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MCOM214: Principles of advertising lecture notes

by: Kelsey Voelker

MCOM214: Principles of advertising lecture notes Mcom 214

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Kelsey Voelker

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class lecture notes from the third lecture
Principles of Advertising
Dr. Rhee
Class Notes
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This 3 page Class Notes was uploaded by Kelsey Voelker on Friday September 23, 2016. The Class Notes belongs to Mcom 214 at Towson University taught by Dr. Rhee in Fall 2016. Since its upload, it has received 7 views. For similar materials see Principles of Advertising in mass communications at Towson University.

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Date Created: 09/23/16
Advertising 9/13/16 lecture 3 Chapter 2 The economic, Social, and Regulatory Aspects of Advertising Abundance Principle  Advertising: o Keeps consumers informed about alternatives (complete information) o Allows companies to compete more effectively (Self-interest) by competition (many buyers and sellers) o *ad stimulates a healthy economy & helps create financially healthy consumers Social Impact of Advertising  Deception in advertising o Factually falseconsidered deceptive  Puffery o Exaggerated, subjective claims that can’t be proven true or false  Ex. “the best”, “premier” o Accepted in US market: Reasonable people don’t believe it o Case in textbook: Papa john’s vs. Pizza hut  Effect on our value system o Advertising has been often criticized for degrading people’s value systems by promoting a materialistic way of life  The proliferation of advertising o Too much! o Negative impact of excessive advertisingless effective ads  The use of stereotypes in advertising o Advertising has long been criticized for insensitivity to minorities, women, immigrants, the disabled, the elderly, and other groups  Offensiveness in advertising o Nudity ads, immoral, strictly adult-oriented ads o Taste is highly subjective o Taste is geographic Current Regulatory Issues Affecting US advertisers Freedom of commercial speech (commercial speech is protected)  Tobacco Advertising o Freedom of commercial speech? Or protecting consumers’ health? o Tobacco products causing health problems o Major externality Advertising 9/13/16 lecture 3  Advertising to children o Not sophisticated consumers  Consumer privacy o Increased interactive advertisinggrowing consumer concern o Protecting personal information on the internet  Issues of cookies o Self-regulation  Fair information practice principles  Notice, choice, access, security, enforcement Federal Regulations: Agencies  FTC deceptive, unfair, comparative ads  FDA nutritional labeling & education act (NLEA)  FCC broadcast media licensing  Patent & trademark office intellectual property  Library of congress copyrights “Works of authorship” The U.S. Federal Trade Commission (FTC)  Major regulator of advertising in US  Defining deception o Any ad that contains a misrepresentation, omission, or other practice that can mislead a significant number of consumers to their detriment whether the ad conveys a false impression  Defining unfairness o When consumer is unjustifiably injured o Violation of public policy  Comparative advertising o Legal so long as the comparison is truthful and measurable The Food and Drug Administration (FDA)  Labeling, packaging, and branding of packaged foods and therapeutic devices o Complete information  Nutritional labeling and education act (NLEA) o Requires the labels to show food value o Defining terms such as fresh, light, low fat, and reduced calories o Set standard serving sizes The Federal Communications Commission  The FCC has jurisdiction over radio, television, telephone, satellite, cable, TV industries, and the internet  The FCC has authority to license broadcasters o Indirect control over broadcast advertising  Obscenity and profanity Advertising 9/13/16 lecture 3 o Can restrict both the products advertised and the content of ads U.S. Patent and Trademark Office  Protecting intellectual property  Patent o Providing incentives to invent, invest in, and disclose new technology worldwide  Trademarks o Protecting investments, promote goods and services, and safeguard consumers against confusion and deception in the market place o World, phrase, symbol and/or design The Library of congress  Protects all copyrighted material, including advertising o Copyright issued to an advertiser grants the exclusive right to print, publish, or reproduce the protected ad for the life of the copyright owner plus 70 years


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