presentation in the international conference at Specific University , udaipur

1. An International Conference on
Challenges for Industrial Survival & Growth
In Indian & Global Perspective
Organized by
Pacific Institute of Business Studies (PIBS)
Pacific University, Udaipur
A Paper submitted on
“MARKETING INNOVATIONS AND ETHICS
–AN INVERSE RELATION ”
On
February 22 & 23, 2013
Dr. Rajesh A. Patel
M.Com., Ph.D.
Director
Prepared by
N. R. Vekaria Institute of Business
Management Studies- Junagadh

2. INTRODUCTION
“The most significant contribution organized industry can
make is by identifying itself with the life and the problems of the
people, of the community to which it belongs, and by applying its
resources, skills and talents to serve and help them”
- Late J. R. D. Tata.
As world is entering the new decade, it appears as if the
marketing discipline, after undergoing a mesmerizing major
transformation in the past two to three years, is facing stagnation.
This often occurs when pioneering concepts are fully absorbed by
the mainstream: Social marketing is on the way to becoming THE
marketing, as social media is becoming THE media (it is always a
sign of broad adoption if adjectives are dropped).
Authenticity, engagement, meaning, communities, social, convers
ations, transparency, etc. – they're all accepted across the
industry and widely implemented now.

3. MARKETING
The social and environmental impact of the stuff that's being marketed
remains, for the vast majority of people in marketing, until recently, largely
irrelevant. Marketing comprises a set of skills that generally enable companies
to sell more stuff to more people to get a greater share of the market. These
skills are usually portable: it doesn’t matter what's being sold to whom in what
marketplace.
INNOVATION
The social and environmental impact of the stuff that's being marketed
remains, for the vast majority of people in marketing, until recently, largely
irrelevant. Marketing comprises a set of skills that generally enable companies
to sell more stuff to more people to get a greater share of the market. These
skills are usually portable: it doesn’t matter what's being sold to whom in what
marketplace.
Innovation is a new way of doing something or "new stuff that is
made useful". It may refer to incremental and emergent or radical and
revolutionary changes in thinking, products, processes, or organizations.
Since innovation is also considered a major driver of the economy, especially
when it leads to increasing productivity, the factors that lead to innovation are
also considered to be critical to policy makers

4. DIFFUSION OF INNOVATIONS

5. MARKETING INNOVATION
It is a truth universally acknowledged that a
company in possession of a good (or poor) fortune must be
in want of innovation. Yet, by all accounts, some 40-90% of
innovations fail in the market. In this elective we examine
the drivers of market adoption, taking the perspectives of
both „objective reality‟ and the „perceived reality‟ of the
players in the decision. We then offer some suggestions for
bringing innovations more successfully to market.
Google for example allow their staff to spend
something like 30% of their time pursuing their own creative
interests which has lead to innovations such as Google
Maps and Google Adsense which has genuinely changed
the way we live and made Google in phenomenon more than
a search engine.

6. ETHICAL MARKETING
• Ethical marketing refers to the application of marketing ethics
into the marketing process. Briefly, marketing ethics refers to the
philosophical examination, from a moral standpoint, of particular
marketing issues that are matters of moral judgment.
• Ethical marketing results in a more socially responsible and
culturally sensitive business community.
• The future success and perhaps even the long term survival of
human society may very well depend on whether or not we, as
members of that community, embrace these concepts or reject
them.
• Ethical marketing should be part of business ethics in the sense
that marketing forms a significant part of any business model.

7. PARADIGM SHIFT IN MARKETING
If marketing lives up to its mission – creating
innovative products and services and finding meaningful
ways to make them valuable for customers and society at
large – it needs to be a step ahead of customers and to
overcome the barrier of slow growth and tight budgets it has
become more critical for companies to devise creative
marketing techniques that beat the traditional methods of
influencing, attracting, and reaching prospective customers.
Marketing innovation is today’s hottest topic of our
planet among intellectuals. Why not harness the creativity
and innovation of one of the oldest professions there is to
move forward our societies onto a much more sustainable
footing? Innovation has been known to tackle far more
challenging tasks, anywhere from placing a man on the
moon, to persuading people to buy aloe vera toilet paper,
etc.

8. EMERGING ETHICAL ISSUES
• Mc.Donald is known for its marketing wisdom. They innovate in
globalization with respect to all their P‟s. Have you ever tried to
know the calories in a snack at Mc Donald‟s? You‟ll be surprised
that one burger, coke and French fries has some 1080 calories. In a
country where obesity is a problem and about 70%adults in urban
areas suffering from diabetes eating such rich food is colossal. Yet
we find McD gives catchy ads-“I am loving it!!!”
• Many of us get phone calls in the afternoons when we taking a cozy
nap, only to hear the pseudo modern girl say in a mundane voice
“Hello, aap___bol rahe hain?? kya apko personal loan ki
requirement hain?” we get cheesed off and wonder she got our
number and name???
• We often come across news in the newspaper where school
children are involved in car thefts only to drive them pleasure. This
is the impact of Myopic Advertising on these youngsters where
later needs are evoked leading them to indulge in anti-social
activities.

9. THE SOCIAL RESPONSIBILITY OF
BUSINESS
As Abraham Lincoln once said that public sentiments is
everything. With public sentiments nothing can fail, without it, nothing
can succeed. The individuals who are to be responsible are
businessmen, which mean in-dividual proprietors or corporate
executives.
The difficulty of exercising "social responsibility"
illustrates, of course, the great virtue of private competitive enterprise–
it forces people to be responsible for their own actions and makes it
difficult for them to "exploit" other people for either selfish or unselfish
purposes. They can do good–but only at their own expense. The
obligation of business towards different social group, i.e. the
consumers, employees, shareholders, society, government, media and
so on.
The utilitarian principle says – Act in a way that results in
the greatest goods for the greatest number. The Social Responsibility
Concept is beneficial to the Business and the Society. Thus, every
business must have a code of conduct as a guideline which directs
human behavior and helps to them differentiate between good and
bad, right and wrong, fair and unfair, professional and unprofessional
as well as determining universal rules and laws of a behavior.

10. CONCLUSION
Today’s challenge for marketers to achieve their goals
by integrating marketing innovation to build trust with
customers, consumers and society. Many people care about
the social and environmental impacts of business. Yet people
trust companies when they believe they are acting according to
their values, and not just because it happens to make sense in
that particular instance. Credibility comes from the confidence
that a business will continue to behave ethically in the future:
a business will gain little reputation benefit – and more likely
harm – from helping a community if local people see the
contribution as a short-term ‘bribe’ that will be withdrawn as
soon as its immediate objective is achieved.
As rightly said,
“It is better to be proactive towards a problem rather
than reactive to a problem. One part of Social
Responsibility is being responsible to
people, for the actions of people
and for actions that
affect people”

11. THANK YOU