Thursday, September 25, 2014

Blog Post 3

What's Your Mission

Statement of Ethics

AMA provides a detailed Statement of Ethics that they claim to follow and refer to in every business decision.  It is important to have a clear and concise Statement of Ethics so employees of AMA know what their social responsibilities are as a member of the organization. Consumers are responsible for using and supporting businesses with strong ethical values. Consumers should try inform themselves on the companies they use and support to make sure that the organization has principles that do not harm the environment, take advantage of the vulnerable and the organization is proud of the product or service they are promoting.

Honesty and Responsibility

An honest and responsible company will keep their customers even if the service or product fails. AMA defines honesty as “Honesty – to be forthright in dealings with customers and stakeholders.”[1] An honest company will keep their customers coming back because organizations will stand by their products even if they fail and then take responsibility for them. Responsibility does not stop at customer satisfaction for AMA. Responsibility must do with the responsibility to their stakeholders, environment, and vulnerable target markets are listed as responsibilities for the organization. The environment is a topic many people look over because usually they are not directly affected by the misuse of the environment by corporations and organizations. The Australian e-waste is becoming a largely overlooked problem because it is not happening on our front door, but it is the companies responsibility to stop wrongly advertising their clean way of disposing of e-waste and our responsibility as consumers to stop supporting and using organizations who are not truthful to their ethical principles.

Transparency

AMA defines transparency as “to create a spirit of openness in marketing operations.”1 Organizations should all have this for one of their ethical values. Organizations should be proud to let customers, potential customers and stakeholders look into their operations and see how they work. Corporations should not try to hide any part of their procedures, if a corporation is reserved, closed off to the outside world the company may be conducting their business unethically. Transparency allows the customer to make a more informed decision about what they are putting their money into. Transparency allows customers to have the full view of the company and allows them to make more informed decisions and this can have a lot to do with their purchasing decisions. The example of e-waste, one might use the company but not know the repercussions of their decision to use this company. After learning about the seemingly non-existent ethical decisions made by the company a consumer will be willing to pay more and use a company that disposes of e-waste safely and ethically.


Implementation

Implementing these values into day-to-day and long-term business decisions are what separates the ethical business from the non-ethical. A company can list all these things and market to their consumers and stakeholders that they are a honest and worthy company for their business but if the values are not followed then they are misleading. Marketing to the community is only half the battle. A company’s success is built on credibility, and once the credibility is lost it is hard to gain the consumers trust and respect back. The example of the Toyota recall, after they called the recall they lost many of their current customers and even more potential customers. It has taken years for them to rebuild the company name and reputation. Other companies, if they are not loyal, trustworthy and creditable can lose a large portion of their market.




[1] American Marketing Association. “About AMA – Statement of Ethics.” Accessed
September 24, 2014. https://www.ama.org/AboutAMA/Pages/Statement-of-Ethics.aspx

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