Question

In great detail, please describe:

Ethical issues businesses may face in the market research process

Ethical issues businesses may face in setting the price and promoting the product

Ethical issues a business may face in a global setting and how they differ from domestic concerns

Answer 1

Ethical issues in Marketing Research :-

Data and information constitute a very important role in the the marketing research it must be collected for the genuine purpose and should be used ethical manner. The researcher plays a crucial role and he can assure respondents about the security of the opinions and information given by the respondent. Researcher should not force the respondent for the answers.The researcher can explain the importance or necessity of answer . Another issues is related to the personal or sensitive questions, the researcher should give time to respondents to think about it, and refuse. The other major issues can be the protection of the data and the growing concerns regarding the safety of the data collected by research of marketing. Ethical issues also include unbiased and accurate data collection and reporting to the research organization & client without any bias.

The American Marketing Association has established a code of ethics

A) collect information for specific marketing research.

B) Not use data for any other purpose.

C) confidentiality of information collected from respondents.

D) No deliberate misrepresentation.

E) No personal interest.

There are various ethical issues which business could face in marketing research. The first one involves protection of the Public which states that research report should avoid Incomplete reporting,Misleading reporting,Nonobjective research etc. The other issues involves the protection of respondent's which included right to privacy , protection from frequently interviewed respondents can be a form of abuse. The next ethical issue includes protection of the client

against abuse of position arose from specialized knowledge,unnecessary research

,unqualified researchers,protection of confidential and proprietary information.

Ethical issues business may face in setting prices and promotion of the product can be as follows: settings of price involves due consideration of various factors and ethical issues also plays important role in the process.Producers and retailers practice ethical pricing strategies to earn profits without defrauding competitors or consumers. Despite that, competitor's prices, convenience, availability and other factors affect consumer impressions of fair pricing. Among various issues fair or reasonable pricing is prominent one that involves sale of product at wholesale costs that pay for the labor, materials and overhead to make the products with a reasonable margin of profit. The another issues is Advertising Schemes :-laws binds companies' advertising price comparisons. Advertisers publishing an inexpensive product when there is not much inventory of the product are often using the illegal bait-and-switch scheme with a large inventory of a similar product at a much higher price.Price Cutting:-firms cut prices to sell off outdated stock or to make way for a new line of products.A company uses unethical pricing cuts to squash the sales of competitors by selling the same products for lower prices. Ethical promotional issues that a firm has to face are misleading technique used by store to increases purchases. The other issues includes Bait and Swap advertising,Sale price manipulation ,Special prizes and offers etc.

The various ethical issues that afirm has to face in global settings differs from country to country . Before going globally there is a need to study the environment of the the intended country which includes study of ethical, political , social ,economical as well as various aspects of the country crucial for the success of the venture. Some time these issues are completely different from domestic concerns. As political, legal, economic, and cultural norms vary from nation to nation, various ethical issues rise with them. A normal practice may be ethical in one country but unethical in another. Multinational managers need to be sensitive to these varying differences and able to choose an ethical action accordingly.One of the most important ethical issues involve employment practices, human rights, environmental norms, corruption, and the moral obligation of international corporations.

Ethical issues may be related to employment practices in many nations. The conditions like pay and work conditions,12-hour workdays, minimal pay, and indifference in protecting workers from toxic chemicals etc.differs in developed and developing countries.Human rights are still denied in many nations. Freedom of speech, association, assembly, movement, freedom from political repression, etc. are not universally accepted. The issues related to environment in the host nation is much inferior to those in the home nation, ethical issues may arise. Many nations have firm regulations regarding the emission of pollutants, the dumping and use of toxic materials, and so on. Developing nations may not be so strict, and according to critics, it results in much increased levels of pollution from the operations of multinationals in host nations.Corruption is an issue in every society in history, and it continues to be so even today. Moral Obligations, is also one of the issues that has to be faced in global settings.