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PUBLIC POLICY

PUBLIC POLICY. Marketing to children: concerns Misleading advertising Dangerous products Values promoted Anti-competitive practices. Marketing to Children--Concerns. Ability to understand intention to sell Ability to understand “fine print”--e.g., batteries not included

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PUBLIC POLICY

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  1. PUBLIC POLICY • Marketing to children: concerns • Misleading advertising • Dangerous products • Values promoted • Anti-competitive practices

  2. Marketing to Children--Concerns • Ability to understand intention to sell • Ability to understand “fine print”--e.g., • batteries not included • optional accessories • health consequences • Values promoted (e.g., materialism) • Resultant family conflict

  3. Some controversies • School television programming with commercial content • School lunch content • Soft drink vending

  4. Marketing to Adults--Concerns • Misleading ads • Values portrayed through marketing • Marketing of harmful products • Required disclosure • Anti-competitive activity

  5. Misleading advertising • Fine print • Explicit lies • Misleading statements • Omission of critical information (e.g., “… when used as part of a program of dieting and exercise…”]

  6. Claims • “Puffery” vs. factual assertions • Ability to prove claims made • Controversial science (e.g., “net carbohydrates”) • Medical claims • Regulated • Disclaimer that the claim has not been evaluated by the FDA

  7. Values Portrayed in Advertising • Emphasis on youth and beauty • Materialism • Instant gratification • Other values, e.g. • Family structure/ relationships • Individual vs. group orientation

  8. Food Labeling • Trans-fatty acids • Ingredient lists • Actually intended • Trace quantities from joint manufacturing processing (e.g., peanuts, glutens)

  9. Marketing Harmful Products • Nutritional supplements • Easy credit • High fat foods • Weight loss supplements • Gambling

  10. Is Outlawing Harmful Products the Answer? • Bans have reduced some problems • Racial discrimination • But have been relatively unsuccessful elsewhere • Prohibition

  11. Required (and Prohibited) Disclosure • Warning labels • How strong? • How prominent? • Wording • Specificity • Desensitization • Other disclosure issues • Truth in Lending (e.g., auto leasing) • Nutritional food labels • Prohibit disclosure----why?

  12. Anti-Competitive Behavior • Market Concentration (unacceptable mergers) vs. Operational Efficiency (economies of scale) • Preempting Consumer Default Choices (e.g., Web browsers)

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