The Importance of Ethical Marketing Practices

Journal Of Business Management And Economics 3 : 2 February (2015) 23 - 30. Contents lists available at www.innovativejournal.in JOURNAL OF BUSINESS ...
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Journal Of Business Management And Economics 3 : 2 February (2015) 23 - 30.

Contents lists available at www.innovativejournal.in JOURNAL OF BUSINESS MANAGEMENT AND ECONOMICS homepage: http://innovativejournal.in/jbme/index.php/jbme

The Importance of Ethical Marketing Practices Prof. Surya Rashmi Rawat, Kunal Bhatia, MihikaHegde, Neeraj Bhat, Shubhangi Tewari Symbiosis Law School, Pune Constituent of Symbiosis International University E-Mail: [email protected], [email protected], [email protected], [email protected], 5 [email protected]

DOI: http://dx.doi.org/10.15520/jbme.2015.vol3.iss2.15.pp23-30 Abstract: Marketing practices have changed a lot in the past century. From focusing solely on production, to the product, then on sales and then on consumer’s desires, there was always an aspect missing in sellers’ marketing process. Focusing completely on consumer needs wasn’t enough because society and the consumers could suffer as a result of false advertising and manufacture of harmful goods. Thus, there has been a gradual shift towards societal and ethical marketing- one that embraces the welfare of all parties, i.e producers, consumers, society, and the planet. Producers are starting to realise that it is the best method to derive long term benefits, which outweighs the loss due to extra expenditure that they may have to incur to do the same. In this paper, we aim to show how important ethical practices are in the field of marketing and also educate consumers about their rights. The primary sources of data are questionnaires and the secondary sources are journals, books and websites. The growing importance of ethics cannot be ignored by producers for long if they want their businesses to succeed. As people become more aware of their rights, the businesses following unethical practices will suffer. Key Words: Marketing, Ethics, Advertising, Consumers, Social Media

society and examines whether the company is painting a truthful picture of the product or service. It can be said that societal and ethical marketing are overlapping concepts. Harming society would be considered by most to be an unethical practice. By using ethical practices, everyone can reap the benefits.

INTRODUCTION Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.i Over time, marketing has evolved and developed in the following stages: a. Production Concept (Till early 1920s): It was believed that any products or services were cheap and readily available, they would sell easily. b. Product Concept: The focus was on creating a product of very high quality on the assumption that it will be purchased without giving regard to the needs of consumers. c. Selling Concept (early 1930s): Companies concentrated their efforts on educating and attracting customers. There was a focus on “selling what you have”. The aggressive “push strategy” was employed in order to make profits. d. Marketing Concept (1950s onwards): The belief of “customer is the king” is prevalent in this concept. It is extremely consumer-oriented and products or services are produced satisfying the need of the consumers. However, it lacks a regard for social welfare. e. Societal Marketing Concept: This is a modified rendition of the marketing concept which not only caters to consumer needs, but also gives importance to the welfare of society as a whole. Producers keep their corporate social responsibility in mind and focus on the triple bottom line of “people, planet and profit”. f. Ethical Marketing Concept: The most recent concept of marketing, ethical marketing has started to gain importance because producers have realised the importance of practicing what they preach. Ethical marketing involves the application of ethics into the process of marketing. Ethics in marketing has the potential to have a long-term benefit for the entire

With development of the internet and the advent of social media information can spread at an alarmingly fast rate. A company engaging in unethical practices can be destroyed by a simple post on Facebook or Twitter. They may lose all credibility and people may boycott their products. Any goodwill of the public that they may have enjoyed could be lost. Conversely, an ethical company that is honest and shows that it cares about its consumers can enjoy a rapid increase in reputation by the same method. Companies understand the problems that can arise as well as the benefits that can accrue to them and hence, there is a gradual shift occurring in favour of ethical marketing. Being ethical may prove expensive in the short run depending on the circumstances. However, in the long run, it is beneficial for the producer, the consumer and society as a whole. This new concept of marketing aims at gaining the loyalty of customers by emphasising the good qualities of the brand, thereby creating a strong customer base. However, it brings with it new challenges for marketers to overcome. Producers need to develop products keeping in mind the long-term benefits, while maintaining the desirable aspects of the product. OBJECTIVES a. b.

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To show how important ethical practices are in the field of marketing; and To show the extent to which consumers are unaware about their rights, and educate them about the same.

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exploitative, and corrupting methods of persuasion and motivation. In this regard, here we note special problems associated with so-called indirect advertising that attempts to move people to act in certain ways. For example, purchase particular products without their being fully aware that they are being swayed. The techniques involved here include showing certain products or forms of behaviour in superficially glamorous settings associated with superficially glamorous people; in extreme cases, it may even involve the use of subliminal messages.Within this very general framework, we can identify several moral principles that are particularly relevant to advertising like truthfulness, the dignity of the human person, and social responsibility.

REVIEW OF LITERATURE ii

Patrick E. Murphy (2005) examines a range of issues that marketing managers face. The book begins with a discussion of relevant ethical concepts and theories. Chapters are devoted to ethics in marketing research and target marketing, product issues, channels and pricing questions, advertising and marketing on the Internet, and selling. The volume concludes with a chapter on implementing ethical marketing through corporate policies and culture. George G.Brenkert (2008) iii addresses head-on ethical questions and challenges that marketing raises while defining marketing as a moral activity. He gives a substantial introduction to the ethics of marketing, and it explores the integral relations of marketing and morality. The author helped us see broader meanings and background assumptions of marketing included in other marketing literature.

Much advertising directed at children apparently tries to exploit their credulity and suggestibility, in the hope that they will put pressure on their parents to buy products of no real benefit to them. Advertising like this offends against the dignity and rights of both children and parents; it intrudes upon the parent-child relationship and seeks to manipulate it to its own base ends.

Fernando A.C (2009) iv in his book raises questions that have engaged specialist economists, business barons, corporate heads and management experts for decades. In his study a consensus has emerged that corporate practices cannot bypass the fundamental demands of ethical behaviour, that administration and policies of governance have to be more transparent and publicly accountable, and that businesses must be sensitive to the community and environment within which they are established.

DECEPTIVE AND MISLEADING ADVERTISING In the increasingly health conscious society we live, the benefits to the advertisers of making claims that their products and services are healthy cannot be understatedvii. Advertisers must make valid claims which can stand the test of factual truthfulness and nothing misleading should appear in the copy that goes public.

C.Sushma(2005) in her study found that the advertisements of plain pan masala seen on Indian television are a surrogate for the tobacco products bearing the same name.v This book has opened our eyes and look out for surrogate advertising.

When advertisements are deceptive, false, or misleading, the question that comes up is actually that of ethics of manufacturers and sellers. Since such qualities exist in minimum significance, it becomes necessary to look at regulatory bodies/laws that compel the miscreants to stop or curb such activities.

AlokSaxena(2015) vi in his study educated us about the deceptive food advertisements in India and elaborated on the functions of the food security and standards authority of India. It has helped us in understanding the problems that we face when it comes to deceptive advertising and the rules that deal with these misleading advertisements.

Misleading advertisement violates consumers' right to information, right to choice and right to safety. For example, advertisers of anti-ageing creams, complexion creams, weight loss programs, anti-dandruff shampoos, and manufacturers of vitamins or dietary supplements are usually guilty of making exaggerated product claims or when a fairness cream is promoted with the claim that its user will get a fair complexion within a certain time period.viii Some of the methods used are: a. Use of sex appeal: It is used to gain consumer attention. Sex appeal is used to sell all kinds of things. It is used where it is not even appropriate to the product or service being advertised. b. Bait advertising: It means taking advantage of consumer psychology and depriving consumers of a choice. For example, a consumer is lured into a retail outlet by an advertisement for a low cost item and then is sold a higher priced version or to be defective. c. Advertising of harmful products: Advertising is not restricted to products that are good for people. According to law in India advertisements for cigarettes, liquor, paan masala, products that are harmful to the public continue to find a place despite the ban imposed by the government in private

ETHICS IN ADVERTISING Advertising has a powerful impact on society through its influence on media. Many publications and broadcasting operations depend on advertising revenue for survival. Advertisers naturally seek to reach audiences; and the media, striving to deliver audiences to advertisers, must shape their content so to attract audiences of the size and demographic composition sought. This economic dependency of media and the power it confers upon advertisers carries with it serious responsibilities for both. Those who commission, prepare or disseminate advertising, are morally responsible for what they seek to move people to do; and this is a responsibility also shared by publishers, broadcasting executives, and others in the communications world, as well as by those who give commercial or political endorsements, to the extent that they are involved in the advertising process. This applies also to the means and the techniques of advertising. It is morally wrong to use manipulative, 24

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channels, cable, and through the use of surrogates. Puffery: Here, the advertisers use them to boast of the merits of all their products. Law permits puffery or exaggeration. ix But subjective statements of opinion about a product's quality are so untrue that it becomes an outright spoof and which is not true. e. Pricing-based methods: Some of the methods related to pricing area) Hidden fees b) Wrongful use of the word "free" c) Warranty & Guarantees d) Contest & Prizes

and Bacardi promote music CDs, which are in no way c0onnected to the main product. Some brands like McDowell’s No.1 and Kingfisher promote water and soda while their main product is liquor. The main aim of surrogate advertising is to drill the name of brand into the customer’s minds and keeping the main product in their thoughts. The “surrogate” products may not even necessarily be available in the market; rather, they may simply be a marketing tool.

The usual meaning of "free" is means that it is devoid of any cost or obligation. But, vendors often use the word for something which is merely included in the overall price. An example is a "buy one, get one free" tactic. Any representation that signifies that a product to be a warranty or guarantee of a product, or a promise to replace, maintain or repair an article, or any part of an article, where it is materially misleading or where there is no reasonable prospect that the warranty, guarantee or promise will be carried out is another example.

This is a self-regulatory voluntary organization of the advertising industry. ASCI which was founded in 1985, takes up the role of being India’s own Self Regulatory Organization (SRO). The three main elements of advertising industry via advertisers, advertising agencies and media come together to form this independent NGO type establishment. The aim of ASCI is to maintain and enhance the public's confidence in advertising. Their objective is that all advertising material must be truthful, legal and honest, decent and not objectify women, safe for consumers especially children and last but not the least, fair to their competitors.xii However there is a need for ASCI in current times, for example, when an advertiser is creating an ad, the consumer is his audience. The feedback from a consumer is important to the advertiser so he can be assured if his message has been correctly conveyed. If a consumer feels that a particular advertisement is in bad taste or is false in its claims, they need a body or council to whom they can air their grievances and who will take any appropriate action, if necessary.

d.

ADVERTISING STANDARDS COUNCIL OF INDIA (ASCI)

Any promotional contest that does not disclose the number and approximate value of prizes, the area or areas to which they relate, and any important information relating to the chances of winning has the potential to be misleading. f. Manipulation of Measurement Units: This is a common practice despite the fact that there is a specific law against it. This includes the fact it is common experience that fillers and over-sized packaging used both in the advertisement or the product.

LEGAL CONNOTATIONS MARKETING

Advertisers should always be able to justify the validity of any claims they make. Therefore, advertisers should provide evidence of the accuracy of their claims. Doubtful advertisements are misleading, deceptive, suggestive, exaggerated and surrogate that we are today surrounded with.

OF

UNETHICAL

“Advertising is essentially a thing to induce consumption to make people buy thing they do not want”xiii – Pt. Jawaharlal Nehru This replicates the quandary on advertising and its influence on customers. In an atmosphere of enthusiastic competition in the market, advertisements often have a tendency to to make a mountain out of a molehill and twist facts which, at the end of the day, affect vulnerable consumers. The Constitution of India guarantees freedom of speech. Special restraint is needed in commercial speech including advertising. An advertisement is termed ‘misleading’ when it misinforms people or modifies reality thus, affects buying behaviour. Hence, numerous countries have legislated comprehensive laws that govern and control advertising. That is precisely what the India legal system must seek to address.In India, the field of advertising is subject to an array of laws in the absence of a comprehensive legal machine that lays down the rudiments in clear terms for advertising in the country.

SURROGATE ADVERTISING The Cable Television Network Rules, 1994, the Advertising Codes of Doordarshan, and the All India Radio and Norms for Journalist Conduct issued by the Press Council of India prohibit any advertisement directly or indirectly promoting the production, sale, or consumption of cigarettes, tobacco products, wine, liquor, or other intoxicants. However, some states allow advertising through billboards, signboards etc. but subject to many restrictions.x Such restrictions placed on producers have given rise to the social evil of surrogate advertising. The literal meaning of 'Surrogate Advertising' is duplicating the brand image of one product extensively to promote another product of the same brandxi. Producers make use of this form of advertising to promote harmful products like liquor and cigarettes using other products. A different product, one which is not prohibited from being advertised, is advertised using the same brand name as the prohibited one. It may be a related commodity or a completely unrelated product. For example, the liquor brands Seagram’s

Some of legislations which are responsible for regulating the misleading advertisements are: a. The Constitution of India: The Constitution of India explicitly protects Freedom of Speech and Expression in Article 19(1)(a). Even though there is no distinct provision for regulating advertisement policy which should be adopted by press or media, the 25

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company, usually a competitor in the market. The comparison is made on the basis of price, performance, quality, availability, etc. with a view of increasing sales of the advertiser, either by proposing that the advertiser's product is of the same quality or of a superior quality. However, such advertisements often lead to infringement of trademarks of the competitors (as per the Trademarks Act, 1999) and endorse unfair competition. Such comparative advertisements also cause belittling of the product or service of the competitor as could have been seen in the recent ad war in India between Mountain Dew and Sprite, where Sprite even went to the extent of mocking the appearance of their rival’s drink suggesting that it resembled the colour of urine.

Supreme Court has given guidelines through a succession of Judgments. The most significant is the Supreme Court’s decision in Tata Press Ltd. v. Mahanagar Telephone Nigam Ltd xiv where it was held advertisements come under commercial free speech, subject to certain reasonable restrictions xv . The limitations include restriction on manipulative advertising as well. The apex court, in the same judgment, remarked “it is expected that by way of advertisement or promotion of its services, the subscriber should not be misled”. Advertising as a "commercial speech" has two facets. Advertising which is no more than a commercial transaction is nonetheless dissemination of information regarding the productadvertised. The public at large is benefited by the information made available through the advertisement. In a democratic economy free flow of commercial information is indispensable. There cannot be honest and economical marketing by the public at large without being educated by the information disseminated through advertisements. The economic system in a democracy would be handicapped without there being freedom of "commercial speech". Examined from another angle, the public at large has a right to receive the "commercial speech". Article (19)(1)(a) not only guarantees freedom of speech and expression, it also protects the rights of an individual to listen, read and receive the said speech. So far as the economic needs of a citizen are concerned, their fulfilment has to be guided by the information disseminated through the advertisements. The protection of Article 19(1)(a) is available to the speaker as well as to the recipient of the speech.

In Colgate-Palmolive (India) Limited v. Anchor Health & Beauty Care Private Ltd xviii , the issue involved was whether a person can be stopped from making any false, misleading or disparaging or slanderous statements in showing, screening, exhibiting or telecasting commercials and advertisements with respect to products of any other person. Colgate-Palmolive approached the court aggrieved by the use of the words ‘ONLY’ and ‘FIRST’ in the advertisement of the Anchor Health. The objection regarding the advertisement was the claim by Anchor that their toothpaste was the “ONLY” toothpaste containing all the 3 ingredients, calcium, Fluoride, Triclosan. The applicants contented that even their products contained all these products. The claims made by Anchor were contented to be misleading .The court after detailed analysis of various case laws and provisions came to the final conclusion that the reasons behind the use of the words “ONLY” and “FIRST” were not satisfactory. The advertisement usually gives out an impression that Anchor is the only toothpaste containing all the three ingredients. Thus, the words “ONLY” and “FIRST” fall under the dragnets of Section 2(1) (r) of the Unfair Trade Practices contained in The Consumer Protection Act, 1986 and could create an impression in the minds of the consumer that Anchor was the best toothpaste in the market.

b. Consumer Protection Act, 1986: Section 6 of the Act grants consumers the right to be informed about the quality, quantity, potency, purity, standard and price of goods or services, as the case may be so as to protect the consumer against unfair trade practices. Section 2(1)(r) of the Act, under the definition of the term "unfair trade practice", covers the gamut of false advertisements including misrepresentations or false allurements. Redress against such unfair trade practices pertaining to false advertisements may be sought under the Act.xvi

In the case of BhupeshKhurana v. Buddha Parishad xix , the Buddhist Mission Dental College advertised in National newspaper for admission in BDS Course. The said advertisement claimed that the college was affiliated to Magadh University, Bodh Gaya and was recognized by the Dental Council of India. The Complainants in good faith accepted the information of the Opposite Party as an authentic and correct and sought admission in the BDS course and paid a substantial amount as demanded by College for admission. Later on it was revealed by the students that the college was neither affiliated to none of the claimed organizations and as a result of which unable to hold the annual examinations. The Supreme Court said that this case came under the meaning of deficiency in Consumer Protection Act. Thus the court, in its judgment directed the College to refund the admission expenses paid by the injured parties at the time of admission with interest calculated at the rate of 12% p.a. from the date of receipt of the amount till date of payment and also to pay Rs.20, 000 to each of the Complainants by way of compensation for the expenses paid on purchase of books, mess expenses, hostel expenses and for the loss of two valuable academic yearsxx.

c. The Trademarks Act, 1999: A clear depiction of the manipulative advertising can be found in the Trademarks Act, 1999. Section 2(1) Clause (i) of the Trademarks act, 1999 defines ‘False Trade deceptions’. False and misleading advertisements may also attract regulatory measures provided in the Trade Marks Act, 1999. As provided in Section 103 of the Act, any person who (1) falsifies any trademark or (2) falsely applies to goods or services any trademark, or (3) applies any false trade description to goods or services, shall be punishable with imprisonment and fine. Moreover, under Section 107 of that Act, making of false representation of a trademark as registered shall be an offence, punishable with imprisonment and/or fine. xvii COMPARATIVE ADVERTISING A popular and present trend of advertisement is comparative advertising where one product or service is advertised by comparing them with the goods or services of another 26

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food or gives false guarantee shall be liable to a penalty, which may extend to ten lakh rupees.

The Delhi High Court in Reckitt & Colman Of India Ltd. v. Kiwi T.T.K. Ltd.xxi clarified the position of law in regard to comparative advertising as follows:

Examples of cases of violation of section 24 of Food Safety and Standards Act, 2006 and Food Safety and Standards (Packaging and Labelling) Regulation, 2011xxiii: a. Boost: The claim that ‘Boost provides 3 times more stamina than ‘sadharan (ordinary) chocolate drink’ is misleading and violates Section 24 of the Act. The producer has not submitted any specific study on this product to substantiate the claims. b. Horlicks: The advertisement claims that after taking Horlicks, children become ‘taller, stronger, sharper’ which is deceptive in nature. It violates Section 24 of the Act. c. Saffola: The use of heart symbol and the claim ‘the heart of a healthy family’, Saffola encourages you and your family to take care of your heart by using less oil and low saturated fat diet, and ‘use of word losorb technology’ etc; on the advertisement are misleading in nature.xxiv d. Kellogs special K: The claim that “research shows that people, who eat low fat breakfast like Kellogg’s Special K, tend to be slimmer than those who don’t” is misleading and deceptive in nature. e. Kissan cream spread: Advertisement shows the claim that ‘Kissan creamy spread contains 3 times more essential nutrients than sadharan butter’, which is misleading.

“The settled law on the subject appears to be that a manufacturer is entitled to make a statement that his goods are the best and also make some statements for puffing his goods and the same will not give a cause of action to other traders or manufacturers of similar goods to institute proceedings as there is no disparagement or defamation to the goods of the manufacturer so doing. However, a manufacturer is not entitled to say that his competitor's goods are bad so as to puff and promote his goods. It, therefore, appears that if an action lies for defamation an injunction may be granted.” An action against such advertisements may lie at the instance of the manufacturer or marketer before the civil court and before the consumer forum under the Consumer Protection Act, 1986 at the instance of the consumer, as long as it contains a false depiction. QUALITY CERTIFICATION A. FSSAI: The Food Safety and Standards Authority of India (FSSAI) has been established under Food Safety and Standards Act, 2006 which combines various acts & orders that have previously handled food related issues in various Ministries and Departments. xxii FSSAI is considered to be one of the most important laws concerning advertisement. Food Safety and Standards Authority Act, 2006 was enacted to keep with changing needs and requirements of time, to consolidate the laws relating to food, and to establish the Food Safety and Standards Authority of India (FSSAI). The Act was required to bring out a single statutory body for food laws, standards setting and enforcement so that there is only one agency to deal and no confusion in the minds of consumers, traders, manufacturers and investors, which previously existed due to multiplicity of food laws. Food Safety and Standards Authority of India, established on September 05, 2008 in association with State Food Authorities are responsible for implementation and enforcement of FSSA, 2006. The main mandate assigned to the Food Authority is i. To lay down science based standards for articles of food; ii. To regulate manufacture, storage, distribution, sale and import of food; and iii. To facilitate food safety.

B. ISI: The name ISI is an abbreviation of Indian Standards Institute, the former name of the Bureau of Indian Standards. The ISI mark is a certification mark for industrial products in India. The mark certifies that a product confirms to the Indian Standard, mentioned as “IS:xxxx” on top of the mark, developed by the Bureau of Indian Standards (BIS), the national standards body of India. The ISI mark is by far the most recognized certification mark in the Indian subcontinent. It is mandatory for certifying products to be sold in India, like many of the electrical appliances xxv viz; switches, electric motors, wiring cables, heaters, kitchen appliances etc., and other products like Portland cement, LPG valves, LPG cylinders, automotive tyresetc. But in the case of most other products it is voluntary. It is very common in India to find products with fake ISI marks, that is, fastening ISI marks on the product without actually getting certified.xxvi Fake ISI marks usually do not carry i. The mandatory 7-digit license number (written as CM/L-xxxxxxx) required by BIS; and ii. The number on top of the ISI mark, which signifies the number of the Indian Standard for the particular product.xxvii This is a punishable offense by the law, but the practice is common. Now days it has become a very certain use of this parameters by local distributors such as a shop and other markets or bazar.

FSSA seeks to regulate the law relating to advertising and unfair trade practices in the food sector. Section 24 of the Act places restrictions of advertisement and prohibits Unfair Trading Practices. It lays down the general principles for advertisement. Section 52 and 53 of the Act prescribe the punishment for selling misbranded food and also for misleading advertisements. Section 53 prescribes that any person who publishes, or is a party to the publication of an advertisement, which falsely describes any food or is likely to mislead as to the nature or substance or quality of any

C. AGMARK: The term AGMARK was coined by joining the words 'Ag' to mean agriculture and 'mark' for a certification mark. This term was introduced originally in the bill presented in the 27

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parliament of India for the Agricultural Produce (Grading and Marking) Act. xxviii AGMARK is a certification mark employed on agricultural products in India, assuring that they conform to a set of standards approved by the Directorate of Marketing and Inspection, an agency of the Government of India.xxix The AGMARK is legally enforced in India by the Agricultural Produce (Grading and Marking) Act of 1937 (and amended in 1986).The present AGMARK standards cover quality guidelines for 205 different commodities spanning a variety of Pulses, Cereals, Essential Oils, vegetable oils, Fruits & Vegetables, and semiprocessed products like Vermicelli. Findings and Analysis:

Figure: 3

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Figure: 5

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d.

e.

f.

Figure: 6

would not purchase products from such companies that have engaged in unethical and false advertising. 32% of our sample shares their problems on social media at least sometimes. While most never would, it shows the potential damage that can happen to a business. One post could be seen by thousands of people, severely damaging the business’ reputation. It also shows that in this advanced stage where social media is becoming an increasingly important part in our lives, most of us do not use it to share our grievances effectively. It can be termed as a waste of a resource. More than 50% of the people believe that consumers are not adequately protected against such marketing. Knowing this more than half of these people do not check for quality approval certifications on the products they buy on daily basis. Celebrity endorsement in surrogate advertising is disapproved by almost half of the sample study while less than a quarter approve of it owing to increasing competitions and the fight for market share. This very cause is one of the main reasons for such blatant violations of every legal statute aiming to protect consumers.

CONCLUSION H.G. Wells once said that advertising was lawful lying. However, on one side, advertisements are used for a campaigning against the ills of the society and on the other; the same are being used in the wrong way to mislead the consumers. Numerous laws relating to advertisement in general and those relating to specific sectors cause absolute misperception in the minds of the manufacturer or service provider as well as the consumers. The excessive number of laws that have been enacted to get rid of misleading advertisements and claims have not been able to curb this disease and provide a perfect remedy for its treatment. Outdated laws and poor enforcement of them are some of the lacunas in the control of advertising. The absence of a single statutory regulatory body further exacerbates the problem. RECOMMENDATIONS A comprehensive law is needed to regulate advertising in all forms of media. It must provide clarity in the matter and act as a one-stop booth for all matters relating to advertising. Self-regulation by the industry, and an independent regulator to regulate the misleading advertising would be very supportive. Consumers must create self-awareness and exercise their rights against fraudulent companies.

Figure: 7

a.

b.

c.

From our sample space, an astounding 84% of people have, at some point in their life been a victim of false or unethical marketing. Out of these 30% have been victims four or more times. This shows how prevalent the practice of false and unethical marketing is in our society. A third of the consumers are not at all aware of their rights in such an event, while a little more than half are only aware of their rights to a certain extent. This shows that there is a lack of consumer education in our country. Generally we found young adults from the ages of 18-36 are more aware than other age groups due to more interaction and alertness from Universities and work places. From the point of view of business organizations, it is disturbing to see that a staggering 60% of people

LIMITATIONS Although our sample consisted of people from all different age groups and from all over the country, the sample size was only 50 people and a more accurate study could be drawn from a larger sample size. REFERENCES [1].

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Appendix: Questionnaire (Tick the suitable option) Name: 1. Gender a. Male b. Female 2. Age? a. below 18 b. 18-36 c. 36-54 d. 55 and above 3. How often have you been a victim of false/unethical marketing? a. 0 times b. 1-3 times c. 4-10 times d. 10+ times 4. Are you aware of your rights in case of such an event? a. Yes b. No c. To a certain extent 5. Would you purchase a product from a company that has engaged in such practices? a. Yes b. No c. Maybe 6. Do you share the problems you face with products on social media? a. Always b. Most of the time c. Occasionally d. Never 7. In your opinion, are consumers adequately protected against such practices in India? a. Yes b. No c. Can’t say 8. What are the AGMARK, ISI and FSSAI standards used for? a. AGMARK: ____________________ b. ISI: ___________________________ c. FSSAI:________________________ 9. Do you check products for AGMARK, ISI and FSSAI approval? a. Yes b. No c. Sometimes 10. Do you disapprove of celebrities agreeing to promote a product that is blatantly using surrogate advertising in place of prohibited advertisements? a. Yes b. No c. Can’t say

[10]. http://www.mondaq.com/india/x/192384/advertising+market ing+branding/Advertising+Law+in+India [11]. Sushma C, Sharang C. ‘Pan masala advertisements are surrogate for tobacco products’, Indian J Cancer (2005);42:94-8 [12]. http://www.ascionline.org/goals/whyselfregulation.htm [13]. Jeffrey R., ‘India’s Newspaper Revolution: Capitalism, Politics and the Indian Language’, Oxford University Press, New Delhi, (2000) p. 55 [14]. AIR (1995) 5 SCC 139. [15]. Datta. A,‘Comparative Advertising in India: Puff Under Scrutiny’, World Trademark Review, December/January Issue (2010) p.60. [16]. The Consumer Protection Act, 1986. [17]. Verma. DPS, ‘Regulating Misleading Advertisements: Legal Provisions and Institutional Framework’, Vikalpa, Vol. 26, No. 2, April-June (2001), p. 54 [18]. Madras High Court C.S. No. 451 of 2008 [19]. C.A. no.1135 of 2001 [20]. Girimaji. P, ‘Misleading Advertisements and Consumer’, Consumer Education Monograph Series-2(2013), p.18 [21]. 63 (1996) DLT 29, 1996 (37) DRJ 649, (1996) 114 PLR 45 [22]. http://www.fssai.gov.in/AboutFssai/Introduction.aspx?Reque stID=8hisUmK0M3ishsHu8ie_doAction=True

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