Persuasive advertising,autonomy, and the creation of desire

It is argued that persuasive advertising overrides the autonomy of consumers, in that it manipulates them without their knowledge and for no good reason. Such advertising causes desires in such a way that a necessary condition of autonomy — the possibility of decision — is removed. Four notions central to autonomous action are discussed — autonomous desire, rational desire and choice, free choice, and control or manipulation — following the strategy of Robert Arrington in a recent paper in this journal. Replies are made to Arrington's arguments in favour of advertising. It is also claimed that the argument developed by Philip Nelson, which concludes that even if persuasive advertising does override autonomy, it is still in the interests of consumers to be subjected to it, is seriously mistaken. Finally, some caveats concerning informative advertising are presented. The author has recently received the degrees of B. A. and B. Phil. at Oxford University, and is presently working on a D. Phil. thesis, in which an ideal utilitarian/perfectionist theory is developed. It is hoped that this theory will supply plausible solutions to a number of problems in practical ethics. He has had an article, The Argument from Marginal Cases, published in Journal of Applied Philosophy, II, 2, 1985, and another, The Avoidance of the Problem of Evil: A Reply to McGrath will be published this year in Analysis.     

A Qualitative Exploration into Voters' Ethical Perceptions of Political Advertising: Discourse, Disinformation, and Moral Boundaries

Political campaign advertising continues to be a controversial policy topic in advertising and marketing research. It is also a prime subject for investigating the ethical evaluations of consumers (or voters). The following study draws from postmodern communication theory and employs a qualitative research methodology in order to explore voters' intimate and subjective views about politics, candidates, and political advertising. The findings include emergent themes relating to significant media rituals in voters' lives, the cynical perspective of politics as a game, and the widespread disapproval and suspicion with which voters regard negative political advertising. Additionally, the a priori theme of political information as disinformation was proposed and expanded upon. Findings are discussed in light of a greater understanding of the appropriateness of the traditional versus the postmodern perspective of political communication, informants' construction of moral boundaries which help them determine right from wrong, acceptable vs. unacceptable political behaviours in this particular context.     

Learning,market selection and the evolution of industrial structures

Industrial economics is a rich source of puzzles for economic theory. One of them — certainly the most discussed — regards the co-existence of firms (and plants) of different sizes, displaying rather invariant skewed distributions. Other puzzles, however, concern the sectoral specificities in industrial structures, the persistence of asymmetric corporate performances and the dynamics of entry and exit. The paper reports some preliminary results on evolutionary modeling of the links between the microeconomics of innovation, the patterns of industrial change and some observable invariances in industrial structures.First, the paper reviews a few of these empirical regularities in structures and in the patterns of change. Second, the paper discusses the achievements and limits of interpretations of the evidence based on equilibrium theories. Finally, it presents a model where these regularities are explained as emergent properties deriving from non equilibrium interactions among technologically heterogeneous firms. Moreover, simulation exercises show that also the intersectoral variety in the observed industrial structures and dynamics can be interpreted on the grounds of underlying specificities in the processes of technological learning — which is called technological regimes — and of the processes of market interactions — i.e. market regimes.This research has undertaken within an on going project sponsored by the Italian Research Council (CNR, Progetto strategico,Cambiamento tecnologico e sviluppo economico). Support by the Consortium on Competitiveness and Cooperation Centre for Research in Management, University of California at Berkeley is also gratefully acknowledged.     

Lying and intentions

In this essay I criticize recent attempts to prove that the concept of lying does not include the intent to deceive. I argue that examples by Isenberg and Carson fail to prove that one can lie without intending to deceive and, furthermore, that untoward consequences would follow if these authors were correct. I conclude that since intending to deceive is indeed a necessary condition of lying, the class of statements that constitute lies is smaller than what Isenberg et al. would suggest. Hence the class of deceptive advertisements is also correspondingly smaller. Gary E. Jones is Associate Professor at the Philosophy Department of the University of San Diego. He won the Review of Metaphysics Dissertation Essay Contest, 1977 and he holds fellowship of the University of Cincinnati and the University of Tennessee. His most important publications are The State and the Right to Health Care (in Philosophical Quarterly), Rights and Desires (in Ethics), Vindication, Hume, and Induction (in Canadian Journal of Philosophy), Engelhardt on Abortion and the Euthenasia of Defective Infants (in Linacre Quarterly) and Clendinnen, Jackson and Induction (in Philosophy of Science).     

Corporate responsibility and corporate personhood

In this paper, I consider the claim that a corporation cannot be held to be morally responsible unless it is a person. First, I argue that this claim is ambigious. Person flags three different but related notions: metaphysical person, moral agent, moral person. I argue that, though one can make the claim that corporates are metaphysical persons, this claim is only marginally relevant to the question of corporate moral responsibility. The central question which must be answered in discussions of corporate moral responsibility is whether corporations are moral agents or moral persons. I argue that, though we can make a case for saying corporations are moral agents, they are not moral persons, and hence, we can hold them responsible. In addition, we need not treat them the way we would be obligated to treat a moral person; we needn't have the same scruples about holding a corporation morally responsible as we would a moral person. Rita C. Manning is Lecturer at California State College, San Bernardino. She has published in Southern Journal of Philosophy and in Informal Logic.     

Ethical Education in Accounting: Integrating Rules,Values and Virtues

Ethics in accounting and ethical education have seen an increase in interest in the last decade. However, despite the renewed interest some important shortcomings persist. Generally, rules, principles, values and virtues are presented in a fragmented fashion. In addition, only a few authors consider the role of the accountants character in presenting relevant and truthful information in financial reporting and the importance of practical reasoning in accounting. This article holds that rules, values and virtues are interconnected. This provides a sound approach to ethics in accounting, in which character and practical reasoning are crucial. Consequently, ethical education in accounting has to simultaneously include the knowledge of proper rules and principles and their correct application; values (understood as moral goods) and virtues, whose acquisition, in the view of the author, should be encouraged.     

What's Wrong with "Deceptive" Advertising?

In this paper I present a moral account of the legal notion of deceptive advertising. I argue that no harmful consequences to the consumer need follow from a deceptive advertisement as such, and I suggest instead that one should focus on the consequences of permitting the practise of deceptive advertising on society as a whole. After a brief account of deceptive advertising, I move to discuss the role of the reasonable person standard in its definition. One interpretation of this standard is empirical, aiming to objectify the quality of misleadingness in the advertisement. I offer an alternative normative interpretation which aims to draw the line between the advertiser's responsibility and that of the consumer, between misleading and miscomprehension. I then examine and reject several possible moral grounds for condemning and prohibiting deceptive advertising. These include: harm, in the sense of welfare, to the misled consumer; harm to competitors; and a violation or a reduction of the consumer's autonomy. Finally, I explain how the effect of the practise of deceptive advertising on society as a whole should inform our normative line-drawing between misleading and miscomprehension, and how it provides the basis for the moral evaluation of deceptive advertising.     

Estimates and Determinants of Armington Elasticities for the U.S. Food Industry

This paper provides estimates of elasticities of substitution between domestic and imported goods for 40 4-digit S.I.C. food manufacturing industries and explains the inter-industry differences among these coefficients in terms of industry sectoral characteristics. The results show that there is a wide range of variation among such elasticities and that the intensity of each industrys percentage of output sold to final consumers, foreign direct investment, expenditures on advertising and the existence of import quotas affect the degree of substitutability between domestic and foreign goods in the face of a relative price change.     

A note on government policy and the new ‘intrapreneurship’ in Bulgaria

Conclusion I have attempted in this paper to highlight the recent emergence and rapid growth of a particular type of intrapreneurship in the Bulgarian economy. This intrapreneurship involves the creation of new smaller establishments within existing large-scale industrial firms. These semi-autonomous auxiliary plants are exempt from part of the bureaucracy which constrains the larger addition, they have provided a higher rate of technological advance, a better supply of consumer goods, a greater utilization of labor resources, and a higher return to human capital.Only through the continued development of a small-firm sector can the Bulgarian economy meet the challenge currently posed by its western counterparts. Whether the next step from intrapreneurship to entrepreneurship is taken may hold the key for industrial development in Bulgaria.     

Self-regulating industry behavior: Antitrust limitations and trade association codes of conduct

Self-regulation exists at the firm-level, the industry-level, and the business-level of economic organization. Industry self-regulation has faced economic (free rider) and legal (antitrust) impediments to widespread implementation, although there exist examples of effective industry self-regulation, e.g., securities industry and the SEC, advertising and the FTC. By instituting industry codes of conduct, national trade associations have shown to be natural vehicles for self-regulation. While there has been long-standing general encouragement for establishing industry codes, adopting and enforcing conduct codes has been seriously circumscribed by restrictive Supreme Court decisions and FTC advisory opinions. One approach to clearing legal confusion is to petition the FTC to issue an industry guide on promulgating and enforcing trade association codes of conduct. Another strategy is to utilize a stakeholder approach to association ethics committee appointments that subsequently influence code creation and enforcement. Finally, a new concept of an industry code of conduct will consist of three subcodes: an economic code; an environmental code; and a socio-political code. Combined, these strategic approaches will offer new opportunities for effective nonmarket regulation.Thomas A. Hemphill is affiliated with the Institute of Scrap Recycling Institute, Inc., Washington, D.C. His most recent publications are found inBusiness and Society Review (Fall 1990), A Solid Program for Solid Waste and (Summer 1991), Marketer's New Motto: It's Keen to be Green.     

Deception in commercial negotiation

Buyers and sellers of inputs of production, to the degree that they must negotiate directly with each other and cannot have recourse to more impersonal markets, share in certain aspects of bilateral monopoly. Under these circumstances, and assuming profit maximizing goals for each, deception often seems to be an unavoidable characteristic of negotiation.... I hate, detest, and can't bear a lie, not because I am straighter than the rest of us, but simply because it appalls me. There is a taint of death, a flavor of mortality in lies ... — JOSEPH CONRAD, Heart of Darkness.     

An ethical analysis of deception in advertising

This paper examines several issues regarding deception in advertising. Some generally accepted definitions are considered and found to be inadequate. An alternative definition is proposed for legal/regulatory purposes and is related to a suggested definition of the term deception as it is used in everyday language. Based upon these definitions, suggestions are offered for detecting and regulating deception in advertising. This paper additionally considers the grounds for the generally held but largely unquestioned assumption that deceptive advertising is unethical. It is argued that deceptive advertising can be shown to be morally objectionable, on the weak assumption that it is prima facie wrong to harm others. Finally, the implications of this analysis with respect to current regulation of deceptive advertising by the FTC are considered. Thomas L. Carson is Assistant Professor of Philosophy at the Virginia Polytechnic Institute and State University. He was previously Lecturer at the University of California at Los Angeles and was holder of an NEH Fellowship for College Teachers. His most important publication is The Status of Morality, Reidel, Dordrecht, 1984. Forthcoming (in Philosophy and Public Affairs) is: Bribery, Extortion, and The Foreign Corrupt Practices Act.Richard E. Wokutch is Associate Professor of Management at the Virginia Polytechnic Institute and State University where he teaches in the social issues and policy areas. He previously held positions as Visiting Assistant Research Professor at the Values Center, University of Delaware, and as Visiting Fulbright Research Fellow, Science Center, Berlin, West Germany. He has published several recent articles in the areas of bluffing and deception in business and ethical/social investing. James E. Cox, Jr., is Assistant Professor of Management and Marketing at Illinois State University. Formerly, he was at the Virginia Polytechnic Institute and State University (from September 1979 until August 1983). He was a fellow at the 1979 American Marketing Association Ph. D. Consortium and his research has been published in the Journal of Forecasting, the Journal of Marketing Education, the Proceedings of the American Marketing Association, and the Proceedings of the National Council of Physical Distribution Management. He is also co-author of the book Sales Forecasting Methods: A Survey of Recent Developments.     

The Morality of Bluffing: A Reply to Allhoff

In a recent paper that appeared in this journal Fritz Allhoff addresses the morality of bluffing in negotiations¹. He focuses on cases in which people misstate their reservation price in negotiations, e.g., suppose that I am selling a house and tell a prospective buyer that $300,000 is absolutely the lowest price that I will accept, when I know that I would be willing to accept as little as $270,000 for the house rather than continue to try to sell it. Allhoff criticizes my (qualified) defense of bluffing in my paper Second Thoughts on Bluffing,² and offers what he takes to be a more plausible defense of bluffing. Allhoffs criticisms rest on several serious misinterpretations of my views. He ascribes to me several arguments that I dont make. He also attributes to me an unqualified defense of bluffing that I explicitly reject. I briefly document this in Section 1. In Sections 2 and 3 I explain and criticize Allhoffs positive views about bluffing and the morality of bluffing.Thomas Carson is professor of philosophy at Loyola University Chicago. He is the author of Value and the Good Life and The Status of Morality. He is the co-editor of Moral Relativism and Morality and the Good Life. He is the author of numerous papers on ethical theory and business ethics and is a member of the editorial board of Business Ethics Quarterly and Journal of Business Ethics. He is currently working on a book entitled Lying and Deception: Theory and Practice.     

Business and games

This paper responds to the popular argument that business is like a game and is thus insulated from the demands of morality. In the first half of the paper, I offer objections to this argument as it is put forward by John Ladd in his well-known article, Morality and the Ideal of Rationality in Formal Organizations. I argue that Ladd's analysis is flawed both because it deprives us of the ability to assert that a business is acting badly or that its goals are irrational, and because it is internally inconsistent. In the second half of the paper, I give reasons for thinking that business is not like a game.Peter Heckman teaches business ethics at Santa Clara University. His publications on Nietzsche can be found inThe British Journal of Aesthetics andPhilosophy and Rhetoric.     

Women,unions, and social policy

We contend in this paper that the trade union role in social policy is expanding due to the debate on women's issues. The Centrale de l'enseignement du Québec is seen as a forerunner of this trend, with its policy positions on questions previously seen as personal. The method of promotion of these interests is also new, with caucusing and networking. The significance of these changes goes beyond unionized women workers and affects all women. Dr. Margaret Beattie is Professor adjoint at the Département de Service Social, Université de Sherbrooke, Quebec, Canada. Her most important publication is: Women and Factional Politics in a Teacher's Union, Atlantis: A Women's Studies Journal (Fall 1982).     

Creating a Market Orientation

A market orientation is a business culture in whichall employees are committed to the continuous creation of superiorvalue for customers. However, businesses report limited successin developing such a culture. One approach to create a marketorientation, the approach taken by most businesses, is the programmaticapproach, an a priori approach in which a business uses educationprograms and organizational changes to attempt to implant thedesired norm of continuously creating superior value for customers.A second approach is the market-back approach, an experientialapproach in which a business continuously learns from its day-to-dayefforts to create and maintain superior value for customers andthereby continuously develops and adapts its customer-value skills,resources, and procedures. Theory suggests that both approachescontribute to increasing a market orientation. It also suggeststhat when the a priori education of the programmatic approachis sharply focused on providing a foundation for the experientiallearning, the combined effect of the two learning strategiesis the largest. The implication is that the two strategies mustbe tailored and managed as a coordinated joint strategy for creatinga market orientation.     

Electronic Monitoring and Privacy Issues in Business-Marketing: The Ethics of the DoubleClick Experience

The paper examines the ethics of electronic monitoring for advertising purposes and the implications for Internet user privacy using as a backdrop DoubleClick Incs recent controversy over matching previously anonymous user profiles with personally identifiable information. It explores various ethical theories that are applicable to understand privacy issues in electronic monitoring. It is argued that, despite the fact that electronic monitoring always constitutes an invasion of privacy, it can still be ethically justified on both Utilitarian and Kantian grounds. From a Utilitarian perspective the emphasis must be on minimizing potential harms. From a Kantian perspective the emphasis must be on giving users complete information so that they can make informed decisions as to whether they are willing to be monitored. Considering the Internet advertising industrys current actions, computer users and government regulators would be well advised, both practically and ethically, to move to a user control model in electronic monitoring.     

Creating common ground: A lesson from the past

Orthodox business ethics, conventional management theory, and a great deal of higher education embody the overriding emphasis accorded to analysis by yesteryear's science. An alternative strategy, exemplified by the war stories told by a Confederate Genral, is more consistent with late 20th century science in general and soft systems methodology in particular.The characteristic way of management that we have taught... is to take a complex system, divide it into parts, and then try to manage each part as well as possible. And if that's done, the system as a whole will behave well, and that's absolutely false because it's possible to improve the performance of each part taken separately and destroy the system at the same time.Russell AckoffDavid R. Acklin is a Fellow at the Center for Dispute Resolution at Willamette University. His primary research interests are in alternative dispute resolution and organization behavior.Jonathan King is Associate Professor of Management at the College of Business at Oregon State University. His primary research interests are in moral philosophy and systems theories. His most important publications are Common Knowledge of the Second Kind and Learning to Solve the Right Problems,Journal of Business Ethics (1989, 1993).     

Assessing Industrial Buyer Preferences: Using the Swait-Louviere Test to Test the Key Informant Assumption

When using professional buyers to study an organizations buying behavior an important consideration is whether their preferences reflect those of the organization. Since this is a key informant problem, the present article focuses on the issue of the degree to which key informants can be used to provide insights into their own organizations preferences. We conduct a direct test of the key informant assumption using the Swait-Louviere test. In this test preferences from a choice experiment using actual buyers, and from market decisions made by the organization, are estimated separately, then jointly in multinomial logit models. We found that buyers experimental preferences were similar to estimates obtained from the market decisions. Buyers preferences were closer to the intuitive preferences of the organizations top executives than the estimates based on past market decisions, although a model based on the combined data outperformed either. We discuss the implications of these results for industrial buying research.This revised version was published online in May 2005 with a corrected cover date.     

Teaching ethics without ethics to teach

Changes in American society have brought both increased concern for solving practical problems and decreased concern for whether foundational ethical theory can be, or needs to be, understood when solving them. A systematic study of newly established institutes of applied ethics reveals that the directors of all of them claim that ethical theory, or knowledge of the ultimate bases for moral appeals inherent in human nature, is not necessary for proposing solutions. Quotations from claims of directors of five prominent institutes are cited as evidence for the thesis that teaching applied ethics without teaching theoretical foundations of ethics is the main line policy today.