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Competitive Dynamics and Socially Responsible Marketing

1. Sustainable Marketing

Definition:

  • Marketing approach that balances consumer needs with environmental/social responsibility to ensure future sustainability.

Evolution of Marketing Concepts:

EraFocusExample
TraditionalProfit-drivenFast fashion brands like Zara
SocietalConsumer + Society benefitsPatagonia’s eco-friendly products
SustainableFuture generationsTesla’s renewable energy solutions

2. Social Criticisms of Marketing

Consumer Impacts:

  1. High Prices

    • Issue: Marketing costs inflate prices
    • Counter: Value-added services justify costs (e.g., Amazon Prime)
  2. Deceptive Practices

    • Example: Inflated “original” prices for fake discounts
    • Solution: FTC truth-in-advertising regulations
  3. High-Pressure Selling

    • Unethical: Timeshare scams
    • Ethical: Consultative selling (Apple)
  4. Product Safety

    • Case: Volkswagen emissions scandal
    • Prevention: Rigorous quality control

Societal Impacts:

  1. Materialism

    • Black Friday overconsumption
  2. Cultural Pollution

    • Ad clutter in digital spaces
  3. Unfair Competition

    • Amazon’s predatory pricing

3. Consumer & Environmental Activism

Consumer Actions:

  • Boycotts: #DeleteUber campaign
  • Ethical Purchasing: Supporting brands like Patagonia
  • Digital Advocacy: #WhoMadeMyClothes movement

Environmental Actions:

  • Waste Reduction: Reusable products movement
  • Circular Economy: Apple’s device recycling program
  • Clean Tech: Beyond Meat’s plant-based alternatives

4. Sustainable Marketing Principles

  1. Consumer-Oriented

    • Co-creation (Starbucks Idea platform)
  2. Innovative

    • Lush’s package-free products
  3. Societal Focus

    • Matrix:
      • Desirable (healthy/eco)
      • Salutary (vaccines)

5. Ethical Marketing Practices

AreaBest PracticeExample
AdvertisingTruthful claimsFDA drug ad regulations
PricingAvoid collusionEU vs. Google antitrust case
SafetyRecall systemsJ&J Tylenol crisis response

6. Business Sustainability Strategies

Marketing Principles:

  1. Customer-Value Focus

    • Tesla’s free charging network
  2. Mission-Driven

    • Dove’s Real Beauty campaign
  3. Societal Balance

    • Unilever’s Sustainable Living brands

Environmental Strategies:

StrategyImplementationExample
Pollution PreventionZero-waste manufacturingToyota factories
Product StewardshipFull lifecycle responsibilityHP ink recycling
Clean TechRenewable energyGoogle data centers

7. Corporate Social Responsibility

Key Areas:

  1. Transparency

    • Everlane’s Radical Transparency
  2. Inclusivity

    • Fenty Beauty’s 40-shade range
  3. Community Impact

    • Starbucks’ refugee hiring

Compliance:

  • FTC advertising rules
  • EPA environmental standards
  • Labor regulations

8. Societal Marketing Framework

Decision Matrix:

Low Immediate SatisfactionHigh Immediate Satisfaction
High Long-Term BenefitSalutary (vaccines)Desirable (eco-products)
Low Long-Term BenefitDeficientPleasing (junk food)

Guides product development decisions balancing consumer wants and societal needs