Marketing is a core business function that deals with meeting customers’ needs in a responsible manner, with the objective of growing brand attachment. However, the strategies of marketing depend on engagement and visibility of the brand, which drive decisions regarding the purchase behavior of the consumer. Though growing customer-centric marketing, it also calls for strict consideration of ethics. Dharma is an age-old Indian philosophy that encompasses righteous action from the fulfillment of self-interest to social obligation, shaping ethical practices (Prasad, 2020).

Why Ethics Matter in Marketing

Ethics are important for building trust between customers and the business, maintaining customers to create a long-term relationship, and it also sustains the reputation of the company (Ferrell & Fraedrich, 2015). The Indian value Satyam (truth) stands here, as it recommends transparent and harmless interaction with consumers (Sharma, 2019). Ethics in marketing can lead to equitable treatment of stakeholders, a core component of responsible and sustainable practice, that aligns with the more overarching philosophy of Indian thought – Lokasamgraha, or welfare of all, encouraging marketers to consider societal impacts alongside profit (Varman & Saha, 2021).

Ethical Marketing: People Above Profits

Ethical marketing prioritizes people over profits, with marketers responsible for their campaign outcomes and aligned with principles of integrity, fairness, and transparency. According to Indian ethics, a leader or marketer holds a duty to act with moral responsibility (Rajadharma) towards society, which can guide marketing practices toward ethical decisions (Sen, 2018). Studies have shown that marketing strategies built on ethical principles not only benefit businesses but also promote positive social change, an idea resonating with the Indian ethos of shared prosperity and moral action (Gautam & Singh, 2022).

Examples of Ethical Marketing Campaigns

There are numerous companies that have seamlessly integrated ethics into their marketing systems, therefore proving that companies can achieve marketing of their products in an environmentally friendly and socially responsible manner.

• Patagonia is one of the most famous companies that ensures its approach is environmentally friendly to build sustainability and ethical practices into the brand. One of the company’s best examples of ethical marketing is the “Don’t Buy This Jacket” campaign. On Black Friday, Patagonia appealed to customers not to focus on consumerism but to think about the environmental repercussions of their purchases and buy less. This really made the existence of overconsumption known to the public and positioned Patagonia as a responsible brand committed to the environment. The company also developed the “1% For the Planet” initiative that contributes 1 percent of sales generated through the business towards efforts for environmental preservation, thus further adding to its ethical values.
• TOMS Shoes, among other brands adopting ethical marketing, is TOMS Shoes with its “One Day Without Shoes” campaign that emphasized the number of people who do not have shoes in developing countries. To continue in this attempt, the company asked people to go barefoot for a day and share photos on social media, with every post leading to the donation of a single pair of shoes to a child in need. It not only brought attention to a global issue but also generated brand awareness and fostered customer loyalty through its message of empathy and social responsibility.

Other ethical marketers include Warby Parker, Allbirds, and Everlane. Warby Parker, Allbirds, and Everlane subscribe to ethical marketing through discussion of sustainability in their production processes and also social causes. For instance, the “Buy a Pair, Give a Pair” initiative in Warby Parker ensures eyewear for some needy people while Allbirds has made significant carbon-emission-reducing efforts through production.

Immorality in Marketing: A Case Study of Patanjali

Ethical marketing is quite significant toward the achievement of long-term brand success. However, there are some adverse effects of marketing that hurt businesses, society, and consumers. The Indian Brand undertaking Ayurvedic products, Patanjali, is an example of unethical marketing. The brand says that it is traditionally rooted and uses natural healing, but the present marketing tactics have raised several ethical questions.

In turn, much of the criticism Patanjali received was due to the exaggerations and largely unverified health claims he made pertaining especially to those Coronil products. Not only does the health claim lack scientific backing, but it could also misleadingly influence vulnerable consumers to forego their established medical treatments in favor of products whose beneficial activity claims have not been verified. Furthermore, Patanjali has been criticized for greenwashing; companies express being green without transparency in sourcing and production.

The use of such unethical marketing campaigns has resulted in reputational damage, legal fines, and loss of customers’ trust. Misrepresenting the health benefits of a product and marketing it to vulnerable people, such as the concerned citizens of health or the elderly age group, can also harm the company’s prestige. These practices, apart from harming the public, also impact society adversely. Spreading false information, for example, harms public health. Consumers may have purchased the Patanjali COVID-19 product under the understanding that it would be a meaningless product.

Effects of Unethical Marketing

The level of severe impact unethical marketing can have from the business perspective. On the other hand, due to unsubstantiated claims, the reputation suffered severely under regulatory scrutiny and ultimately was marred by legal problems. Furthermore, the secretive and exploitative nature of this advertisement lost consumer confidence. Businesses involving unethical business practices will often face lesser market share and consumer response against the product, damage to brand value in the long run.

The situation is equally disturbing for society at large. Misinformation on health results in negative health and public perception of the profession or the whole sectors as it is with Ayurveda. If customers are deceived, then gradually, they also begin doubting other similar brands and products of that type which consequently harms the realization of ventures involved in that area of specialization.

Conclusion

Ethics, in the current market, are no longer a nicety but a necessity for sustainable growth and long-term positive impact upon society. Companies embracing the ethical principles of marketing are in the best position to realize their changing customer demands and, more importantly, have that aspect of values that conscious consumers identify with. The translation of Indian ethics- Satyam, Ahimsa, Aparigraha, and Seva- to the savvy of marketing practices can help businesses contribute to societal well-being and leave an indelible mark of a lasting positive image on the wallets of customers. This means that ethical marketing is an integral part of a business model with social responsibility, as it respects and uplifts all stakeholders; in this, itself, lies the importance of marketing in a business function as well as a moral responsibility (Sharma, 2019; Sen, 2018).

REFERENCES

• Kotler, P., & Keller, K. L. (2016). Marketing management. Pearson.
• Sen, A. (2018). Rajadharma and business leadership ethics: An Indian perspective. Leadership and Organization Development Journal, 39(2), 146-156.
• Sharma, M. (2019). Satyam and Ahimsa in modern business ethics: Insights from Indian philosophy.

Journal of Ethical Studies, 27(1), 12-29.

• Varman, R., & Saha, B. (2021). Social responsibility in marketing: Insights from Indian ethical traditions. Journal of Social Responsibility, 34(5), 301-315.
• Prasad, M. (2020). Dharma and ethics in Indian business practices. Indian Journal of Management, 38(2), 223-231.
• Gautam, P., & Singh, V. (2022). Ethical principles in Indian philosophy and their application in business practices. Journal of Business Ethics, 45(3), 345-356.