon, 2002: 43). The information age has brought with it a blending of facts from the various databases of the company related to accounting, customer service, shipping, sales and marketing, thus providing the enterprise with a more complete picture of the customer. This streamlining of information is essential for improving customer relationship with the company. Further, every single point of contact within the company and in all areas of the supply chain is key to the success of customer relationships. Corporations are now giving the highest priority to understanding the effect of interactions on customer relationship, with the help of technology. Relationship marketing has the potential to improve customer satisfaction, which leads to customer loyalty. A loyal customer base has several benefits to the organization: repeat sales over a period of time will give rise to higher returns, managing existing customers is less costly than enrolling new customers which would entail credit checks, taking up references and other administrative tasks. Further, customer loyalty provides scope for cross-selling, opportunities for strategic partnerships, word-of-mouth recommendation of the company to others, and the reduction in promotional costs to increase business activities (Harris, 2002: 169). The Ways in Which Technology is Used By Marketers to Gather Information About Customers: Supermarkets are observed to be one of the most successful forms of retailing because of the extensive range of products offered at low prices. There is a high level of competition among supermarkets, with the leading ones trying for some form of advantage over their competitors. One source of advantage comes from merchandising or selling of a product which is a fundamental aspect of marketing. There is a growing trend for people to make unplanned purchases on an impulse, without the aid of lists. Shoppers increasingly choose what they buy whilst they are in a store, that is, at the point of purchase (POP). Though advertising plays an important part, in the case of supermarkets, “the ability to influence choice once people are actually inside a store has become more and more important, which is the challenge of marketing at the POP” (Morrell, 2004: 2). This is done in various ways such as the “buy one, get one free” deals, and other promotional pricing initiatives such as the “loyalty card” schemes. The introduction of new technology gives the market research industry more efficient ways of determining the impact of their POP marketing strategies. Loyalty programmes or reward schemes are introduced to increase customer loyalty. Examples of successful programmes are those incorporated by supermarkets such as Tesco and airlines such as British Airways. The additional business that is gained because of repeat or further purchases is found to more than compensate for the cost of the rewards that are given away to customers. Tesco’s Clubcard loyalty program now covers more than 14 million customers. In order to improve the brand image and to ensure customer trust, special offers are personalized, based on the analysis of transactional data of past business dealings with the customers. By 1996, 200 million purchases per day in Tesco were being tracked by the programme, and over 5,000 distinct customer segments identified, each receiving personalized coupons. By this method, profits doubled from 1995 to 2000 (Harris, 2002: 169). When Tesco began online selling operations, the company was well known among the public, as compared to the unproven Internet businesses that were being established in competition. Tesco awarded additional Clubcard points for online purchases, and the company now has over one million online customers. In 2000, it sold one-half of all online groceries in the United Kingdom. It dominates the home delivery market to such an extent that many competitors have accepted defeat. An example is Safeway which stopped selling its goods online in 2001, and concentrated instead on stocking up and improving its retail units (Harris, 2002: 169). For the purpose of customer relations management, creative methods are commmonly used. In the travel industry, airlines closely track customer passenger history and preferences in order to better serve customers. For example, one airline has started using flight information for having travellers’ cars ready at valet parking, when the passengers return from a trip. Further, changes in flight information are sent by e-mail to a personal digital assistant (PDA) or cellular phone, and flight delays are reported to the destination hotel (Cannon, 2002: 44). If asked for explanations regarding impulsive purchases at supermarkets, people tend to give reasonable-sounding explanations to maintain a consistent and logical image of themselves. Hence, by using direct observational techniques rather than questionnaires and interviews, market researchers are able to gain a closer insight into individual and group customer behaviour. This requirement for greater insight is driven by commercial compulsions in a highly competitive business sphere. In the case of supermarkets, success is measured by the extent to which people are persuaded to spend money (Morrell, 2004: 3). There are two major methods by which supermarkets and market research agencies gather information on consumer behaviour, which raise the question of ethical use of technology. The first is camera-based observational research which relates to the close scrutiny and monitoring of consumers’ behaviour as they go through a store. The second method which uses “eye-mark” technology also involves the use of cameras, but these are mounted in head-sets which test shoppers wear. “This eye-mark technology uses a laser to track the movement of the pupil, and record the time that shoppers focus on visual stimuli” (Morrell, 2004: 2). Camera-based observational research: Video footage may be used to study the overall flow of customers through the store, which helps in identifying more frequently visited parts of the store where the sales might be expected to be greater. Also, after changing the way a particular brand is displayed, video footage can be used for studying the difference in customer interest towards the product. For the purpose of security benefits such as staff and customer safety and reduction of theft as well, camera observation may be undertaken (Morrell, 2004: 3). Eye-mark technology: The purpose of eye-mark recorders is to trace the movement of the pupil. This is done by reflecting a laser onto the back of the eye by means of a see-through lens. Paid volunteers look through the lens, and the mounted camera records what they are looking at. When this piece of film is viewed for analysis, a black dot is observed to be present: this represents the exact point on which the eye was focusing. Thus, researchers are enabled to identify the visual stimuli or the exact points of fixation that attract and hold interest. For instance, it has been found that customers look four times longer at more well-known brands than at comparatively less famous brands. The number of fixations and the average length of time spent looking at it, impacts the possibility of an impulse purchase, or at least of the product being noticed by consumers. This helps to determine the effectiveness of any changes to the marketing strategy or to product design (Morrell, 2004: 4). This technology is unique in that it collects data about interest stimulation and attention at a preconscious level. Though the subjects participate voluntarily, they may not be aware of the length of time for which a product or display held their interest and attention. However, market researchers can measure the time spent looking at particular display items, thus having access to more information than the customers themselves have. This technology can be considered to be more invasive than the traditional camera-based observational research (Morrell, 2004: 4). Most people using social networking websites such as Facebook are unaware of how their personal data can be used. Data protection issues are now being highlighted in the media due to recent happenings such as HM Revenue and Customs losing discs containing vital personal and confidential information about 25 million child benefit recipients. Another significant data protection issue is related to Facebook Beacon. This facility allowed other people on Facebook to see the purchases made by an individual. Associated third party websites of business enterprises, automatically posted all the details about the purchases to their Facebook newsboard. The data was used without the knowledge or consent of the customers. Social networking and related exchange of personal information on the Internet means a large amount of personal data are being given away. The Data Protection Act, 1998 deals adequately with social networking, since it has been updated in June 2007 by the Information Commissioner’s guidance on the Act’s application to the collection of personal data using websites (Calder, 2008: 25). For advertisers, the data displayed by Beacon was their ultimate advertising vision, but it did not suit the consumers to have their purchasing information published, and users were enabled to shut off Beacon completely (Cone, 2007: 16). According to Havenstein & Vijayan (2007: 11), the companies have not been deterred by any setbacks such the one with Facebook. A new generation of intrusive marketing practices are entering the business field, based on increasing levels of data collection and personal profiling. Is the Use of Technology by Marketers In the Above Ways Ethical or Unethical? Research shows that the use of technology by marketers to gather information about customers has various dimensions to it; there is support for the process as ethical due to particular reasons, and denouncement as unethical from other compelling aspects. Arguments advocating both causes will be detailed below. The Use of Technology by Marketers is Ethical: The approach that advocates the use of technology by marketers has a number of strong supporting arguments (Cannon, 2002: 44). To start with, the customer gets products and services which accurately suit his particular needs. Also, customers do not have to provide information repeatedly to various departments of the companies they do business with, and suppliers can control their inventories by stocking products as per requirements, and accordingly coordinate their product development cycles. Extensive media coverage of the legal dimensions of consumer privacy has increased people’s awareness of the various types of information that are being gathered about them. However, most people do not mind disclosing personal information in order to get better service from the company and for improved communications and interaction with a company. This is supported by Kasanoff (2001: ix), who states that though privacy supporters are up in arms, “most people are still more upset about what companies forget about them than what they remember”. This means that many people would not consider it unethical to have their personal information used by companies, if they benefit from it. In relation to the right to privacy, it is seen that it can conflict with other rights or duties. For example, along with customers’ right to privacy, is the duty of the commercial enterprise to make its new products known to the right customer base or appropriate consumers for mutual benefit. Hence, within limits and with customers’ consent, online communication with customers can be ethical from a business standpoint. Further, the United Kingdom’s Data Protection Act, 1984 and later amendments of the same, focus on the information that organizations retain about their customers, and how individuals can access it and ensure that it is correct. The key principles that are included in the Act are that: data should be fairly and lawfully processed, retained only for limited purposes, should be relevant and not excessive, accurate, used in accordance with the rights of the customer and secure (Harris, 2002: 301). Further, despite complaints from consumers about the manipulation of their personal data by companies, it was observed that consumers freely provided personal information. Hence, research was undertaken to determine the “privacy paradox” or the “relationship between individuals’ intentions to disclose personal information and their actual personal information disclosure behaviours” (Norberg et al, 2007: 100). This was found to be true, due to the different frames of reference that operate in the two different situations. Further, risk and trust are two criteria that are closely related to privacy concerns and intentions; and both are observed to operate with regard to both behavioural intention as well as actual behaviour. Organizations can substantially decrease privacy concerns by establishing trusting relationships with consumers. According to Rosenberg (2000: 84), “the best and most effective way to control the use of information, without interfering with the conduct of others, is to prevent it from ever coming into others’ hands”. It is apparent that consumers are revealing much of this information, although they protest that it is not so. Policy makers find the situation to be complex, hence regulatory policy changes will be made after further study of this sphere of marketing. To reduce anxiety about privacy issues due to the data collection that is increasingly being done by commercial enterprises, the researchers are of the view that consumers themselves should be enlisted as the first line of defense to protect their own privacy. There are other reasons why the use of new technology by marketers to gather information about customers, is considered to be ethical. One viewpoint is that these technologies help in conducting good business by increasing the sales of products, thus enabing supermarkets to keep the prices low while offering an extensive range of products, and at the same time earn money for shareholders. Further, the goal of all academic research is to progress in knowledge acquisition. These technologies help in obtaining greater insight into human nature, and may even highlight ways in which unethical practices can be avoided (Morrell, 2004: 5). Another factor in favour of using advanced technology for gathering consumer information is that, the retailers may consider it detrimental to not use the latest techniques since their competitors would be using them for their own benefit. Also, retailers may approach this issue as ethical and claim that their purpose is to improve and refine merchandising operations by studying the way people actually shop; making shopping more enjoyable, less time-consuming, and more straight-forward. Another reason why retailers’ techniques for offering choice and selling what people want, can be considered as ethical is that, ultimately consumers are responsible for the choices that they make regarding the products they purchase. Finally, it can be argued that new technology simply offers more effective ways of finding consumer information that business enterprises have always been interested in for boosing sales. This would mean that gathering information if done beneficially for the customer and with customers’ consent, may be considered as a part of normal business activities (Morrell, 2004: 6). Ethical behaviour has to be an essential part of company policy because commercial enterprises have a responsibility not only towards their shareholders for whom increased profits is important, but also to other stakeholders which include customers. Kant’s categorical imperative supports the view that people should be ends in themselves, never a means to an end (Kant, 2004: 141). The type of manipulation of individuals for commercial gain is a continuing issue especially in capitalist societies. Business enterprises involving advertising and sales cannot rule out this aspect; hence, consumers alone are responsible for their choices. The use of technology by marketers is unethical: Customers’ right to privacy is violated by certain marketing strategies using new technology. Though increased security benefits are emphasized in the use of advanced cameras for customer surveillance in supermarkets and customers are usually informed by a sign that filming is taking place, cameras are being increasingly used to monitor customer movement and there may not be any indication about their being used. Although the Market Research Society (MRS) has specific codes of conduct which are adhered to within the industry, these do not have the same status as laws because they are voluntary and self-regulated. “A code of conduct that is unilaterally drafted by the affected industry is likely to lack legitimacy, and be ineffective” (Mellahi & Wood, 2003: 134). Research conducted by Dhillon (2003: 89) shows that consumers preferred government regulation to industry self-regulation for protecting their privacy concerns. Consumer anxiety towards exploitation of their personal information is increasing to the point that external legislation will create the protection that consumers seek in the absence of adequate action from corporations (Sarathy & Robertson, 2003: 124). Surveillance of customer movement by using cameras is unethical because camera-based technologies are not covered by current legislation. This is supported by Carrigan & Kirkup (2001: 415) who state that the collection, storage and use of information that is gathered by surveillance cameras, and the broadcast of video footage without the subject’s consent are not regulated by any legal frameworks. The implications of the lack of laws could be that data that is ostensibly recorded to enhance security and safety, may be analysed for other reasons. The inadequacies in legislation and codes of conduct are highlighted with developments and innovations in new technology. In the case of both camera-based monitoring of customer activities in the store, and the use of eye-mark technology with laser-based eye-mark recorders for tracking the time the customer spends looking at particular products, the main purpose is to boost sales. This has been the goal of business activities since the earliest times, and is part of merchandising of products, but ethical concerns arise because large retail stores are capable of subtly influencing or even manipulating consumers’ choices (Morrell, 2004: 5). There are several other innovations such as sophisticated databases which track customers’ purchasing habits, and collect and analyse other information about the customers to use in direct marketing. In these operations, particular groups of consumers may be targeted. For example, Tesco divides consumers into categories based on lifestages: young adults, older families, young families, older adults, over-60s and students. Customers in the different age-groups are then inundated with online advertisements for products and services that are considered to be of interest to them. This can cause inconvenience for the customers, and raise the question of ethical use of information. Sophisticated computer technology has substantially altered the relationship between customers and merchants, and the online marketers’ business interests are at an advantage, as compared to customers’ privacy interests. This leaves the consumers vulnerable to harm both psychologically and physically (Kelly & Rowland, 2000: 8). For increasing sales, many large supermarkets use methods such as artificial smells to heighten sensitivity, for example by piping the smell of freshly baked bread in certain areas of the store. The store atmospherics are also enhanced by other methods such as music and lighting (Morrell, 2004: 5). These methods of inducing customers to make impulsive purchases which they may not really require can be considered as unethical. Personalization cannot be considered as a panacea for success. It is important to note that in many instances, customers are quite happy to use a “mass market” or group approach, and they consider any level of personlization to be an intrusive invasion of privacy. Companies everywhere are blending personalization into their business module in order to enhance customer loyalty and consequent profits. Personalization if allowed to occur, is due to customers’ preference for it. Without customer’s consent, it would be unethical, and the company may lose customers who do not want their privacy invaded or their personal information used by commercial enterprises for profit (Kasanoff, 2001: ix). Further, when companies sell consumers’ private information to other commercial organizations who require the information for increasing their profits, the issue is considered as unethical since this is done without the knowledge of the customers. In a democracy, the right to privacy is an important aspect of human rights. There are other issues of concern related to the lack of ethics in the use of technology by marketers to gather information about consumers. Though some supermarkets claim that they use cameras for security reasons, they may use the information for other purposes, which makes it unethical. Morrell (2004: 6) states that “since these technologies explore impulsive and preconscious behaviour, they raise serious concerns not just about invasion of privacy, but also manipulation of individuals for commercial gain”. An implication of the fact that stores are able to impact the purchases that consumers make, to the extent of compelling impulsive buys, would mean that retailers can possibly market products that may be bad for the consumers, by keeping only their share-holders’ profits in mind. This would be extremely unethical since the company’s profits would be at the cost of the customers’ disadvantageous position. There are multiple factors to be considered when determining the privacy strategies that organizations should adopt. If the business enterprise does not break any laws, the consumers cannot assume that the company is ethical in its use of information about consumers. On the other hand, from the company’s viewpoint, just avoiding the breaking of laws may be considered to be good enough because the laws of the state and business pressures are the only factors to be taken into account. Thus, some abuses of consumer information by the company may be lawful but unethical. The many external pressures that organizations face must be considered when evaluating issues related to the implementation of laws and the decision making processes. Also, individual biases and inter-corporate negotiation strategies are additional factors that influence outcomes (Sarathy & Robertson, 2003: 124). Bush et al (2007: 1198) have undertaken research on sales force ethics and information technology. They found that from the use of sales technology, emerged unethical business issues based on exploitation and control. These eventually undermine businesses, because public awareness of business ethics is high. Social costs are immense because of data mining and use of consumer profiles to identify and segment individuals into groups based on estimates of values. Research reveals that the public is outraged when they discover that they are graded, sorted and excluded from opportunities that others enjoy. Many companies have been compelled to issue public apologies for the exclusionary nature of their business practices. Some companies like DoubleClick have seen their business decline because of their discriminatory practices turning away investors. A special regard for those who are least advantaged should become part of company policy, to avoid consumer classification and market discrimination (Danna & Gandy, 2002: 384). The emerging service dominant (SD) logic approach can be used for integrating ethical accountability into marketing decision making, to avoid compartmentalizing the economic and ethical aspects of business. This management philosophy is not oriented towards profits maximization, is more effective and helps long-term sustainability of the business (Abela & Murphy, 2007: 1). Conclusion The development of technologies that facilitate collection, distribution, storage, and manipulation of personal consumer information has made privacy the leading topic in business spheres (Norberg et al, 2007: 100). This paper has identified the various methods by which marketers gather information about customers’ shopping activities and their personal details, by the use of advanced technology. The ethical and unethical aspects of the techniques and strategies used by marketers have been discussed in detail. It is concluded that the unethical aspects far outweigh the ethical factors, since consumers are often negatively impacted. It is important that organizations should take the initiative to develop a code of ethics for using the Internet for marketing activities. Company policy should include this aspect as a priority (Bush et al, 2000: 247). The use of technology for marketing activities should be based on mutual benefit for customers as well as the corporations. This will also help to avoid increased legislation and governmental regulation. Further research into integrating marketing with an online code of ethics will help to enhance marketing communications in the future. References Abela, A.V. & Murphy, P.E. 2007. Marketing with integrity: ethics and the service-dominant logic for marketing. Journal of the Academy of Marketing Science, 2007: 1-15. Bush, A.J., Bush, V.D., Orr, L.M. & Rocco, R.A. 2007. Sales technology: help or hindrance to ethical behaviours and productivity? Journal of Business Research, 60: 1198-1205. Bush, V.D., Venable, B.T. & Bush, A.J. 2000. Ethics and marketing on the internet: practitioners’ perceptions of societal, industrial and company concerns. Journal of Business Ethics, 23: 237-248. Calder, K. 2008. Facing facts. Special Report. 7th January, 2008. Available at: www.thelawyer.com Cannon, D.A. 2002. The ethics of database marketing. The Information Management Journal, May-June, 2002: 42-44. Carrigan, M. & Kirkup, M. 2001. The ethical responsibilities of marketers in retail observational research: protecting stakeholders through the ethical “research covenant”. The International Review of Retail, Distribution and Consumer Research, 11 (4): 415- 435. Cone, E. 2007. Online privacy: Not quite an open book. CIOINSIGHT, Foreword. December, 2007: 15-16. Available at www.cioinsight.com Danna, A. & Gandy, O.H. 2002. All that glitters is not gold: digging beneath the surface of data mining. Journal of Business Ethics, 40: 373-386. Dhillon, G. 2003. Social responsibility in the information age: issues and controversies. The United Kingdom: Idea Group Inc. Evans, P. 2000. Strategy, the end of the end game. Journal of Business Strategy, November/ December 2000: 12-16. George, R.T.De. 2000. Business ethics and the information age. Business and Society Review, 104 (3): 261-278. Harris, L. 2002. Marketing the e-business. London: Routledge. Havenstein, H. & Vijayan, J. 2007. Facebook fiasco may lead to closer look at online privacy issues. News Digest, 10th December, 2007. Available at: www.computerworld.com Kant, I. 2004. Critique of practical reason. New York: Dover Publications. Kelly, E.P. & Rowland, H.C. Ethical and online privacy issues in electronic commerce. Business Horizons, May-June 2000: 3-12. Kasanoff, B. 2001. Making it personal: how to profit from personalization without invading privacy. Cambridge: Perseus Books. Mellahi, K. & Wood, G. 2003. The ethical business: challenges and controversies. Britain: Palgrave-Macmillan. Morrell, K. 2004. Big brother is watching you: ethical implications of the consumer research techniques used by supermarkets. By Dr. Kevin Morrell, ESRC Postdoctoral Fellow, Loughborough University. Available at: http://www.ibe.org.uk/teaching/BigBrothercasestudy.pdf Norberg, P.A., Horne, D.R. & Horne, D.A. 2007. The privacy paradox: personal information disclosure intentions versus behaviours. The Journal of Consumer Affairs, 41 (1): 100-127. Ovans, A. 1999. Leaving the gold in the data mine: is your customer database going to waste? Harvard Business Review, September-October 1999: 18-19. Piercy, N. 1984. The impact of new technology on services marketing. The Service Industries Journal, 4 (3): 193-206. Reichheld, F.F. 1996. The loyalty effect: the hidden force behind growth, profits and lasting value. The United States of America: Harvard Business School Press. Rosenberg, A. 2000. Privacy as a matter of taste and right. In E.F. Paul, F.D. Miller & J. Paul (eds.). The right to privacy. United Kingdom: Cambridge University Press, 68-90. Sarathy, R. & Robertson, C.J. 2003. Strategic and ethical considerations in managing digital privacy. Journal of Business Ethics, 46: 111-126. Woodside, A.G. 1996. Theory of rejecting superior, new technologies. Journal of Business and Industrial Marketing, 2 (3/4): 25-43. Read More
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The author of the "Role of Advertising for the Brand" paper examines the impact of ethical and legal issues on advertising of brands, the structure of brand, agency handling, spend and media, identifies the type of agency such as In-house vs.... However, it is fraught with legal and ethical implications.... But in today's environment of information boom, globalization, and technology advancements the role of intermediaries such as advertising has become paramount in this knowledge-based society....
7 Pages (1750 words) Essay

The Expansion of Product Lines and Promotional Programs

Both direct selling and direct marketing make wide use of telemarketing techniques.... pyramids) and ethical propriety of direct selling, as well of selling in general4.... For example, manufacturers who were primarily communicating with customers through nonintegrated channels are now finding it is possible to reach them also through telemarketing efforts at a substantially lower cost than other integrated channel alternatives.... Contacts are made through cold calls (random), warm calls (referrals) or hot calls (customer-initiated requests for information)”2....
7 Pages (1750 words) Essay

The Royal Mint London 2012 Olympic Souvenir Coins

The specific system could significantly help towards the improvement of performance of Royal Mint but only under the terms that ethical and legal issues related to the use of the data stored in the system are addressed.... This essay describes the Customer Relationship Management (CRM) in Royal Mint and discusses the elements of a CRM system, which the Royal Mint could use to understand how well they could manage their customers as well as legal issues and what benefits they can get....
7 Pages (1750 words) Essay

Strategic Management of Starbucks

?? The company seeks to differentiate itself from other competitors in the coffee industry through provision of finest coffees to the customers.... The FY11 Annual report states that the US segment of the company contributed about 69 % of the total revenue raised and this is the reason why this paper focuses on analysing the strategic fit of this particular company in the US.... According to its FY11 Annual Report, Starbucks is the premier information obtained from its official website shows that the company is guided by its cornerstone value which is to “build a company with a soul....
12 Pages (3000 words) Essay

Principles and Practice of Marketing

It is important to consider whether the product is already in the market or a new entrant in the market.... Competition in an open market economy is stiff and this is the reason why strategic market planning is needed.... Strategic planning process is the measures that a business takes or… After defining the objectives or the mission, environmental scanning is conducted that later leads to strategy formulation and strategy formulation....
10 Pages (2500 words) Assignment

Arguments for and against Digital Piracy

Pirates have also, with the use of technology, found it easy to reproduce music without the permission of the original producers.... However, those who go against this act believe it is both a criminal and unethical act that needs to be reproved very seriously.... The music industry is one of the sectors that have received a great boost since this era of enlightenment has seen myriad improvements in information and communication.... This report seeks to comprehensively discuss these arguments based on literature information constituted in various sources....
7 Pages (1750 words) Essay

Global Decision Support

This paper ''Global Decision Support '' reviews literature on the benefits and buy-in of global DSS, implementing global DSS, the ethical issues related to global DSS, and the possible ways by which global DSS may increase international partners.... Global DSS benefits, implementation, and ethical issues are among the most extensively covered DSS factors in the literature.... That DSS tools are useful in managerial decision-making processes implies managers must improve the tools' capacities to work efficiently to yield the right information structure (Antunes et al....
6 Pages (1500 words) Essay
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