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Mr. Smith-Business Law Chapter 7-Marketing and Technology: Choice and Manipulation

Mr. Smith-Business Law Chapter 7-Marketing and Technology: Choice and Manipulation. The drive for material goods…and reward people If it appears…rewards will be It is essentially…who do the choosing -John Crichton, Morals and Ethics in Advertising. Page 230.

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Mr. Smith-Business Law Chapter 7-Marketing and Technology: Choice and Manipulation

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  1. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The drive for material goods…and reward people If it appears…rewards will be It is essentially…who do the choosing -John Crichton, Morals and Ethics in Advertising Page 230

  2. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation A decade ago…20,000 ads annually Today, marketers have…in 2007 By 2010…by one-third Page 230

  3. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation This chapter begins…”commercial speech” We move on…informed by advertising? The chapter continues…Standards of Practice We read about…perception of risk We are witnessing…blurs Pages 230-231

  4. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Commercial Speech Freedom of speech…be lawfully silenced Not until the…in the courts Today, unless it…marketplace of ideas Initially the Supreme Court…goods and services Then, in 1976…had to say Page 231

  5. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Commercial Speech So, in Virginia Board…well-educated voters Two years after…affect” a corporation Page 231

  6. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation IMS Health Inc. Et. Al. v. Kelly Ayotte, Attorney General of New Hamshire For each prescription…in a central location IMS and Verispan…the United States The large pharmaceutical…research and development Pages 232-233

  7. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation IMS Health Inc. Et. Al. v. Kelly Ayotte, Attorney General of New Hamshire Detailing Pharmaceutical detailing…and doctors Gifts, Meals and Other Inducements Prescribers are often… and other inducements Page 233

  8. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation IMS Health Inc. Et. Al. v. Kelly Ayotte, Attorney General of New Hamshire Detailing can be…and meals Detailing is generally…cost-effective The Statute The Prescription Information…health care costs At a legislative…could be substantial Pages 234-235

  9. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation IMS Health Inc. Et. Al. v. Kelly Ayotte, Attorney General of New Hamshire Legal Analysis Does the Challenged Statute Restrict “Speech”? The challenged law…their marketing messages Conclusion Because the prescription…so ordered Pages 235-238

  10. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Native Americans and Malt Liquor Advertising In 1993…a malt liquor This decision sparked…the general population The district judge…worthy goal If they are offended…is all about Pages 239-240

  11. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation • Advertising and Economics • Left wing economists…they don’t need • Who are these…trip to Rome? • I feel no qualms…your first car? • David Ogilvy, Ogilvy on Advertising • Which came first…artistic expression Page 240

  12. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Dependence Effect The theory of…system of economists The first is…desires take over The second proposition is that wants originate in the personality of the consumer Page 241

  13. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Dependence Effect A new consumer product must be introduced with a suitable advertising campaign to arouse an interest in it As a society becomes increasingly affluent, wants are increasingly created by the process by which they are satisfied Pages 241-242

  14. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Dependence Effect The engines of…between the two Federal v. Industry Self-Regulation The Federal Trade Commission The Federal…to protect consumers The agency was…misleading advertising Pages 243-244

  15. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Federal Trade Commission Deceptive advertising…appears to be The FTC…with vegetables Advertisers are…for them While it was…any other analgesic Page 244

  16. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Federal Trade Commission Some ads that…would consider important Internet service providers…the free period Endorsements and testimonials must reflect the honest opinions or findings of the endorser Pages 244-245

  17. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Federal Trade Commission The FTC will…ad from appearing For example…as a substitute Deceptive and unfair…or content The following case…eliminate cellulite Page 245

  18. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation FTC v. Silueta Distributors, Inc. and Stanley Klavir Defendants promoted the…diuretic tablets The advertisement…support this assertion Liability Section 5(a)…acts or practices Section 12…or cosmetics Page 246

  19. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation FTC v. Silueta Distributors, Inc. and Stanley Klavir Liability The FTC act…practice is material This evidence reveals…ingestion of water Klavir’s Liability Klavir asserts…misrepresentations Pages 246-247

  20. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation FTC v. Silueta Distributors, Inc. and Stanley Klavir Klavir’s Liability Klavir claims…about the product Finally, he…in this case The evidence presented…by the advertisements This evidence causes…is appropriate Page 247

  21. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation FTC v. Silueta Distributors, Inc. and Stanley Klavir Klavir’s Liability The defendant also…back his profits The court ruled…deceptive trade practice Klavir’s firm had…was left over Page 248

  22. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Lanham Act The Lanham Act…Great Depression While the focus…damaging to them To succeed under…sales “puffery” (The claim…is for sale) Page 248

  23. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Lanham Act If a company…misleading claims The first ad…day or night Nicotrol’s patch…chooses Nicorette The second commercial…you the choice Pharmacia went…a full trial Pages 248-249

  24. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Pharmacia Corporation v. GlaxoSmithKline Consumer Healthcare A Lanham Act…to deceive consumers While the ad…pieces per day Harm to Pharmacia Harm to GSKCH Pages 249-250

  25. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation End of Day One Pages 236-237

  26. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Industry Self-Regulation The advertising industry…the ad agency The National Advertising…the advertising industry Standards of Practice We hold that…force in business However, unethical…the public confidence Pages 251-252

  27. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation • Creative Code • We the members…that contains • Thru e. • We recognize that…deliberately irritating Page 252

  28. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Children, Obesity, and Marketing Junk Food The world health…disease of adulthood At the same time…persuasive ways From Tastes Great to Cool: Children’s Food Marketing and the Rise of the Symbolic As their participation…”commercial” media Page 253

  29. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation From Tastes Great to Cool: Children’s Food Marketing and the Rise of the Symbolic Viewing time and…obesity-related illnesses Children are also…viewing hours Food marketing to…other branded foods Another marketing strategy…30-second spots Pages 253-254

  30. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation From Tastes Great to Cool: Children’s Food Marketing and the Rise of the Symbolic Another common promotional…for children Character licensing…with Coca-Cola Junk food also…other food products A related tactic…help create buzz Pages 254-255

  31. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation From Tastes Great to Cool: Children’s Food Marketing and the Rise of the Symbolic Schools have also…product at school Fast food companies…on spelling tests Another major marketing…public school curriculum Page 255

  32. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Deteriorating Diets and Rising Obesity Children’s diets are…drink consumption Another important change…to burn off Different Approaches to Advertising Effectiveness Children’s marketers…and glamour Food advertisers…with outsiders Pages 255-256

  33. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Shift In it’s early…product benefits Toy commercials…really could not Often dubbed…youth rebellion Specific Themes Cool is an…junk food is cool Pages 256-257

  34. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Specific Themes Ads often transport…over the classroom Junk Food as a “Drug” The association of…common tactic Junk food is to…user feel differently Since Philip Morris…Miller Brewing Company Pages 257-258

  35. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Connections to Existing Research Studies look at…are more desirable The Debate Since the publication…number of fronts Medical professionals…and Pepsi A number of…food to children Page 258

  36. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Debate The food industry…not their products Coke and Pepsi…free pedometers More recently…the obesity epidemic Along these lines…ineffective strategies Pages 258-259

  37. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Direct-to-Consumer Pharmaceutical Advertising This chapter began…up to five years Wyeth laboratories…and Cosmopolitan The plaintiffs…high blood pressure In addition…of all instances Page 262

  38. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Our medical-legal…if needed The patient... “doctor knows best” Pharmaceutical…at physicians For good or…third-party providers Pages 262-263

  39. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Drug manufacturers…in magazines The question in…of the past Direct-to-Consumer Advertising Upjohn Company…hair-loss treatment Page 263

  40. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising The American…in some manner The difficulties…drug product Even without…a general nature However…from product risks Pages 263

  41. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising Traditionally…physicians adequately This Learned…about prescription drugs First, courts…physician’s judgment Second,…informed consent Page 264

  42. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising Third,…relevant information Unlike over the…enclosed labeling Finally,…for lay patients These premises…prescription drugs Page 264

  43. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising First, with rare…no longer exists Second, because…they were taking When a patient…about the product Pages 264-265

  44. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising It is one…health problem The majority holds…product Dissenting Norplant is not…the capsules Page 265

  45. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising Dissenting First, the Norplant…relationship Second, the physician…the procedure Third, a…with each device Page 265

  46. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation Saray Perez v. Wyeth Laboratories Inc. Direct-to-Consumer Advertising Dissenting Each patient…and warnings Pages 265-265

  47. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Branding of Culture In her provocative…of our culture No Logo The Beginning of the Brand The first mass-marketing…today Page 266

  48. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation The Beginning of the Brand Faced with…given corporation First, they had…if they used it Klein explains…began to change By the end…a brand identity Pages 266-267

  49. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation No Logo The Beginning of the Brand The search for…people’s lives She goes on…the actual products Everything was an…mission statements Page 267

  50. Mr. Smith-Business LawChapter 7-Marketing and Technology: Choice and Manipulation No Logo The Beginning of the Brand Nike, for example…emotional leverage A great brand…really matters Page 267

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