Ethics

Social responsibility is a contract with society, while ‘ethics relate to carefully thought out rules of moral values that guide individual and group decision making’ (Dibb et al, 2001). In marketing, ethics refer to the moral principles that guide marketing decisions.Ethics are controversial, and a total consensus on many issues is impossible to obtain. There are, however, issues relating to social responsibility and ethics which, it may be suggested, many seem to agree upon at present. These include activities which result in heavy pollution of the air and water, depletion of earth’s natural resources (e.g. forests) without attempts at renewal, animal testing of cosmetics, bribery, misleading advertising and promotion of harmful products.Some organizations attempt to adhere to ethical standards of behavior in order to gain competitive advantage over their rivals. This is exemplified by the Body Shop whose policy of not testing their products on animals and putting something back into the communities from whose land they draw their raw materials has help them expand and benefit from a loyal customer base. In contrast, many companies have over the years been the subject of repeated negative publicity which, some may argue, has damaged their image and profitability.Nestle is one such company which has been the subject of discussion in marketing literature. The main criticism of the company relates to the aggressive promotion of infant formula milk and, by implication, the promotion of bottle feeding around the world when medical evidence favors breastfeeding, particularly in countries where a safe water supply is not always available. Consequently, a number of consumer action groups have campaigned for the boycott of Nestle s products. Additionally, in 1999 Nestle’s campaign to sell its water brand – Pure Life – in Pakistan was also condemned for creating fear about contamination of urban water supplies and urging people to buy their bottled water.