Legal Environment includes what laws and regulations that determine what advertisers can and cannot do. It opens up communications (rationalism) to broaden the range of ideas and debates. It can also expand the market economy and democratic society. However, it limits Communications (behaviorist). One needs to enforce standards of truthfulness and morality and to protect the economy and society.
Sources of the legal environment are the Supreme Court, regulations created by elected officials, first amendment issues.
Kinds of speech are commercial speech that promotes a commercial transaction (ads). There can be political speech that advocates a cause or point of view. A corporate speech is one that has paid publications of points of views and same protections as political speech. Commercial speechless protected (more regulations) than political speech because of Hardier: getting the word out is a necessity. Falsehood verifiable.
New York Times vs. Sullivan: Paid advertising that advocated a point of view, the New York Time was not liable, and Lead to corporate speech.
Central Hudson Four-Part Test: s the message eligible for the first amendment protection? Is the government interest asserted in regulating the expression substantial? Does the proposed regulation advance the regulatory interest? Is the proposed regulation narrow enough? If the answer is YES, to all 4, the regulation is constitutional. Elected/ Appointed Government Officials:
Local councils, state/national legislatures, federal trade commission. Early 20thCentury Towards Regulations was a time when Agencies concerned with truthfulness, Industry sought regulations to enhance its value and the Pure food and drug act of 1906. Correct false messages, not product.
Federal Trade Commission was established in 1916 to Protect consumers from deceptive and unsubstantiated ads. Remedies include to Stop/ change ads, Pay fines, Public correction ads, and Deceptive Advertising likely to mislead. Representation, omission, or practice must be “material.”
Legal vs. Ethical. Legal Realm: DECEPTION while the Ethical Realm is MANIPULATION. Pressures of where Ads can be legal, but still unethical. Defining Ethics and Moral Conduct “What is the right thing to do?”
Ethical Dilemmas: Advertising in Schools, Pressures: budget, money, and revenues. Forms: signs, product contracts, lesson books. Channel One: Lend satellite dish, VCRs, and TV sets, In exchange for 12-minute newscasts and 2-minute ads. Fast Food. Ethics in the Workplace. Ethically Impaired and “Moral Myopia”: Nearsighted and rationalize their ideas
“Moral Muteness” is where one can see ethical dilemmas, but don’t say anything. Compartmentalization is workplace ethics vs. person life. The client is always right. Ethics is bad for business
Ethically Active: Agencies that openly encourage ethical actions, Recognize moral issues. The Steps to take are Recognition, Communications, Saying No, and Moral imagination, KEY POINTS. Don’t forget the Legal Realm of Behaviorism: protect people and Rationalism: dependable information. The Ethical Realm is only addressed fully by culturalism and Recognition of pressures.