Introduction: The line between ethical and unethical advertising is often unclear. What seems unethical to some consumers might not faze others. If you’re unsure whether a particular marketing claim or tactic is unethical, err on the side of caution. Unethical advertising can backfire, causing consumers to turn on your company and defeating the purpose of your marketing campaign. A) What counts as deceptive/misleading/unfair advertising?
At the same time, global brand has impacted negatively on the social norms of local consumers’ behaviour. Conversely, the consumers’ attitudes about consumption of global brand have been affected positively or negatively by globalization trends (Alden, Steenkamp and Batra 2006). Globalization can have a positive impact on the consumer behaviour towards a domestic brand. In contrast, it can either be useful or harmful for global brands due to the consumers’ attitude, especially the purchase intention, which is affected directly by the source of products that are sold in the domestic market (Riefler 2011). Consumers who are highly nationalist may refuse to consume the global products while other consumers may not consider the source of the products that they are buying when making purchasing
Regulations that the government implement, licensing for example, increases the barrier of entry into the market and decreases ways for the traders to gratify consumer demand. This case is prevalent in the monopoly market. The market is sometimes best to decide how much and what to produce since it has better information and knowledge of the consumers compared to the government. Economic decisions may also not be competent when the government is motivated by political power rather than economic imperatives. Sometimes, economic policies are designed to retain power rather than to ensure maximum efficiency in the economy.
Market failure means that the market fails to distribute the resources efficiently to satisfy customers. As a result, the government will intervene the marketing to recovery the market. When people buy merit goods, it will be beneficial to people, however, they often cannot realize the benefit. It is known as net private benefit. Net private benefit of merit goods gained from consumption can decrease the private cost.
This could leads to misleading figures as the returns by engaging in “window dressing” practices (Rappaport, 1986). Thus, the use Return on Investment (ROI) as a basis of evaluation of performance and strategies at the organization level can lead to bad decisions and to invest through misallocations of resources, thus this could lead to over all bad performance over a period of time (Rappaport, 1986). In case, there are large numbers of assets that have been invested, they will yield significantly lower returns in the early years. This could be interpreted as bad performance. However, a good performance in future years could be neglected and good investment opportunity may be lost.
The migration-development nexus has been a widely discuss topic with mixed results. For some scholars migration is prejudicial for the countries of origin because it reduces the labour force, remittances can affect the export sector by increasing the value of the exchange rate. While others say it is helpful for alleviating necessities for the poor, increase the investment in education and health and in some cases leads to entrepreneurship by the creation of small and micro enterprises. One of the argument in favour of this nexus , is that remittances can be" a bottom up source of development finance and transnational engagement of migrants with the development of their societies" (De Haas, 2007) as the case of Cape Verde , a nation of
This resuIts in saving time and money for the host country. Sometimes foreign workers are given jobs that the common folks would advise against or prefer not to do. The fact that foreign workers are in need of jobs, allows the host country to get the task done, without the disapproval of the locals. Though there are positive factors with having relationships with foreigners, there is also a downside.The biggest difficulty in working out a plan is, language barrier. Different people from different parts of the world speak all sorts of languages, each with its own dialect.
2. Another risk of a property investment is that depending on the economic state, the value of the property could rise or fall. This makes it hard when you come to sell it or find another tenant, that you may have to lower your price because of competition or the economic state. This happens a lot when there is a financial crisis. This means that you may not make any profit on the investment or you may even lose money.
In this case therefore, despite the revenue that the host country realises from FDI, it is not able to gain comprehensively. However, it is also possible to prevent or at least limit practices of transfer policy through stringent regulatory framework and policies. In this case the gains depend more on the host country’s ability to control the transfer pricing and less on the MNCs ability to do so. c) Prebisch (1950) argued that terms of trade tend to depreciate against primary commodities. This is due to their inelastic nature and lack of ability to generate effective demand.
Advantages of a joint venture are that the local partner has knowledge of the customs and tastes of people and often has an established distribution network. Another advantage is that the local partner may have valuable business and political contacts. In addition, the parties involved can share costs and risks. As stated by Harlaar, Ouwehand & de Leeuw (2012) a possible disadvantage is “loss in managerial control which can result in reduced profits, increased operating costs, inferior product quality , exposure to product liability, environmental litigation and fines”. Also, cooperation may be difficult because of different backgrounds, goals and capabilities, for