Question

In: Operations Management

Find an ad that you feel might mislead consumers through a claim-belief discrepancy. What inference processes...

Find an ad that you feel might mislead consumers through a claim-belief discrepancy. What inference processes are you assuming?

Please write down more than 300 words!

Solutions

Expert Solution

The Kellogg's Frosted Mini-Wheats started an Ad for the promotions and it was highly misleading. It was so misleading that so most of their customers believed them and then realized that the company gave the wrong information to them. The Ad said that having a bowl of Frosted Mini-Wheats will increase the attentiveness by almost 20%. 20% was a big number and the company should have thought about it before creating this marketing campaign. Just by eating a bowl of cereals it is impossible for the human beings to increase the attention. The inference processes here are the company thinking that the loyal customers of the company will buy the product because they trust us. The company was able to convince that the man-made food has the ability to change the health condition drastically. The customers also believed what the company was saying and they made the product a success in the market for almost a year. The customers realized that the product had no impact on their attentiveness and they sued the company for false advertisement. The company paid the customers almost $4 million in compensation. The company just made use of the brand image they had created in the market and tried to fool people with their product. The companies tend to do this who have a huge loyal customer base who do not think twice before buying their products. The same reason made people they can improve their attentiveness just by eating the Mini-Wheats for a month. The company did not agree to the claims initially and finally, they agreed that the claims made by the company were wrong and they agreed to pay a compensation to the customers who questioned them. They also made use of the statement on the packing as well to make the message more effective. This basically impacted the customer behavior and made them realize that the company was wrong.


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