Marketing is about creating a want among the people for a product being produced by a company. It is originally an attempt to appeal the sentiments of people. Marketing based on sensationalism especially is about this. Marketing is also about creating a want among the people. Moreover, it can also be a response to the changing thinking of people. The concept of societal marketing qualifies for the last type.
The idea of society’s welfare is getting an expanding significance. Organizations are buckling down over building their repute and are attempting to delineate their endeavors as a commitment to the social values and the collective welfare. With a developing idea of societal advertising it is evident that there is a movement from the conventional marketing towards social or societal marketing tactics (Steve Hoeffler, 2002).
The emanation of the phenomenon of business ethics is largely the contribution of increasing consumer awareness with regard to their welfare. It can be attributed to the advancement in the modern economics and political ideas. However, with an increasing global awareness, successful organizations have shifted their strategy from conventional or typical marketing towards societal or social marketing.
Giant companies operating from developed world have shown agility in this regard. For instance, many companies in Australia are busy in social advertising. This increasing proclivity towards this type of marketing technique can be traced back to the tobacco act 1987. Post this legislation, organization had been created dubbed as Victorian Health or Vic Health. The organization is funded from the tobacco taxes and it altruistically work for the benefits of people. Arguably, it can be said that this had set a precedent for the other business to follow. In this project, customers are advised on eating habits. They are cautioned from the harmful practices drinking and smoking. Moreover, it provided suggestions over physical activities also. In a nutshell, organization endeavors for a healthy and happy life for people in Australia.
This depicts a paradigm shift; firstly a precedent is set, and then even the profit making organizations have later on joined the league (Takas, 1974).
Another company in Australia showing commitment for the society is he Corporation: The Pathological Pursuit of Profit and Power” and “Childhood Under Siege: How Big Business Targets Children.”
Child protection Footscray is another organization working for the welfare of the community. The notion of altruism has been incorporated in these types of businesses. The primary purpose of these types of businesses is to serve the community; therefore the marketing strategy is in line with their prime aim.
These activities have galvanized other profit making businesses to include the component of altruism in their advertising. This is the sign of their prudence, and also this shift is also caused by a market strategy, in which instead of conforming to the prevailing trends, decision makers gambles by implementing their new ideas.
This also shows that how microscopically the activities of businesses are being scrutinized; for example, it was a norm before to locate the factories in less developed countries and make use of child labour. However, currently it has become a serious offense to exploit the child labour. Companies involved in this are considered to unethical. With such a change now the marketing strategies of companies have changed where they have to establish that they are not only working for profit but the welfare of consumers is also one of their primary purposes.
The recent rise of the academicians or to be more precise environmentalist discussing the repercussions of harmful business activity has led to the people giving importance to the notion of responsible business activities. They have established their points empirically that the global environment is seriously in danger, because of irresponsible business attitudes. This helped in the spreading of their thoughts among people, and numerous communities have seriously got frightened because of the wholesome assertion of environmentalists. Environmentalist bluntly condemned the irresponsible behaviour. Not only then environmentalist, many human rights organizations raised the issues like child labour.
In the wake of increasing awareness, Businesses reacted by altering their market strategy from typical towards the type of marketing that depicts the social responsibility of a business.
The emergence of the notion of green marketing is the result of this. Companies now increasingly showing concern for the environment, hence the collective welfare. The lobbying power of environmentalist has had decreased in the politics overtime (J.A, 1993).
Consequently, it is the trait of a successful business to respond to the changing societal contexts. Hence, when the businesses realised that the consumers are becoming more and more vigilant vis-à-vis the activities of business, successful were quick to respond.
Undoubtedly, trend is more pervasive in developed world. Some economists are of a view that developing world is not in the position to inculcate these values, because they have not reached the threshold point of production. However, with an increase in global integration, ideas have infiltrated into the developing world too. Now, many people in developing world also talk about the sustainable use of resources, however the owing to the pervasiveness of corruption, it has until now proven difficult to successfully implement these values.
This positive change is largely because of the grooming done by different groups from academia. Moreover, also the surge in scientific advancement is resulting in making people aware about the long lasting consequences, if corporate sector does not show responsibility in their conduct (Kotler, 1989).
The emanation of the phenomenon of sustainable development is also the cause of this type of marketing. However, many argue about the relevance of this phenomenon for the emerging nations. Some people are of an idea that when the present developed countries were experiencing economic growth, they did not account for these types of externalities (Pritchard, 2009).
The management of resources is one of the most challenging tasks faced by the developing and developed world in the contemporary era. Developing countries are more into this dilemma as they are extensively using natural resources have to cater their present growing population. Developing countries mostly concentrate on their natural endowments in order to provide for their population; they ought to decide for the allocation their natural resources between the current generation and the future generation. The notion of sustained economic growth thus deals with the very problem which means that economic growth must be ensured that it takes into account the depletion and damage of natural resources. Sustainable growth is defined as utilizing the resources in a way that the demands of present generation are met without compromising the ability of forthcoming generation. Indoctrinating the concept in the economics of South Asia holds relevance. Most of the economies are growing rapidly, therefore there is a need to look that whether the present economic growth is sustainable or not.
None the less, with the appearance of the monetary idea of sustainable growth, organizations have been controlled by the governments, particularly in advanced world, to incorporate the expenses of future eras in the expenses of their preparations. Obviously, this idea has begun from the possibility that an individual or a gathering ought to be in charge of his/her activities, and how his/her activities are influencing the prosperity of others (Pritchard, 2009).
We have said that the regulatory authorities responded by making the businesses account for the costs of future – the costs which would be borne by the future generations because of the actions of present generations.
However, the shift in the marketing strategy of the businesses tells that organizations are now creating their reputation by illustrating that they themselves consider these costs. Despite of making profit, profit and non-profit making organizations both try to convey that they are concerned with the welfare of present as well as subsequent generations.
Similarly, there is likewise an equivalent or more than proportionate campaigning force of the huge businesses that confront the idea of environment depletion in legislative issues. Obviously, individuals have turned out to be more perceptive with respect to the exercises of organizations and government officials, yet then again it is apparent that a portion of the organizations have so much campaigning control that their personal stakes get served.
Certainly, businesses are becoming responsible and recently due to the empirical evidences judicial stipulations formulated to account for the abuses committed by suppliers. In the organizations of Australia we discussed in our essay, societal marketing and business activity seems to becoming popular. Their prime purpose was the welfare of society. On the other hand, there are institutions that are leviathan in nature; they are still immune from these rigorous stipulations. These businesses operate one the costs of people’s welfare.