Negative Effects Of Negative Advertising

Negative Advertising

Is Negative Advertising Unethical or a Competitive Marketing Strategy?

Mapua Institute of Technology

Guballa, Nikarlo Santiago G.

MGT110 – BY02

Atty. Sarah Delos Santos

June 15, 2015 Introduction

With the numbers of sellers rises in the market, the need for companies to come up with brilliant ideas to promote their products becomes more distinct to the society. Corporations are becoming more aware of the popular trends to connect with their target market and provide the society with their top demands as a basis for the quality of the products that the companies are selling. At the same time, it is becoming a top priority for the companies to properly market their brand as a product or service that the consumers

The competitor on the other hand who works hard to get its product recognized in a positive way. Their product name associated with negative marketing can cost them a great deal of money in the long run. The effect that negative advertising can have on these companies can also be beneficial in for long term. Millions of people use the internet each day to search for various products. When it is the negative aspects of a given product that find their way to the top of the search engine rankings caused through negative search engine marketing initiated by their competitor it impacts their sales.

For bigger companies, it may not seem as a big deal when they use negative advertising. Competitors usually use it as an advantage for both sides relating to the saying that any publicity is good publicity, as long as it does not violate any legal issues such as copyrights and trademarks or does it affect the other company’s reputation in major means.

Smaller companies in the other hand are more sensitive to negative advertising, as any negative information about their brand would have an amplified effect to its reputation. Negative advertising in small businesses are more prone as an unethical act because it appears as a more personal issue rather than in big

Ethics of Advertising

Advertising is defined as a form of marketing communication used to persuade an audience to take or continue some action, usually with respect to a commercial offering, or political or ideological support. In marketing, it is a way for companies to communicate with the market and build a solid relationship from it. Commonly seen in televisions, radios, and billboards, the purpose of advertising is to attract attention from the consumers and then provide them with the information for a specific product or service.

However, there are ethical limitations on how a company can advertise their products. In the absence of specific rules and regulations, there are legal, business and social implications of not taking into consideration ethical and social considerations. Though in many countries there are official organizations provided to regulate advertising to ensure it is not offensive, not deceitful, and not culturally distasteful. There are implications of offense or deceit that the producing companies and advertising agencies are answerable to. Even within regulatory environments, there is a chance that advertising may offend or provide false information. Though some of these behaviours are sometimes ignored or unchallenged, society still demands full accountability. Claims are now tested and monitored with real implications for the integrity, credibility and reputation of the offending