Abstract
The issue of ethics in marketing continues to be a concern for marketing practitioners and researchers. Every business manager would probably agree that ethical implications are often inherent in marketing decisions. This fact has encouraged to turn to the topic of marketing ethics and to analyze the levels of marketing ethics. As an example of differences in the levels of marketing ethics in different countries, the situation in the old free market and in transition economies is compared. Because the analysis of marketing ethics adoption in the companies of transition economies still requires much research, the purposes of the paper are to present and define the levels on which decisions of marketing ethics are made by comparing the situation in transition and old free market economies, and to fill in the gap in the literature on marketing ethics in Lithuania by defining the main tendencies in the marketing ethics adaptation in this country.To attain the objectives of the paper, it presents the development of the theory of marketing ethics and a theoretical background of the levels of marketing ethics adaptation. The levels of marketing ethics are presented in the context of motivation theories and the corporate social responsibility. The paper will also provide scenarios according to which companies meet or should meet the questions pertaining to marketing ethics in the old market and transition economies.
Highlights
The last decade witnessed a remarkable increase in the ethical concern: in old free market economies, the leading business schools have introduced courses in business ethics, increased interest in the research of marketing ethics, an increasing number of Codes of Ethics have been created and adapted
The practical side of the problem of marketing ethics arises from the fact that in competitional surroundings marketing could be used as the whole of knowledge and activity, with the purpose to realize the interests of those who have them; or it could be used in a wider sense - with regard to the interests of persons and organizations involved in marketing actions
A comparison of the marketing scenarios which raise ethical questions in old market economies and transitional economies (Table 3) allows to conclude that an unethical behaviour exists in both old free market and transitional economies, but in the Western countries violations of marketing ethics are more delicate and hard to identify
Summary
The last decade witnessed a remarkable increase in the ethical concern: in old free market economies, the leading business schools have introduced courses in business ethics, increased interest in the research of marketing ethics, an increasing number of Codes of Ethics have been created and adapted. The biggest differences between marketing ethics in the old free market and transitional economies appeared in the understanding what marketing ethics is, and by which social institutions ethical/unethical decisions are made; the theoretical background on the level of marketing ethics adaptation is surveyed. J .E. McCarthy says: "To keep our system working effectively, individual firms should implement the marketing concept in a more efficient, ethical, and socially responsible way. Guns and products that poUute the environment could be mentioned as an example of such cases Both J.E. McCarthy and Ph. Kotler raise a question of social responsibility of a consumer. Practice shows that the moral rules and principles differ in different countries, industries, enterprises, etc Regardless of this fact, the process of decision-making in marketing ethics could be structured according to the levels at which these decisions are taken. G.R. Laczniak (1990) gives the following five ethical maxims: 1. The golden rule: Act in the way you would expect others to act towards you
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