Sustainable Marketing – Marketing that meets the present needs of consumers and businesses
while also preserving or enhancing the ability of future generations to meet their needs
o Considers both future needs of business, and future needs of consumers
o Calls for socially and environmentally responsible actions that meet both the immediate
and future needs of customers and the company.
o Critics charge that the marketing system cause prices to be higher than they would
under more ‘sensible’ systems because of:
High costs of distribution
Supermarket chains are typically left with barely 1 percent profit on
High advertising and Promotion Costs
Differentiated products –cosmetics, detergents, toiletries include
promotion and packaging costs that can amount to 40 percent or more
of the manufacturer’s price to the retailer.
Companies mark up goods excessively, pills costing 5 cents may cost $2
o Marketers are sometimes accused of deveptive practices that lead consumers to believe
they will get more value than they actually do. It falls into three groups:
Includes practices such as falsely advertising ‘factory/wholesale’ prices
Includes practices as misrepresenting the products features or
performance or luring the customers to the store for a bargain that is
out of stock
Includes exaggerating package contents through subtle design, using
misleading labeling or describing size in misleading terms.
o Competition Bureau acts as a watchdog to prevent such practices.
o Salespeople are sometimes accused of high-pressure selling that persuades people to
buy goods they had no intention of buying
o Products are claimed obsolete before they actually need replacement
Poor Service to Disadvantaged Consumers
o Critics claim that the urban poor often have to shop in smaller stores that carry inferior
goods and charge higher prices
o Major chain retailers are ‘redlining ‘ drawing a red line aroud disadvantaged
neighbourhoods and avoiding placing stores there Too few Social Goods
o E.g. Peope sell cars (private goods) and it requires more highways, traffic control and
causes air pollution etc.
o Our senses are constantly being assaulted by marketing and advertising
Marketing’s Impact on Other Businesses
o Companies expand by acquiring competitors rather than by developing their own
o Patents and heavy promotion spending keep or drive out competitors.
o Companies may set their prices below costs to discourage consumers from buying