Ba 385 Chapter 13: Consumer Stakeholders: Information, Issues And Response

Front 1

Describe the Consumer's Magna Carta

Back 1

The Consumer's Magna Carta Carter came from a speech by JFK where he outlined what he thought were four basic consumer rights. These are:
the right to safety
the right to be informed
the right to be heard
the right to choice.

Front 2

Describe the three perspectives on customers in the Moral Management model (i.e. how does each of the three styles of management view the customer stakeholder?)

Back 2

The three perspectives on customers in the moral management model are immoral, amoral, and moral management. Immoral management sees customers as something to be exploited for profits, Amoral management sees customers as a means to profit but does not think about the ethical consequences of their choices, and moral management sees customers as equal partners in transactions.

Front 3

What are the arguments for and against advertising?

Back 3

The arguments for adversing are:
it increases the standard of living
it increases consumer satisfaction
it is an efficient means of distributing information
it is effective
it has a low cost
Argument against advertising are: it lowers the standard of living (it provides no physical benefit)
it can decrease consumer satisfaction
it is inefficient
it is ineffective
it is expensive

Front 4

Describe three of the seven controversial issues in advertising.

Back 4

The seven controversial issues in advertising are: Comparative Advertising, Use of Sex and Women in Advertising, Advertising to Children, Advertising Alcoholic Beverages, Ad Creep, Health and Environmental Claims, and Cigarette Advertising.

Front 5

Briefly describe four of the seven principles of advertising to children.

Back 5

The seven principles of advertising to children are:
Consider the audience's level of knowledge and maturity.
Use care not to exploit the imaginative quality of children.
Do not advertise products that are inappropriate for children.
Communicate information truthfully and understandably to children.
Develop advertising that addresses positive social behaviors
Present positive and pro-social roles and role models
Parents are responsible for proving guidance for children.

Front 6

What is the difference between an express and an implied warranty?

Back 6

A express warranty is a promise or affirmation of fact that the seller makes at the time of sale while an implied warranty is an unwritten promise that these is nothing wrong with the product and it will work for its intended use.

Front 7

Describe the major actives of the FTC and list three of the divisions of the FTC.

Back 7

The two major activities of the FTC are: Maintain free and fair competition and To protect the consumer from unfair or misleading practices. The Divisions of the FTC are: Advertising Practices, Marketing Practices, Credit Practices, Enforcement, and Service Industry Practices.