Help-wanted ads for business opportunities are misleading if they create the impression that they are for an employee position.
Ethical practices in sales and marketing activities are certainly not a black and white set of behaviors and actions. Sales representatives are responsible for ensuring that customers are completely aware of the details behind transactions. Ethical behavior is primarily up to the individual who engages in potential sales and marketing transactions. According to the Sales and Marketing Professional Association's code of ethics, sound behavior includes presenting accurate and knowledgeable product facts, acting in a customer centric fashion, pricing products according to their true value and choosing distribution methods that minimize customer costs.
Accuracy
When presenting product information in advertisements, promotional materials and sales presentations, an accurate representation is necessary. It would be considered unethical to include misleading or inaccurate information that may inflict some sort of harm or damage. This harm or damage could be intentional or unintentional. For example, advertising that compares a product against a competitor's should not blatantly state that one is better than the other. While the advertisement may compare similar features, it must stick to verifiable facts, such as calorie count. Accuracy also applies to billing and payment terms.
Customer Focus
A large part of being ethical in sales and marketing activities is maintaining a strong customer focus. Instead of pushing products and services that will benefit the company or the sales representative, the sales approach should seek to discover what the customer needs. It is best to avoid pressure and intimidation tactics. Appropriate behavior includes attempting to understand the customer's point of view, asking probing questions and suggesting solutions that best meet the customer's wishes. Products that are not proved to be safe should not be pushed just to to increase sales volume, commissions or because they carry a higher per-unit profit.
Pricing
Fair pricing is an important ethical concern. Gouging customers due to dependence and supplier monopoly is not acceptable. Decisions related to pricing should consider the consumer value of the product, not just in terms of marketability but quality and function. While pricing will need to take into account manufacturing and distribution costs, charging premium prices for commodity goods that do not have an adequate substitute is questionable.
Distribution
To be fair and ethical, product manufacturers should choose methods of distribution that keep costs low. Distribution channels should provide the maximum amount of value and service to the customer. A company that strives to keep its distribution costs low is Wal-Mart. By maintaining control of its distribution network through company-owned distribution centers and fleet, costs savings are passed on to the consumer. The retailer also adds value to its online ordering options by allowing some products to be shipped to its retail store locations free of charge.
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