ADVERTISING T.Y.B.M.

M SEMESTER VI

LEGAL ENVIRONMENT AND ADVERTISING

ETHICS: Paper II
Objective
To appreciate the legal implications of advertising
To expose students to the ethical issues in advertising
Syllabus
1.

Advertising and the law (15)

Need for self regulation
Introduction to MRTP Act
Introduction to ASCI and AAAI code of conduct
The standard contract between the agency and the advertiser
Self regulation by individual agencies
Drugs and Cosmetics Act
Drugs Control act
Drugs and magic remedies (objectionable advertisement) Act
Copyright Act
Pharmacy Act
Prize and Competition Act
Emblems and Names (prevention of improper use) Act
Obscenity Act

2.

Ethical issues in advertising (6)

Puffery
Taste in advertising-general guidelines
Advertising directed at cultural and religious minorities
Advertising to children
Use of women in advertising
Portraying minorities and women in traditional roles and occupations.
Depiction of old people
Stereotyping - ethnic and racial
Advertising controversial products - alcohol, tobacco, contraceptives
Political advertising
Manipulation of research in advertising

3.

Deceptive and unfair practices (4)

False promises
Incomplete description
False comparisons
Misleading comparisons
Bait-and-switch offers
Visual distortions
False testimonials
Partial disclosures
Small print clarification

4. Case studies of selected ads that violate legal and ethical concerns (4)
5.

Consumer guidance and protection (7)

Consumer Protection Act 1986
Essential Commodity Act
Standard of Weights and Measures Act
Packaged Commodities Act
Prevention of Food Adulteration Act
AGMARK, ISI
Role of PDS and consumer co-operatives

6. Consumer forums (2)

CGSI, CFBP, CERC, Grahak Panchayats
7.

Social criticism of advertising (5)

Increasing the prevalence of materialism
Creating artificial needs
Idealizing the good life
Stressing conformity with others
Encouraging instant gratification and a throwaway society
Promoting the good of the individual over the good of society
Creating unrealistic ideal characterizations
Using appeals that prey on feelings of inadequacy

8. Social responsibilities of advertising (2)

Advertising as a moulder of thought, opinion and values

9. Critique of advertising (5)

A study of Vance Packard
A study of Jean Kilbourne
Booklist
1. P.B. Sawant and P.K. Bandyopadhyaya, Advertising Laws and Ethics Universal Law Publishing Company
2. Vidisha Barua, Press and Media: Law Manual - ULP Co.
3. Vance Packard, the Hidden Persuaders. (1957) McKay.
4. Jean Kilbourne, Cant Buy My Love
5. Jean Kilbourne, Still Killing us Softly

Legal Environment Indian Perspective

There are many provisions, both in common law and statutes which can determine the form
and content of an advertisement, whether read, heard or viewed. There are government laws
as well as non-government codes which, if violated can be looked into by established
organizations and the rules and the machinery through which they are enforced and described
to complement. The code of self-regulation has been accepted by individuals, corporate
bodies and associates engaged in or otherwise concerned with the practice of advertising in
the best interest of the consumer. All advertisers, ad agencies and media are expected not to
commission, create, place or publish any advertisement which is in contravention of this
code.
The code is:
The ads should not be offensive to generally accepted standards of public decency
The indiscriminate use of ads to promote hazardous products
Ads observe fairness in competition
Products cannot be described as free where there is any direct cost to the consumers
apart from delivery cost
Special care and restrain has to be taken for ads to those suffering from weakness or
any real or perceived inadequacy of any physical attributes such as height, fast
development, obesity, impotency, infertility, baldness, etc.
Investment ads should not mislead
No ads permitted:
which invite people to crime or promote disorder, violence or intolerance
which derides race, caste, colour, creed or nationality
which affect friendly relations with a foreign state
addressed to minors which will result in their physical, mental or moral harm
or take part in hazardous acts
which is neither breach of law nor omit anything the law requires
for products banned under law
Under the Indecent Representation of Women (prohibition) Act, Indecent
representation of women by the way of depiction of the figure of a woman, her form
of body, or any part thereof to have the effect of being indecent, or derogatory to, or
denigrating women, or is likely to deprave, corrupt or injure the public morality or
morals.
No person can produce or cause to be produced, sell, hire, distribute, circulate, send
by post any book pamphlet, paper, slide, film, writing, drawing, painting, photograph
which contains indecent representations of women in any form. If these are in the
interest of science, art, learning, etc., this act will not apply.
In temples, ancient monuments, sculpture engraved or painted are also exempt.
Certain names and emblems cannot be used in ads.
No one can use another companies trademarks, or any creative work that has been
given a copyright.

Ads must not be used for drug for effecting miscarriage or prevention of conception in
women or correcting menstrual disorders or treatment of general diseases.
False misleading ads for magic remedies should be avoided.
Use of a report of a test or analysis made by a government analyst / agency is
prohibited.
Ads encouraging self medication are not allowed.
Ads must not go against any relevant Act.

Under the ASCI codes, when codes are violated, it is necessary lodge the complaint with the
ASCI.
Intellectual Property Rights: The term implies that intellectual works are analogous to
physical property.
Intellectual property laws are designed to protect different forms of creativity a patent
trademark, industrial design right, creative contents, ads slogans, graphic symbols, website
design, destructive packaging, etc.
No ads can be accepted if it violates AIR, Doordarshan Code, most are similar to the ASCI
Code conduct in advertising.

Self Regulation in Advertisings

Donts:
1. Individual media & media groups should preferably establish their own codes of
ethics.
2. Do not possess, sell, and let to hire or otherwise promote circulation of any harmful
publication in any part of India. (Young person Harmful Publication, Act 1955.)
3. No price competition for prize exceeding Rs. 1000 a month should be held without a
license. And no newspaper or other publications should publish advertisements in
violation of the above prohibitions. (Prize Competition 7 Act, 1955).
4. Advertisement textual, pictorial, graphical or otherwise should not generate
hatred, contempt or disaffection towards Government or between different classes of
citizens in India.
5. Do not use in advertisement the name, emblem or official seal of the United Nation &
some of its specialized agencies & also the India or a state Supreme Court, High
Court & some official organs, Rashtrapati Bhavan, Raj Bhavan, some luminaries like
Shivaji Maharaj, Mahatma Gandhi & some internationally acclaimed human service
organization like St. John Ambulance Association & the Tuberculosis Association of
India. Also not use any name that may suggest official patronage for the product etc.
advertised. (Emblems & Names prevention of Improper Use Act 1950).
6. Avoid unauthorized use in your advertisements another persons organizations trade
mark. This may attract civil & criminal liabilities. Also do not advertise your goods,
etc. with false trade description which is an offence punishable under law. (Trade &
Merchandise Marks Act 1958).
7. Advertisement in any form must not be used for use of drugs for effecting miscarriage
or prevention of conception in women or maintaining a mans capacity for sexual
pleasure or correcting menstrual disorders or treatment of venereal disease, etc.
8. Similarly false or misleading advertisements for efficacy of drugs or magic remedies
of certain diseases should be avoided. (Drugs & Magic Remedies Objectionable
Advertisements Act 1954).
9. Advertisements to get protection under Copyright Act, 1957 must be original.
10. Do not publish or cause to be published or take part in publication of any
advertisements representing a woman indecently. (Indecent Representation of women
(Prohibition) Act, 1950).
11. Do not claim orally through advertisement or by way of a product label a product to
be of a quality which it does not rally possess.
12. Do not print, possess or advertise for sale or distribution of any ticket, coupon or other
document for use in prize chit or money circulating scheme or otherwise take part in
any such advertisement or prize chit or Act.
13. Advertisers are advised not to use in their advertisements for drugs or cosmetics any
report of a test or analysis made by a government analyst / agency or any extract from
such a report.
14. Publicity, propaganda in various ways in connection with an election is prohibited
within 48 hours of an election.

15. Do not publish or otherwise display objectionable & unethical advertisements

encouraging self-medication & self-treatment.
16. Do not put advertisement directly or indirectly interfering with the properly of another
such as wrongful pasting of bills upon someone elses well or erecting a hoarding in
front of someones wall.
17. An advertisement must not obstruct a place to which the public have a right to access
not should a dangerous structure be near a highway.
18. Do not publish advertisements with obscene pictures meant merely to make money by
titillating the sex feeling of adolescents and adults among whom the newspaper
circulates or which constitute unwholesome exploitation of sex for money.
19. Advertisements should not hurt the religious feeling of any community by
inappropriate use of the name of photograph / pictorial presentation of gods or
goddesses in promoting commercial products.
20. Advertisements must not even tend to malign or hurt the religious sentiments of any
community or section of society.
21. Advertisements must not contravene provisions of any relevant Act.
22. Do not publish unauthorized or unpaid dummy advertisements which are against
journalistic ethics. (Press Council of Indias Advertisement Code).
23. Since success of advertising depends on public confidence, no practice should be
permitted which tends to impair this confidence.
24. No advertisement should have the effect of impairing the confidence of the public on
the product or its manufacturers for the success of the advertisement depends upon
public confidence (ASCI Code).
25. Advertisements shall not distort facts nor mislead the consumer by means of
implications or omissions either by statements or visual presentations. (ASCI Code).
26. Obvious untruths or exaggerations to amuse or attract customers are permissible only
if these are not to be misunderstood as genuine qualities of a product (ASCI Code).
27. Advertisement should contain nothing indecent vulgar or repulsive which is likely to
cause grave or widespread offence (ASCI Code).
28. Do not make indiscriminate use of advertising in situation or of the promotion of
products which are regarded as hazardous or harmful to society or to individuals
particularly minors to a degree or of a type which is unacceptable to society at large
(ASCI Code).

Dos:
1. Self regulation by the advertising industry is better than state control.
2. Advertising trade association should be mainly concerned with maintaining high
standards.
3. Radio & Television should co-operate closely to avoid permitting advertising that
might cause unfavorable social reactions.
4. Newspapers while publishing advertisement should publish the tariff charged for each
advertisement to ensure that no unusual fee over & above the normal market rate is
charged, which may have other undesirable implication. (Press Council of Indias
Advertisement Code).
5. Newspaper should ensure that an advertisement is published in issues of an edition or
edition contracted for. Deliberate omission constitutes gross professional misconduct.
(Press Councils of Indias Advertisement Code).
6. There should always be proper communication, vigilance & understanding between
the advertisement department & the editorial department to avoid acceptance or

publication of an undesirable advertisement. (Press Council of Indias Advertisement

Code).
7. Editors should assert their right to accept or reject advertisements, particularly those
which border on or cross the line between decency & obscenity. (Press Council of
Indias Advertisement Code).
8. Editors should own full responsibilities for advertisements & editorial matters
published in his newspapers, unless such responsibilities are clearly disclaimed in
advance in respect of any such published material. (Press Council of Indias
Advertisement Code).
9. Advertisement must be truthful in description, claims & comparisons, & these should
be capable of substantiation on demand. (ASCI Code).
10. Observe fairness in competition so that the consumers need to be informed on choice
in the market-place & the canons generally accepted competitive behavior in business
are both served.
11. Abide by the Doordarshan (Indian TV) & AIR (All India Radio) advertising codes
(Appendices 1 & 2) & for this purpose familiarize yourself with the legislations
affecting advertising in India. Particularly the following Acts & the Rules framed
under them:
Drugs & Cosmetics Act 1940
Drugs Control Act 1950
Drugs & Magical Remedies Act 1954
The Copyright Act 1957
Trade & Merchandise Marks Act 1958
Pharmacy Act 1948
Prize Competition Act 1955
Emblems & Names (Prevention of Improper Use) Act 1950
Consumer Protection Act 1986
Indecent Representation of Women (prohibition) Act 1986
Code of Ethics for advertising in India issued by the Advertising Standards
Council of India.
Codes of standards in relation to the advertising of medicines & treatments
(as given in annex of the Doordarshan Code)
Standards of practices for advertising agencies.

The Advertising Standards Council of India (ASCI)

Advertising Standards Council of India is a self regulatory voluntary organization of the
advertising industry. The Role and Functioning of the ASCI and its Consumer Complaint
Council (CCC) in dealing with Complaints received from Consumers and Industry, against
Advertisements which are considered as false, misleading, indecent, illegal, leading to unsafe
practices, or unfair to competition, and consequently in contravention of the ASCI Code for
Self Regulation in Advertising.
The Advertising Standards Council of India (1985) has adopted a Code for Self Regulation in
Advertising. It is a commitment to honest advertising and to fair competition in the market
place. It stands for the protection of the legitimate interests of consumers and all concerned
with advertising advertisers, media, advertising agencies and others who help in the
creation or placement of advertising. As the Code becomes increasingly accepted and
observed proactively, three things will begin to happen.
1. Fewer false, misleading claims
2. Fewer unfair advertisements
3. Increasing respectability
In India, as in several advanced economics, there is only ONE BODY for Self Regulation in
Advertising the ASCI, which is concerned with safeguarding the interests of consumers
whilst monitoring / guiding the commercial communications of Practitioners in Advertising
on behalf of advertisers, for advertisements carried by the Media, in their endeavors to
influence buying decisions of the Consuming Public.

ASCIs Mission
ASCI has one important goal: to maintain and enhance the publics confidence in advertising.
ASCI seeks to ensure that advertisements conform to its Code for Self Regulation which
requires advertisements to be:
1. Truthful and fair to consumers and competitors
2. Within the bounds of generally accepted standards of public decency and propriety
3. Not used indiscriminately for the promotion of products, hazardous or harmful to
society or to individuals particularly minors, to a degree unacceptable to society at
large
ASCI propagate its CODE and a sense of responsibility for its observance amongst
advertisers, advertising agencies and other connected with the creation of advertising. ASCI
encourages the public to COMPLAIN (*) against advertisements with which they may be
unhappy for any reason and ensures that each complaint receives a prompt and objective

consideration by an impartial committee (CCC) which takes into account the view point of
the advertise, and an appropriate decision is communicated to all concerned.
ASCI endeavors to achieve compliance with its decisions through reasoned persuasion and
the power of public opinion. If an AD is to be reviewed for its likely impact on the
sensibilities of individual viewers of TV, or readers of press publications, the Advertisers
concerned is informed of substantial issues raised in the complaint, in the exact context of the
specific advertisement, as conveyed by the perception of the complainant, and to elicit the
appropriate response by way of comments from the Advertiser.
Only then will the Consumer Complaints Council (CCC) of the ASCI be in a position to
deliberate meaningfully on the issues involved and to arrive at a fair and objective
conclusion, which would stand the scrutiny of all concerned with the right to freedom of
expression, and the freedom of consumers to choose the products / services made available to
them in the market-place. A clearly readable copy or clipping of the Ad under complaint, with
full particulars of name and date of publication, or a printout of an Ad or promotion on a
Website or in case of a TV commercial, the channel, date and time or programme of airing,
and a description of the contents of the TVC, along with a hard copy of the complete
complaint preferably signed by the complaint. The identity of the complaint to the Advertiser
is not disclosed.

The Code of Advertising Practices

To ensure the truthfulness and honesty of representations and claims made:
1. Advertisements must be truthful.
2. Where advertising claims are expressly stated to be based on or supported by
independent research or assessment, the source and date of this should be indicated in
the advertisement.
3. Advertisements should not contain any reference to any person, without due
permission.
4. Advertisements shall not distort facts nor mislead the consumer by means of
implications or omissions.
5. To ensure that advertisements are not offensive to generally accepted standards of
Public Decency.
6. To safeguard against the indiscriminate use of Advertising products hazardous to
society
7. No advertisement shall be permitted which:
a) Tends to incite people to crime or to promote disorder and violence or
intolerance
b) Derides any race, caste, colour, creed or nationality
8. Advertisements addressed to children shall not contain anything, whether in
illustrations or otherwise, which might result in their physical, mental or moral harm
or which exploits their vulnerability.
9. Ads should not show children climbing or reaching dangerously to reach products or
for any other purpose.
10. Advertisements should contain nothing which is in breach of the law, or omit anything
which the law requires.

Advertising Agencies Associations of India

The Advertising Agencies Association of India (AAAI) is the official, national organization
of advertising agencies, formed to promote their interests so that they continue to make an
essential and ever-increasing contribution to the nation, by working towards the following
objectives:
To benefit Indian consumers and to protect their interests by helping ensure that
advertising is honest and in good taste.
To benefit Indian advertisers by promoting their sales, increasing their sales and
increasing productivity and profitability, to stimulate business and industrial activity.
To benefit media by establishing sound business practices between advertisers and
advertising agencies and each of the various media owners.
To benefit the nation by harnessing advertising for the good of the country, its
institutions, its citizens; to co-operate with the Government in promoting its social
objectives and in the task of nation-building.
To question advertising that is wasteful and extravagant.
To improve the image of the advertising industry and to focus on its role in economic
development and employment through campaigns, seminars, press relations and direct
contact with Government ministries.
To protect members interests n issues related to Guidelines and Rules of Commercial
Broadcast, Sponsorship, Rates, Commission and Accreditation; working towards full
service operations at all TV Channels / Doordarshan Kendras and Radio Channels;
setting up an independent monitoring body for commercials.
To protect members interest in matters relating to INS policies, credit periods, Rules
for Accreditation and streamlined operations, promotions of better production values
and effective advertising purchases.
To improve the quality of professional relationships between Agencies and Clients
through seminars, the AAAI Handbook and the evolution of uniform guidelines,
codes and norms.
To help settle disputes through evolution of guidelines, procedures and uniform
practices; mediating between agency-client, agency-agency and agency-media to
ensure quick resolution of disputes.
To constantly examine all relevant laws and statutes affecting the advertising industry
including ESIS, Sales Tax, other taxes, Arbitration, MRTP guidelines; seeking
professional advice and presenting a common viewpoint at relevant forums to protect
members interests; pursuing new avenues like Credit Insurance cover, etc.
To organize seminars and workshops on effective advertising skills in creative
copywriting, print and production, client servicing, television production, media
operations, media planning, advertising as a career, etc; maintaining a fully stocked
reference library with a reprint service for members.

To constantly communicate members through circulars and correspondence; periodic

publication of an updated membership directory, regular regional meetings for
members and their employees.
To offer the services of the Association and members in significant projects, e.g.: for
Family Planning, the National Wastelands Development Board, Gujarat Earthquake
relief, etc; encouraging the creation of such advertising by members. There are
innumerable instances of successful AAAI activities, with benefits to the entire
advertising industry and all others associated with it.

Advertising Agencies Associations of India Code of Standards Rules of Advertising

Ethics / Rules of Conduct Vis--vis the Customer:

Advertising should be so designed as to conform not only to the laws but also to the
moral and aesthetic sentiments of the country in which it is published.
No advertisement likely to bring advertising into contempt or disrepute should be
permitted. Advertising should not take advantage of the superstition or credulity of the
general public.
Advertising should tell the truth and avoid distorting facts and misleading by means
of implications and omissions.
No advertising should be permitted to contain any claim so exaggerated as to lead
inevitably to disappointment in the mind of the consumer. Rules of Ethics between
Advertisers Rules or Conduct.
Methods of advertising designed to create confusion in the mind of the consumer as
between goods are unfair and should be renounced.
The imitation of the trademark or name of the competitor, or the packaging or labeling
of goods, or the limitations of advertising devices, copy, layouts or slogans, should be
disallowed.
Advertising should endeavor to gain the goodwill of the public on the basis of the
merits of the goods or services advertised. Direct comparison with competing goods
or firms should be avoided and disparaging reference in no circumstances permitted.

Drug and Cosmetics Act 1940 (Amended 1995)

The problem of adulteration of drugs and also the production of spurious and substandard
drugs pose a serious threat to the heath of the community. It was therefore considered
necessary to enact the Drugs and Cosmetics Act 1940. The Act regulates the import into,
manufacture distribution and sale of drugs and cosmetic in the country. The Act was amended
to impose more strict penalties for manufacture and sale of adulterated or spurious drugs or
drugs not of standard quality which are likely to cause death or grievances hurt to the user.
Some amendments are:
1. Cosmetics included toilet soap as it may contain harmful ingredients
2. The competent gelatin was induced in the drug
3. Patent and proprietary medicines included Ayurveda, Siddha or Unani systems of
medicines
4. The Central Government is empowered to prohibit import or manufacture of drugs
and cosmetics if it is harmful to humans as well as animals
5. Any person with license has to maintain records and other documents and to produce
them when required
6. Inspectors are empowered to stop and search any vehicles carrying drugs & cosmetics
if an offence under the Act is being committed
7. Enhancement of the quantum of punishment for offences under the Act
8. The Technical Advisory Board will have representatives or experts in Ayurvedic,
Siddha and Unani systems of medicine
Definitions
1. Ayurvedic, Siddha or Unani Drug includes all medicines intended for internal or
external use for or in the diagnosis, treatment, mitigation or prevention of disease or
disorder in human beings or animals and manufactured exclusively in accordance
with the formulae described in the authoritative books of Ayurveda, Siddha and Unani
systems of medicines.
2. Board means, in relation to Ayurvedic, Siddha or Unani Medicines, the Ayurvadic,
Siddha and Unani drugs Technical Advisory Board set up under section 33C and in
relation to other drugs or cosmetics.
3. Cosmetic means any article intended to be poured, sprinkled or sprayed on or
introduced into or applied to the human body or any part thereof, for cleansing,
beautifying, or altering the appearance and includes any article intended for use as a
component of cosmetic.
4. Drug includes:
a) All medicines for external or internal use of human beings or animals and all
substances intended to be used for or in the diagnosis treatment, mitigation or
prevention of any disease or disorder in humans or animals.
b) Any substance (other than food) to affect the function of the human body or to
be used to destroy insects which cause disease in humans and animals
c) All components including empty gelatin capsules

d) Any device used for internal or external use in the diagnosis, treatment,
mitigation or prevention or disease or disorder in humans or animals
5. Manufacture includes any process or part of a process for making, altering,
ornamenting, finishing, packing, labeling, breaking up or adopting any drug with a
view of its sale, distribution but does not include compounding or dispensing or
packing in the course of retail business

The Drug & Magic Remedies (Objectionable Advertisement) Act

1954
This is an act to control the advertisement of drugs in certain cases, to prohibit the
advertisement for certain purposes of remedies alleged to possess magic qualities and to
provide for matters connected therewith. According to the Act Magic Remedy includes a
talisman mantra, kavacha and any other charm of any kind which is alleged to possess
miraculous powers for or in the diagnosis, cure, mitigation, treatment or prevention of any
disease in human beings or animals.
This Act was enacted by the legislature because the increase in the number of objectionable
advertisements relating to alleged cures for general diseases, sexual stimulants and alleged
cures or diseases and conditions peculiar to women made the ignorant people take to self
medication of harmful drugs. It was necessary in the public interest to put a stop to such
undesirable advertisements. This legislation enacted by the center, was under the entry
Drugs and Poisons and Legal, Medical and other Professions in the concurrent List.
It extends to the whole of India except Jammu & Kashmir
1. Subject to the provisions of this Act, no person shall take part in the publication of
any advertisement relating to a drug if the advertisement contains any matter which:
Directly or indirectly gives a false impression regarding the true character of
the drug.
Makes a false claim for the drug.
Is otherwise false or misleading in any particulars.
2. No person shall import into and export from India certain ads referred to section 3, 4
and 5 which has been prohibited.
3. No person shall take any part in the publication of any advertisement referring to any
drugs in terms which suggest or are calculated to lead to the use of that drug for:
The miscarriage in women or prevention of conception in women.
The maintenance or improvement of the capacity of human beings for sexual
pleasures.
The correction of menstrual disorder in women.
The diagnosis, cure mitigation, treatment or prevention of any disease,
disorder or condition specified in the schedule or which is specified in the
rules.
Definitions
Drugs include:
1. a medicine for the internal or external use of humans or animals

2. any substance to be used for, or in the diagnosis, cure mitigation or prevention of any
disease in humans or animals
3. any astride, other than food, intended to affect the structure of any organic function of
the body of human or animals

Drugs (Price Control) Order 1995

This order was passed so that the government may regulate the equitable distribution and
increasing supplies of a bulk drug specified in the first schedule and make it available at a fair
price and specify a maximum sale price at which such bulk shall be sold. By this order the
inspection of premises, records, and processes has to be allowed by the manufacturer. No
person shall sell a bulk drug at a price exceeding the maximum sale price fixed plus local
taxes.

If the manufacturer desires a revision of the maximum sale price an application may
be made to the government
The manufacturer has to give details of all scheduled drugs along with the cost of
such bulk drugs
The government can by this order, direct manufacturers to sell to other manufacturer
of formulations of it deems necessary
The government had the power to fix the retail price of a scheduled formulation. This
fixed price cannot be increased by any manufacturer.

Definitions

Bulk Drug: Means any pharmaceutical, chemical, and biological or plant product
including its salts, esters, derivatives used as an ingredient in any formulation.
Dealer: Means a person carrying on business of purchase or sale of drug whether as a
wholesaler or retailer.
Drug: Includes all medicines for internal or external use and all substances, which
affects the structure or any function of human or animal body.
Manufacture: Includes any process or a part of a process for making, altering,
finishing, packing, labeling, adapting any drug with a new to its sale and distribution
but does not include compounding or dispensing in the ordinary course of retail
business.

The Copyright Act, 1957

In ancient days creative persons like artists, musicians and writers made, composed or wrote
their works for fame and recognition rather than to earn a living, thus, the question of
copyright never arose. The importance of copyright was recognized only after the invention
of printing press which enabled the reproduction of books in large quantity. In India first
legislation of its kind, the Indian Copyright Act was passed in 1914 which was mainly based
on the UK Copyright Act, 1911.
During the last four decades modern and advanced means of communications like
broadcasting, litho0photography, television, etc. have made inroads in the Indian economy
with the result that it became essential to fulfill international obligations in the field of
copyright. This necessitated that a comprehensive legislation may be introduced to
completely revise the copyright law. To this effect a Copyright Bill, 1957 was introduced in
the Parliament.
It introduced several new features which are briefly indicated below:
1. A Copyright Office is sought to be established under the immediate control of a
Registrar of Copyrights who shall act under the superintendence and direction of the
Central Government. The principal function of the Copyright Office will be to
maintain Register of Copyrights in which may be entered, at the option of the authors,
the names and addresses of authors and owners of copyright for the time being, and
other relevant particulars. Such a Register will easily make available useful
information to interested members of pubic in regard to copyrighted works.
In order to encourage registration of copyrights, provision is made that no proceeding
regarding infringement of copyright shall be instituted unless copyright is registered
in the Copyright Office. In addition to being in charge of the Copyright Office, the
duties of the Registrar of Copyrights will be to entertain and dispose of applications
for compulsory licenses and to inquire into complaints of importation of infringing
copies. An appeal to the Copyright Board is provided for against the orders of the
Registrar of Copyrights.
2. Provision is made for setting up a Copyright Board which will determine the
reasonableness of the rates of fees, charges or royalties claimed by performing rights
societies, consider applications for general licenses for public performances of works
and will assess compensation payable under the Bill in certain circumstances. An
appeal can be made to the High Court against the decisions of the Copyright Board.
3. The definition of copyright is enlarged to include the exclusive right to
communicate works by radio-diffusion.

A cinematograph film will have a separate copyright apart from its various
components, namely, story, music, etc.
4. An author assigning copyright in his work is allowed the option to re-acquire the
copyright after seven years but before ten years of the assignment on the condition
that he returns the amount received by him at the time of the assignment with interest
thereon.
5. The normal term of the copyright is fixed to be the life of the author and a period of
25 years after his death as against the existing term of the life of the author, and a
period of 50 years after his death. Shorter terms are fixed for anonymous or
pseudonymous works, cinematograph films, mechanical contrivances, photographs,
etc.
6. Under the existing law, the sole right to produce a translation of a work first published
in India is extinguished after ten years, unless a translation thereof is produced within
that period. The Draft Bill makes the right co-extensive with other rights arising out
of copyright.
7. Provision is made for the issue of a general or special license for public performances
of any work by means of a radio-receiving set or a mechanical contrivance.
8. A license may be issued to any library to make or cause to be made one copy of any
book in which copyright subsists and which is not available for sale.
9. Provision is made for regulating the activities of performing rights societies and also
for controlling the fees, charges and royalties to be collected by them.
10. Certain rights akin to copyright are conferred on broadcasting authorities in respect of
programmes broadcast by them.
11. International copyright relations which are based on international treaties will be
regulated by specific orders to be made by the Central Government.
12. A fair dealing with any work for the purposes of radio summary or judicial proceeding
will not hereafter constitute an infringement of copyright.
List of Amending Acts:

The Copyright (Amendment) Act, 1983 (23 of 1983) (w.e.f. 9-8-1984)

The Copyright (Amendment) Act, 1984 (65 of 1984) (w.e.f. 8-10-1984)
The Copyright (Amendment) Act, 1992 (13 of 1992) (w.e.f. 28-12-1991)
The Copyright (Amendment) Act, 1994 (38 of 1994) (w.e.f. 10-5-1995)
The Copyright (Amendment) Act, 1999 (49 of 1999) (w.e.f. 15-1-2000)

It extends to the whole of India.

i.

Adaptation means
a. In relation to a dramatic work, the conversion of the work into a non-dramatic
work.
b. In relation to a literary work or an artistic work, the conversions of the work
into a dramatic work by way of performance in public or otherwise.
c. In relation to literary or dramatic work, any abridgement of the work or any
version of the work in which the story or action is conveyed wholly or mainly
by means of pictures in a form suitable for reproduction in a book, or in a
newspapers, magazine or similar periodical.
d. In relation to a musical work, any use of such work involving its arrangement
or alteration.

ii.
iii.

iv.

v.

vi.
vii.

viii.

ix.

Work of architecture means any building or structure having as artistic character or

design, or any model for such building or structure.
Artistic work means
a. A painting, a sculpture, a drawing (including a diagram, map, chart or plan),
an engraving or a photograph, whether or not any such work possesses artistic
quality.
b. A (work of architecture).
c. Any other work of artistic craftsmanship.
Author means
a. In relation to a literary or dramatic work, the author of the work
b. In relation to a musical work, the composer
c. In relation to an artistic work other than a photograph, the artist
d. In relation to a photograph, the person taking the photograph
e. In relation to a cinematograph film or sound recording, the producer
f. In relation to any literary, dramatic, musical or artistic work which is
computer-generated, the person who causes the work to be created
Broadcast means communication to the public
a. By any means of wireless diffusion, whether in any one or more of the forms
of signs, sounds or visual images
b. By wire and includes a re-broadcast
Calendar year means the year commencing on the 1st day of January.
Cinematograph film means any work of visual recording on any medium produced
through a process from which a moving image may be produced by any means and
induced a sound recording accompanying such visual recording and cinematograph
shall be construed as including any work produced by any process analogous to
cinematography including video films.
Communication to the public means making any work available for being seen or
heard or otherwise enjoyed by the public directly or by any means of display or
diffusion other than by issuing copies of such work regardless of whether any member
of the public actually sees, hears or otherwise enjoys the work so made available.
Infringing copy means
a. In relation to a literary, dramatic, musical or artistic work, a reproduction
thereof otherwise than in the form of a cinematographic film
b. In relation to a cinematograph film, a copy of the film made on any medium
by any means
c. In relation to a sound recording, any other recording embodying the same
sound recording, made by any means
d. In relation to a programme or performance in which such a broadcast
reproduction right or a performers right subsists under the provisions of this
Act, the sound recording or a cinematographic film of such programme or
performance.

If such reproduction, copy or sound recording is made or imported in contravention of the

provisions of this Act.

Copyright Office & Copyright Board

Copyright Office: The Copyright Office shall be under the immediate control of the
Registrar of Copyrights and may appoint one or more Deputy Registrars of
Copyrights.

Registrar and Deputy Registrars of Copyrights: The Central Government shall appoint
a Registrar of Copyrights and may appoint one or more Deputy Registrars of
Copyrights.
Copyright Board: The Central Government shall constitute a Board to be called the
Copyright Board which shall consist of a Chairman and may appoint one or more than
(fourteen) other members.

Works in which copyright subsists:

1. Original literary, dramatic, musical and artistic works
2. Cinematograph films
3. Sound recording
Copyright shall not subsist: in any cinematograph film is a substantial part of the films is an
infringement of the copyright in any other work.
Case study 1: Common properties are not the subject of copyright
No doubt the central theme of the articles published by the second plaintiff and that of the
drama and movie is the same, though the emphasis in the drama and the movie is more on
human bondage, particularly of Indian women. The articles published by Ashwini Sarin also
contain an autobiographical account of the part actually played by him in the affair. He has
presented the whole affair in his own style. But that at the most would give the plaintiff
copyright in respect of these articles. There cannot, however, be a copyright in an event
which has actually taken place. There is a distinction between the materials upon which one
claiming copyright has worked and the product of the application of his skill, judgment, labor
and literary talent to these materials. Ideas, information, natural phenomenon and events on
which an author expends his skill, labor capital, judgment and literary talent are common
property and are not the subject or copyright; Indian Express Newspapers (Bombay) Pvt. Ltd.
V. Dr. Jogmohan Mundhara, AIR 1985 Bom 229.
Case study 2: No ownership in case of mere idea
A person may have a brilliant idea for a story, or for a picture, or for a play, and one which, so
far as he is concerned, appears to be original, but, if he communicates that idea to an author
or a play writer or an artist, the production which is the result of the communication of the
idea to the author or the artist or the playwright is the copyright of the person who has clothed
the idea in a form, whether by means of a picture, a play, or a book, and the owner of the idea
has no rights in the product: Donoghue V, Allied Newspaper Ltd., (1937) 3 ChD 503.
Case study 3: Producer can defeat rights of music composer or lyricist
The core of the question, whether the producer of a cinematograph film can defeat the right
of the composer of music or lyricist by engaging him; the key to the solution of this question
lies in the provisions (b) and (c) to section 17 of the Act reproduced above which put the
matter beyond doubt. According to the first of these provisions, viz., proviso (b), when a
cinematograph film producer commissions a composer of music or a lyricist for reward or
valuable consideration for the purpose of making his cinematograph film, or composing
music or lyric therefore i.e.: the sounds for incorporation or absorption in the sound track
associated with the film, which is already indicated, are included in a cinematograph film, he

becomes the first owner of the copyright therein and no copyright subsists in the composer of
the lyric or music so composed unless there is a contract to the contrary between the
composer of the lyric or music on the one hand and the producer of the cinematograph film
on the other.

Competition Bill
When India opened up its economy, removing controls and restoring to globalization, there
was a need for a competition act. This would result in:
1. Increase in efficiency
2. Encourage innovation
3. Enhance consumer welfare (under choice, lower price, better quality)
The Competition Bill states: "No enterprise or association of enterprises shall enter into any
agreement or take any decision or engage in any concerted action in respect of production,
supply, distribution, acquisition or control of goods or the provision of services which causes
or is likely to cause an appreciable, adverse effect on competition within India.
The Bill is in two parts:
I.
II.

It deals with prohibition of anti-competitive prices

It looks at the prohibition of the abuse of dominance

Prohibition of Anti-Competitive Prices

The Competition Bill seeks to give statutory powers to Competition Commission of India
(CCI) which s the market regulator for preventing anti-competitive practices. Any agreement
which causes or is likely to cause appreciable adverse effect on competition are anticompetitive agreement.
There are two kinds of agreement:
a. Agreements between enterprises at the same stage of production chain, e.g.
agreements between rivals. At may be for fixing prices or for limiting production or
sharing markets. Such agreements have adverse effects on competition. Such
agreements are prohibited.
b. Agreements between manufacturers and a distributor are normally exempt from the
presumptive rule (a presumption that the agreement can cause adverse effect on
competition). The agreement between exporters is exempted. The Competition Bill
recognizes intellectual property rights.

Pharmacy Act 1948

Why the Act was introduced?
Earlier there was no restriction in India on the profession of pharmacy. One would practice
this profession as any other profession. People having no education in pharmacy or
pharmacists chemistry or pharmacology were engaged in this profession. The compounding,
mixing or dispensing of medicines was being done by persons who were not adequately
trained in this line. The system was causing great harm to the health of the people by wrong
compounding. Thus the government found it necessary to enact a law for the registration of
the profession and practice of Pharmacy.
In the field of medicines the role of the pharmacist is very important. Everyone cannot be a
pharmacist. Hence the Pharmacy Act came into existence in 1948. This law was amending by
the Amendment Act of 1959. The law laid down the formation of Pharmacy Councils in the
Centre and also in the States. The Councils prescribe the discipline for the same. The Central
Council of Pharmacy will prescribe the minimum standards of education and approve courses
of study and examinations for pharmacists. Provincial Governments can prohibit dispensing
of medicine if there is no personal supervision of a registered pharmacist.

The 1948 Act was amended in 1959 to:

Extend the Act in former B States

To meet situations due to reorganization of States

The Amending Act of 1976

The University Grants Commission and All India Council for Technical Education
were included in the Pharmacy Council
The Comptroller and Auditor General of India or any person authorized by him will
audit the accounts of the Pharmacy Council
Persons from neighboring countries who migrated to India were allowed to register as
pharmacists
People working as compounders / dispensers courses according to the Drugs &
Cosmetics Act 1940, could register as pharmacists

Amending Act of 1982

This Act provides that the State government can appoint only a registered pharmacist. The
State Government shall provide a register of pharmacist and maintain that register which will
include:

The full name and residential address

The date of first admission to the register
The qualification for registration
The professional address

Qualifications for entry on first register:

A degree or diploma in pharmacy, a pharmaceutical chemistry, a chemist and druggist

diploma of an Indian University
Three years experience in dispensing or compounding drugs and a university degree
Passed only examination for compounders or dispensers recognized by the State
Engaged in compounding drugs for five years

The Act extends to the whole of India except Jammu & Kashmir.

The Emblems and Names (Prevention of Improper Use) Act 1950

This is an act to prevent the improper use of certain emblems and names for commercial and
professional purposes. It extends to the whole of India and also applies to citizens of India
living outside India. The name, emblem or official seal of the following organizations cannot
be used:

United Nations, World Health Organization, The Indian Flag, The Government of
India or any of its departments, The State Government, The President, Governor,
UNESCO, The International Civil Aviation Organization, World Metrological
Organization, International Atomic Energy Agency.
The name or pictorial representation of Rashtrapati Bhavan, Raj Bhavan, Chhatrapati
Shivaji Maharaj or Mahatma Gandhi, Jawaharlal Nehru, Srimati Indira Gandhi or the
Prime Minister of India.
The name of Ashoka Chakra and Dharma Chakra or the pictorial representation of
Ashoka Chakra as used in the Indian National Flag, the name of parliament or
legislature of any state, the supreme court, High Court, The Central Secretariat.
The name and emblem of The Rama Krishna Math and Mission, Sri Sarada Math and
The Rama Krishna Sarada Mission, The Bharat Scouts and Guides with its emblem,
the name and emblem of the International Olympic Committee, The National Youth
Emblem, The emblem of St. John Ambulance Association (India) and St. John
Ambulance Brigade (India).
The use of any name which may suggest or be calculated to suggest:
The patronage of the Government of India or the State Government
Connection with any local authority or anybody constituted by the
Government

Definitions

Emblems means any emblem, seal, Flag insignia, coat of arms of pictorial
representation specified in the schedule.
Name includes any abbreviation of a name.
Competent Authority means any authority competent under any law to register any
company, firm or other body or persons or any trademark or design or to grant a
patent.

Ethical Issues
Advertising is a dynamic social form where business interests, creativity, consumer needs and
government regulations meet. The high visibility of advertising makes it particularly
vulnerable to criticism. E.g.: Benetton is both a vehicle to sell clothing as well as a platform
to express opinions on social issues. As a consequence of these mixed perspectives, it has had
to pay a heavy price number of stores dropped as well as lost out in 1991. Another aspect is
that people feel that advertising plays the role of the Hidden Persuader and that consumers
are its victims as they are manipulated to buy products they neither need nor can afford.
Also findings indicate that while ad executives are fed up with bad ads produced by their
trade, consumers do not care much one way or the other because of the overdrive of
advertising products. However, it is worthwhile to be aware of the social issues facing
advertising, as social responsibility requires a balance between public welfare and freedom of
speech.

Ethical Criteria
In spite of regulation, every issue is not covered by a clear, written rule. Many issues are left
to the discretion of the advertiser and these decisions may be based on a variety of
considerations objective of ad campaign, attitudes of target audience and the legal
precedent. Many decisions are also based on ethical concerns.
Issues central to an ethical discussion on advertising are:

Advocacy: By its very nature, advertising tries to persuade the audience that they need
new products and to buy it, since it persuades it is not objective or neutral. This fact
disturbs critics who think ads should be objective, informative and neutral. They want
ads to provide info and then stop there.
Accuracy: Beyond the easily ascertainable claims in an ad message are matters of
perception. Will buying the automobile make an envy of my neighbor? Will wearing a
perfume make me more attractive? Such messages may be implied by the situations
pictured in the ads. In spite of being aware that these messages will not essentially
change our lifestyle, ad critics raise concern when these messages are directed to
particular groups with limited experience such as children and teenagers.
Acquisitiveness: Some critics believe that advertising is a symbol of our societys
preoccupation with accumulation of material goods. We are constantly exposed to

gods that are bigger, better, changing, newer, etc. and into thinking that we must have
these products.
We do have free choice of what we buy
Advertising offers choice and incentives
Advertising informs consumers about goods and services they demand
Ultimately, consumers make the final decision

The Problem of being Ethical

Advertising can seek help in making decisions about questionable situations with the help of
code of ethic that help provide general guidance. When advertising decisions are not covered
by a code, rule or regulation, someone must make an ethical decision. This person must
weigh the pros and cons and make value judgment about an unfamiliar situation. These
decisions are complex because there exists no clear consensus about what is ethical behavior.
The complexity of ethical issues requires us to make conscious effort to deal with each
situation. After all it is people who create the ethical atmosphere of an organization.

Who should and should not be advertised to?

What should and should not be advertised?
What should and should not be the content of the advertising message?
What should and should not be the symbolic tone of the advertising message?
What should and should not be the relationship between advertising and the mass
media?
What should and should not be advertising conscious obligation to society?

Therefore:

There is no clear consensus on what defines ethical behavior.

There is potential conflict between personal ethics and what might be good for
business.
Just because it is legal doesnt mean that its right.

Related Factors in Ethical Decision Making

Nature of the company

Marketing objectives
Reputation of the company
Available resources
Competition

Puffery
It literally means puffing up a product or exaggerating its qualities. Since this does not fall
under the legal purview, it has become an ethical issue.

Rules of Advertising
1. Advertising should be designed as to conform not only to the laws but not also to the
moral and aesthetic sentiments of the country in which it is published.
2. No advertisement likely to bring advertising into contempt or disrepute should be
permitted. Advertising should not take advantage of the superstition or credulity of the
general public.
3. Advertising should tell the truth and avoid distorting facts and misleading by means
of implication and omissions. For instance it should not mislead the consumer by false
statements as to:
a. The character of the merchandise i.e.: its utility, material, ingredients, origin.
b. The price of the merchandise or its value, its suitable or the terms of the
purchase.
c. The service, accompanying purchase, including delivery exchange, return,
repair, upkeep.
d. Personal recommendations of the article or service. Testimonials which are
fictitious or the originals of which cannot be produced must not be used.
Anyone using testimonials in advertisements is as responsible for the
statements made in them as he would be if he had made them himself.
e. The equality of the value of competing goods or the trustworthiness of
statements made by others.
4. No advertisement should be permitted to contain any claim so exaggerated as to lead
inevitably to disappoint in the mind of the consumer. Special care is called for in the
case of:
a. Advertisement addressed to those suffering from illness.
b. No such advertisements should hold out the promise of cure for serious
disease nor contain any statement calculated to injure the health of the sufferer
by dissuading him or her from seeking a medical advice or otherwise.

c. Advertisements inviting the public to invest money should not contain

statements which may mislead the public in respect of the security offered,
rates of return or terms of amortization.
d. Advertisements inviting the public to take part in lotteries or competitions
with prize or which hold out the prospect of gifts.
Such advertisements should state clearly all the conditions for the lottery or competition or
the conditions for the distribution of the gifts. Virtually every product is puffed up. Terms like
The Best or The Greatest were sales talk. Everyone knows that Wonder Bread is not
really a wonder, and The Greatest show on Earth is not what everyone considers the
greatest. Puffery, therefore, was a form of opinion statement and not regulated. Some
observers have expressed concern that the Puffery defense was a loophole through which
many deceptive claims fell. The commission has been criticized for allowing deceptive
claims to clip through under the guise of puffery.
Puffery can be defined as:
i.
Reasonable people do not believe to be true product qualities and
ii.
Incapable of being proved either true or false
Consequently, if deception is the creation of a false belief about the product in the mind of a
consumer, claims that fall into the definition of puffery cannot be deceptive. By definition
such claims can be neither false nor can they create belief. Puffery has generally viewed as a
form of poetic license. Consumers are aware of the exaggeration and do not believe it. Some
argue that puffery has a detrimental effect on consumers purchase decisions and that should
be illegal.

Taste in Advertising
We all have our own ideas as to what constitutes good taste. Hence different things offend
different people. What is in good taste to some is objectionable to another. E.g.: Calvin Klein
jeans which showed a young man rubbing his crotch with a soaking wet pair. Though the 1624 age groups found this ad exciting, the older consumers were dismayed. One dimension of
taste is the product itself. E.g.: underwear, laxatives, hygiene, AIDS, etc. have higher levels
of distaste then do other ads. Also the fast that TV can bring this into out rooms and talk
about it embarrasses many.
Another dimension is the matching of certain ads with the program of media. E.g.: ads
targeted to adults on Cartoon Network, etc. A third dimension is that taste changes over time.
What is offensive today may not be considered so in the future. E.g.: a deodorant ad in 1919
that led to cancellation of subscription would be considered pretty tame by todays standards.

Women in India
The role of women in our society has changed in the last few decades. The traditional role of
women cannot be accepted now. Women are playing a diversified role on the socio-economic
context in our society. Women are emerging as a powerful influence group. Women are
shown as objects of sexuality. The idea of the male gaze becomes the universal advertising
strategy. Since men are the main purchasing power of India today the image of a sanctity lad
woman will make them buy anything.
1. Women are being portrayed as sex objects. Women were shown as the weaker sex
always by her mans side. Not only are women being used as sex objects they are
being used in relation to negative products as alcohol & drugs.
2. Ads show that womens place is in the home, women are dependent on men, and
women do not make independent and important decisions. The household image of
women is truly exploitive showing woman as an unattractive housewife who slaves
for her family without any ambition is enslaving.
The Axe ad shows a man in an elevator applying Axe body spray as he leaves the elevator.
A less attractive man enters the elevator along with a beautiful woman. With the smell of the
body spray still lingering it becomes a very powerful aphrodisiac and the woman becomes
aroused. The next scene shows them coming out of the lift insinuating some kind of sexual
experience. The ad implies that a body spray can make the sexual availability of women easy.
Then came the category of women at work but even these were in romantic settings. These
ads conversed that working women receive more masculine attention and have a better time.
Ads showed how to become more appealing to men to gain popularity and who to become
more sexually active, all to sell a product. The idea of the male gaze becomes significant.
The upper middle or middle Hindu patriarchal morality is seen as normal. Any deviation from
this is frowned upon. Some critics say that men say they are redefining womens liberty and
modernity but end up highlighting & reinforcing the prejudices of upper caste males. The
upper caste or class Hinduism is repeatedly represented as The only good and powerful
way of living in order to be a decent and patriotic Indian citizen. Woman in earlier ads was
docile with an expression of down turned face fully dad in sari with big vermillion and

flowers or a vamp in short indecent attire with a sensuous gaze, a pouting smile without
vermillion and flowers.
The modern woman is now shown without vermillion affirming her sensuality, no longer
wearing a sari. But her societal status has not changed in any drastic way as her roles are
defined even now by men. Washing machine microwave ovens liberate Indian women by
moulding them into perfect homemakers. (e.g.: you and Videocon the perfect homemaker).
Portrayal of women in media has changed in some ways and not in others. The old
stereotypes (housewife, girlfriend, sex object, decorative object) are still with is modified and
diluted. The emerging new stereotypes are due to changes in the social, economic, political,
scenario, trends in liberalization / globalization and the rise of consumerism can be seen as
the emerging new Indian women the beauty queens, models, VJ & womens entrepreneurs.
Besides these there are a great number of serial which stress on women in roles of the perfect
housewife dominated by her husband and a vamp. These shows portray old time values &
morals trying to bring back the trend of the male dominated society.

Stereotyping
Advertising is often accused of creating and perpetuating stereotypes through its portrayal of
women, ethnic minorities, elderly and other groups. The portrayal of women in advertising is
an issue that has received a great deal of attention through the years. Women are often
depicted as preoccupied with household duties, motherhood, or they are shown as decorative
objects are sexually provocative figures.
Advertising shows a consistent picture of gender stereotyping. Women are shown as passive,
lack of intelligence and credibility. In contrast men have been portrayed as constructive,
powerful, autonomous and achieving. Even stereotyping exists in ads target to children. Boys
are usually shown as more knowledgeable, active and aggressive than girls. Non-verbal
behavior involving dominance and control are associated more with boys than girls.
While sexism and stereotyping still exist, advertisings portrayal of women is improving in
many ways. Women are portrayed more realistically. Women have crossed the boundary from
the domestic sphere to the professional arena. Many advertisers are now depicting women in
a diversity of roles that reflect their changing place in society. In many ads, the stereotypic
character traits attributed to women have shifted from weak and dependent to strong and
autonomous. Some advertisers have been criticized for portraying senior citizens as feeble,
foolish, inept or in desperate need of help.

What is deceptive advertising?

Deception exists when an advertisement is introduced into the perceptual process of some
audience and the output of that perceptual process differs from the reality of the situation and
affects buying behavior to the detriment of the consumer.
Thus deception will be found if:
There is misrepresentation, omission or practice that is likely to mislead
The consumer is eating responsibly in the circumstances
The practice is material and consumer injury is possible because consumers are likely
to have chosen differently if there was no deception
Sometimes the input or advertisement may not be false, but the perceptual process generates
deceptive impression.
There are various ways in which misrepresentations or omissions occur:
Suggesting that a small difference is important. E.g.: a cigarette as that claim its
product have less nicotine, attributes to an article that has appeared in a magazine.
However the difference is insignificant and meaningless.
Artificial product demonstration, a monster truck running rough shod over a row of
cars and damaging all but the one being advertised for.
Using an ambiguous or easily confused phrase, using phrases like government
supported / government approved or low fat.
Implying a benefit that goes not fully or partially exist: vegetarian toothpaste.
Implying that a product benefit is unique to a brand: health drink that talks of being a
complete substitute for a meal.
Incorrectly implying that an endorser uses and advocates the brand, using icons or
celebrities to endorse a product that he / she has used and personally benefited.
Omitting a needed qualification: complete disclosure in an ad. There are a wide
variety of advertising brands that differ little in substance from competitions. It is
common to associate a brand with an attribute of the product class. Should the brand
be required to state in its advertisement that all brands are virtually identical in this
respect?
Bait and switch offers. This tactic requires placing an ad item at tremendous value.
Upon reaching the store, the shoppers find the item is no longer available and in

order to alleviate their sorrow at missing deal they are directed to a similar item that,
while not as good of a bargain (sometimes no bargain at all) closely matches what
they came in for. Why is this advertising method illegal? For two reasons:
o It relies on false information
o It works way too well
One of the main problems is that often times, these underhanded techniques work all
too well. They are based on deception misdirection and other highly refined but
sharply unethical techniques. In many ways and especially on the internet, the porn
industry has its share of unethical advertising.
Identifying the advertising: This is related to advertorials / infomercials where it
should be mentioned that it is an advertisement. Disclosure / caution line should be
clearly identifiable.
Intellectual property: Using research studies or data to push your product without
giving due credit to the research organization that has spent considerable time and
money to bring out the results.
False testimonials: These are tools that are used to increase attention, particularly with
radio and print. Sometimes very effective as a form of advertising, they are not always
done well. The intention behind real-person endorsements is to depict a simulation of
word-of-mouth advertising. They may show an expert e.g. doctor in white coat
technique. But more often they present typical people who appear to be just like us.
This is the satisfied customer technique. The process of empathy and identification
indicates that the more like us satisfied customer appear to be the more effective
their testimonials. Consequently, in many countries, testimonials are used by
companies marketing to specialist occupational groups like farmers, plumbers,
builders, etc.

Who is deceived - The reasonable consumer?

For an advertisement to be deceptive, it must contain a material untruth. That is one capable
of affecting purchase decisions. It is also likely that advertisements can cause public injury,
where public injury means that a consumer must actually suffer damage and it must show that
goods purchased are unequal to the value expended.

What is the acceptable level of misperception?

What percent of an audience needs to be misleading for deception to occur? The standard will
depend on the context. If health and safety are involved, it should be very low or zero. If the
danger is in buying the wrong soap or toothpaste is modest, higher level can be tolerated.

Misrepresentation and Omission

There are various ways in which misrepresentation or omission occurs:
a. Suggesting that small different is important.
b. Artificial product demonstrate extraordinary feat performed by the model Cheetah
Bhi Peeta Hai. E.g.: Mountain Dew Darr Ke Aage Jeet Hai.
c. Using ambiguous phrases easily confuses the mind Supported by the Government,
recognized by Dental Association E.g.: Colgate.
d. Implying benefits that do not fully or partly exist Vegetarian Tooth paste.

e. Implying that the product benefit is unique to the brand Health drink substitute for
meal. E.g.: Colgate Salt, Cloud 9.
f. Incorrectly implying that the endorser used and advocates the brand using icons.
g. Omitting a needed qualification complete disclosure of fact and substance.
h. Bait and Switch offers no longer available from tomorrow, last day today e.g.:
Vijay Sales.
i. Intellectual property using falsely research items.
j. False Testimonials These are tools that are used to increase attention, particularly
with radio, television and print. Sometime very effective form of advertising, they are
not always done well. The intention behind real person endorsement is to depict a
simulation of word of mouth advertising. They may show typical people white coat
doctor, a typical characteristic representation associated with some emotional appeal
like parents dont lie. The process is empathy and identification indicates more like
us satisfied customers appear to be the more effective testimonials.

Legal Environment International Perspective

Numerous laws determine what advertisers can and cannot do but they also allow a
significant amount of leeway. Thats when ethics and social responsibility come into play. An
advertiser can act unethically or socially irresponsible and not break any law. Ethical
advertising means doing what the advertiser believes is morality right for a given situation;
social responsibility means doing what society knows as best for the welfare of the people in
general. A tobacco company is free to sponsor for a rock concert.
In both USA and Canada, the federal government imposes strict controls on advertisers
through laws, regulations and judicial interpretations. In USA, federal regulators of
advertisers are:
1. Federal Trade Commission: The FTC is a leading regulatory agency for advertising
practices. It publishes Industry Study and Trade Regulation Rules which provide
advertisers, agencies and media with ongoing information about regulations.
2. Federal Communications Commission: It has jurisdiction over radio, TV, telephone &
telegraphic industries.
3. Food and Drug Administration: With authority over advertising, labeling, packaging
& branding.
4. Patent and Trademark Office: It enforces the Trademark Act.
5. Library of Congress: It registers and protects all copyrighted ads, music, books and
other creative material.
6. Office of Consumer Affairs: It is the chief consumer protection department.
7. Securities & Exchange Commission: It has jurisdiction over all advertising of stocks,
bonds and other securities.
8. Department of Justice: It enforces laws in prosecution cases.
9. Consumer Product Safety Commission: It has power from four acts
a. The Flammable Fabrics Acts
b. The Federal Hazardous Substance Act
c. The Children Protection Act

d. The Standard for the Flammability of Children Protection Act

Its authority extends to household products, toys and hazardous substances. It investigates
product advertising and labeling violation when consumers & consumer groups complain. In
Canada, the Competition Act of 1985 makes any public promotion an offensive if it is false
or misleading in a material respect. It is a crime and the advertiser or agency can be
indicated. The Canadian Radio-Television and Telecommunication Commission can regulate
the quality or to some degree the quality of radio & TV advertising. Preapproval for
commercials for food, drugs, patent medicines and cosmetics are needed to be sure they meet
the advertising codes.
Many countries prohibit superlatives. In Germany, advertisers can only use scientifically
provable superlatives. Coca-cola slogan Refreshes your best was changed to Refreshes
you right. Many European countries ban two for one offers, coupons, premiums, freebees
in offers, etc. In Europe, companies may only advertise price cuts during official sales
period and need government approval before publishing a sale ad. In Saudi Arabia,
companies cannot advertise pork or images of pigs, like stuffed toys and piggy banks, and
pictures of anything sacred; ads cannot show womens faces.
General Regulations
Country

Comparative
Advertising

European
Comm.

OK if data is
accurate and
verifiable

Austria

OK if based
on objective,
verifiable data

Belgium

Denmark

Advertising
to Children

Limitations
on specific
products
Alcoholic
Beverages

Limitations on specific
products

Media Regulations

Tobacco

Pharmaceuticals

Restricted or
banned media

Limitations
on
commercials
May not
exceed 15
percent of
daily

Ban on
showing
children in
danger;
exploiting
their
ignorance or
credulity; or
encouraging
them to
persuade
adults to buy
Direct appeal
forbidden
Direct appeal
forbidden

TV
advertising
restricted

Banned
on TV

Prescription drugs
banned on TV

None

Hard liquor
banned on
TV and
radio

Banned
on TV
and radio

Greatly restricted
by pharmaceutical
law

Follows EC
guidelines

Banned if
denigrating

Follows EC
guidelines

Strict
labeling
laws

Banned on radio
and TV; restricted
in other media

OK if
accurate,
relevant and
fair

Follows EC
guidelines

Banned on
radio and
TV

Heavily
restricted
in all
media;
banned
on TV
and radio
Banned
on radio
and TV

Billboards
heavily
regulated;
telephone
advertising
prohibited
Billboards
heavily
regulated

Prescription drugs
banned on TV and
radio; prior
government

Telemarketing
banned;
outdoor
heavily

Follows EC
guidelines

Follows EC
guidelines

France

OK if not
disparaging

Generally
follows EC
guidelines, but
stricter

Germany

Banned if
denigrating

Voluntary
restraints on
direct appeals
in radio and
TV ads

General Regulations
Country

Comparative
Advertising

Advertising to
Children

Italy

Direct
comparisons
restricted;
indirect OK if
substantiated

Ban on ads
during cartoon
programs

Netherla
nds

Indirect
comparisons
OK is
complete,
accurate, and
not
denigrating
Banned if
denigrating or
not
objectively
verifiable

Switzerla
nd

United

Spain

Banned on
TV and at
sporting
events;
restrictions
on ad
content
Voluntary
limits by
industry

Limitations
on specific
products
Alcoholic
Beverages

Banned
in all
media
except
press and
posters
Banned
in all
media

approval for
others
Prescription drug
ads banned; copy
clearance needed
for others

restricted
Outdoor
restricted by
local
ordinances

Follows EC
guidelines

Permitted with
strict regulations
on content

None

Follows EC
guidelines

Limitations on specific
products

Media Regulations

Tobacco

Pharmaceutical
s

Restricted or
banned media

Limitations
on
commercial
s

Follows EC
guidelines

Banned in
all media

Outdoor
restricted by
local ordinances

Follows EC
guidelines,
prohibits
interruptive
ads

Voluntary
restraints on
exploiting
childrens
natural
credulity

Strict
industry
regulations
on ad
content

Strict but
voluntary
regulation
by
industry

Prescription
drug ads
banned; copy
clearance
needed for
others
Prior approval
by industry
board; consumer
ads for
prescription
drugs banned

Outdoor
restricted by
local ordinances

Follows EC
guidelines

Restricts
exploitation

Some
restrictions

Restricted
on TV

Outdoor
restricted locally

Regulation
of content
and duration
of
commercials

OK if not
denigrating,
banned on
TV

None

Banned on
TV and
radio,
restricted in
other media

Banned
on TV
and radio;
restricted
in other
media

Prior
government
approval for
OTC drugs;
consumer ads
for prescription
drugs banned
Banned on TV
and media

Only commercial
radio is local

Banned of

Voluntary

Voluntary

Banned

Ban on ads for

Local restrictions

No
noncommerc
ial
advertising;
restrictions
on
commercial
length
Code of

Kingdom

denigratng

rules designed
to protect
children

ban on TV
advertising
for hard
liquor,
content
restrictions
for other
media

on TV
and Radio

prescription
drugs; strict
regulations for
OTC drugs

on outdoor;
many restrictions
on other media

Advertising
Standards

Political Advertising
Political campaign is organized effort to secure nomination and election of candidates. A
political ad means an announcement or message of any form which is broadcast in return of
payment by a candidate in elections. It does not include letters to editors, news or features
articles or editorial comments. The essential task of political advertising is to gain the
confidence of the people and influence their vote. Political advertising raises many questions
concerning the funding of political campaigns, the reality of political claims and the
likelihood of slanderous or libelous claims made by political candidates.
The amount spent on political campaigns is still small compared with commercial
advertising. Political advertising frequently engages in comparative advertising in which
opposing candidate programmes and performance are criticized and ridiculed. Political ads
are generally perceived as partially true and often dismissed as dishonest. Political ads must
get results in a short period of time. Campaign costs have become enormous parties and
candidates need to raise a lot of money. Financial contributions by corporations have been
restricted by law.
Political advertising is subject to different rules than ads for commercial products and
services. Because political speech is widely acknowledged as the core reason behind the
free speech as the most valuable (and hence, most protected) form of speech. Political
advertising is both advertising and political speech, but since it does not fall within the
definition of commercial speech it is considered political speech and receives the highest
degree of protection under the first Amendment. The use of professional agency for a political
campaign in India dates back to the 1980s when Rajiv Gandhi used one.
Political advertising is not wholly unregulated though. It is subject to some minor restraint
under the Federal Communications Commissions Equal Access law and under the Federal
Election Act. Also, most states have some laws that apply to political advertising, though
most of those restrictions never have been tested for constitutionality and they are largely
uninformed. At this point little information specifically dealing with political advertising has
been posted on the Internet. Political parties are beginning to see the value of scientific

planning and marketing techniques as they go into elections. It is a lethal weapon of

manipulating minds, used by political parties and has become aggression in recent years.
Political advertising associated with elections to government offices has been the focus of
much consumer and voter criticism. It is characterized by advertizing in which one opponent
launches a vicious and degrading attack in the ethics and morals or law breaking behavior of
the other followed by counter attack by his or her opponent of similar kind. This type of
political advertising is often used as a very visible example of bad taste in mass
communication and adding further to the general cynicism of voter attitudes towards
politicians and government. The problem is that advocates of the negative advertising
strategy have shown that in many instances it works. It has been shown that negative
advertising can be effective in accomplishing a primary objective, like winning an election,
but it can also result undesirable secondary side effects such as increasing cynical attitudes
about politics & politicians.

Manipulation of Research
One of the biggest examples of manipulation of research is false or misleading information.
In some cases unrealistic, unsubstantiated or incorrect data, projections or evaluations are
used Researchers often ignore what may be an influential variable. When deciding how to
interpret data, researchers make choices that influence the results. Research is often done to
make a point or sway an audience. Results can be skewed by unethical research especially
when the group paying for the research has a vested interest in the results. Research
motivated by a group wishing to prove a point could have adverse effects. Manipulated
research can have devastating effect.
Marketing research is a service function that gathers and analysis data and makes
recommendations for the future direction of the organization being served. It is like a doctor
finding out what is wrong and how to improve the situation. If the doctor ignores ethical issue
and misrepresents his expertise, the patient dies. Misrepresentation, thus, actually harms the
firm. Manipulation of marketing research is prevalent on many occasions. These findings are
more often incorrect. Findings are twisted to substantiate the claims made by the advertiser.
Consumers do not question these claims, so it becomes the work of CERC and other such
organizers to take it up. However they need to send in their complaints.

The Consumer Protection Act, 1986

It is an Act to provide protection of the interests of consumers and for that purpose to make
provision for the establishment of consumer councils and other authorities for the settlements
of consumers disputes for matters connected therewith. This Act extends to the whole of
India except the State of Jammu & Kashmir
Definitions
1. Appropriate Laboratory: one that is recognized by the Central Government, State
Government and one that is set up by or under any law and is maintained, financed or
aided by the Central or State Government for carrying out analysis or tests of goods or
find out if there is a defect.
2. Complainant:
i.
A consumer or more consumers with same interest
ii.
Any voluntary consumer associations
iii.
Central Government or State Government
iv.
In case of death of a consumer who has complained, the legal heir of
representative
3. Complaint: means any allegation in writing made by a complainant that
i.
An unfair trade practice or restrictive trade practice has been adopted by
any trader or service provider
ii.
That goods bought or agreed to be bought suffer from one or more defects
iii.
The service hired or availed of or agreed to be hired or availed of suffer
from deficiency
iv.
The trader has charged for the goods a price in excess of the price fixed by
law, or that marked on the package or a price agreed upon by both parties
v.
Goods are hazardous to life & safety when used are using offered for sale
(if the trader knew of the danger)
4. Consumer:

i.

5.
6.
7.
8.

Is a consumer who buys goods for a consideration or hires or avails of

services and includes any user of such goods other than the person who
buys such goods
ii.
It does not include a person who avails of such services for any
commercial purpose
Consumer Dispute: means a dispute where the person against whom a complaint has
been made, denies the allegations made in the complaint.
Defect: means any fault, imperfection or shortcoming in the quality, quantity, potency,
purity or standard which is required.
Deficiency: means any fault, imperfection, shortcoming or inadequacy in the quality,
nature and manner of performance which is required.
Manufacturer: means a person who
i.
Makes or manufacturer any goods or parts thereof
ii.
Does not make or manufacturer, any goods but assemble parts made by
others
iii.
Puts his own mark on any goods made by any other manufacturer

Definitions

Person includes a form, whether registered or not, a Hindu undivided family, a cooperative society and every other association whether registered or not.
Prescribed means prescribed by rules made by the State Government or Central
Government.
Regulation means rule made by the National Commission under the Act.
Restrictive Trade Practice means a trade practice which brings about manipulation
of price or its conditions of delivery or to affect flow of supplies in the market which
imposes on the consumers, unjustified costs or restrictions.
Spurious goods and services means goods and services which are claimed to be
genuine but they are actually not so.

The act was amended in 1991, 1993, 2002 & 2005.

The Essential Commodities Act 1955

This is an Act to provide, in the interest of the general public, for the control of the
production, supply and distribution of and trade on commerce in certain commodities. It
extends to whole of India.
1. Essential commodity means
Cattle fodder, including oilcakes and other concentrates
Coal including coke and other derivatives
Component parts and accessories of automobiles
Drugs
Foodstuff, including edible oilseeds and oils
Iron and steel, including manufactured products of iron and steel
Paper, including newsprint, paperboard and straw board
Petroleum and petroleum products
Raw cotton, whether ginned or unginned, and cotton seed
Raw jute
Any other class of commodity which the central Government may, by notified
order, declare to be an essential commodity
2. Food-crops include crops of sugarcane.
3. Sugar means
Any form of sugar containing more than ninety percent of sucrose, including
sugar candy
Khandsari sugar
Sugar in process in vacuum, pan sugar factory or raw sugar produced there in
Tea is not foodstuff

In common parlance food is something that is eaten. In wider sense food may include not
only solid substances but also a drink. Still the fact remains that the substance called food
should possess the quality to maintain life and its growth, nutritive or nourishing value so as
to enable the growth, repair or maintenance of the body. Tea does not have any nutritive
value. Therefore, tea is not a foodstuff: S. Samuel, M. D. Harrisons Malayalam V. Union of
India, AIR 2004 SC 218. The word oil used in regard to foodstuff is edible oil and not oils
like kerosene (Tulsi Modi v. State of Orissa).
To deal effectively with malpractices like black-marketing, hoarding, profiteering and to
arrest the unjustified rise in prices of essential commodities by providing for the preventive
detention of persons likely to indulge in such practices. Prevention of Black-marketing and
Maintenance of Supplies of Essential Commodities Bill was introduced in the Parliament.
The Ordinance recognized preventive detention as a necessary evil and accordingly sought to
provide for various safeguards to avoid scope for possible abuse of powers.
An Act to provide for detention in certain cases for the purpose of prevention of blackmarketing and maintenance of supplies of commodities essential to the community and for
matters connected therewith. The Central Government feels that if it is necessary for
maintaining or increasing supplies of any essential commodity or to secure equitable
distribution, it may, by order, regulate or prohibit the production, supply or distribution of
those essential items.
The order may provide:
1.
2.
3.
4.

Regulation by license, permits, production or manufacture of any essential commodity

For bringing under cultivation any waste or arable for growing specified food crops
For controlling the price
For prohibiting the withhold from sale of any essential commodity

Essential Commodities (Amendment) Act 2003

This amendment empowers the Central Government to direct that no producer, importer or
exporter shall sell or otherwise dispose of or deliver any kind of sugar or remove any kind of
sugar from the bonded godowns of the factory where it is produced. The word sugar includes
plantation of white sugar, raw sugar and refined sugar whether indigenously produced or
imported.

The Standards of Weights and Measures Act, 1956

The Standards of Weights and Measures Act, 1956 was the first enactment by which the
uniform standards of weights and measures, based on the metric system were established. The
standards established by the 1956 Act were based on the international system of units.
Standards of weights and measures were subsequently revised by having regard to the rapid
advances made in the fields of science and technology and a practical system of units of
weights and measures, suitable for adoption for all the signatories to the Metro Convention
was evolved. This practical system of weights and measures was given the name Le System
International dUnits (with its international abbreviation SI).
In view of the revision the Central Government constituted a Committee to consider what
changes are required to be made in 1956. The Committee suggested the replacement of the
1956 Act by a comprehensive legislation on the subject.

The Standards of Weights and Measures Act, 1976

An Act to establish standards of weights and measures, to regulate inter-State trade or
commerce in weights, measures and other goods which are sold or distributed by weights,
measure or number, and to provide for matters connected therewith or incidental thereto. It
extends to the whole of India. It applies to commodities in packaged from which are sold,
distributed or offered or displayed for sale.

Standard Units
Units of weight or measure to be based on metric system:

Base unit of length shall be meter.

Base unit of mass shall be the kilogram.
Base unit of electric current shall be the ampere.
Base unit thermodynamic temperature shall be the Kelvin.
Zero degrees Celsius corresponds to 273.15 Kelvin.
Base unit of luminous intensity shall be the candela.
Base unit of amount of substance shall be the mole.
Base unit of numeration shall be the unit of international form of Indian numerals, in
accordance with the decimal system.
Use of non-standard weight or measure prohibited.
Manufacture of non-standard weight or measure prohibited.
No weight, measure or other goods shall bear thereon any inscription or weight,
measure or number except in accordance with the standard unit of such weight, measure
or numeration established by or under this Act:

The Central Government shall keep in its custody, for the purposes of this Act, such number
of reference standards as may be necessary. The Act envisages the appointments of Controller
and Inspectors of Weights and Measures in the States. The Central Government with the
consent of State Governments is empowered to delegate some of the powers may be subdelegated by the Controller of Legal Metrology in the States. These powers may be subdelegated by the Controller to other officers not being less than the rank of an Inspector.
Where any goods seized are subject to speedy or natural decay, the Director or the authorized
person may dispose of such goods in such manner as may be prescribed.
Forfeiture: Every false or unverified weight or measure, and every false package shall be
liable to be forfeited to the Central Government. Any custom, usage, etc. contrary to standard
weight, measure or numeration to be void, manufacturers, etc., to maintain records and
registers.

Inter State Trade or Commerce

Quantities and origin of commodities in packaged form to be declared:
No person shall
Make, manufacture, pack, sell or cause to be packed or sold
Distribute, deliver
Offer, expose or possess for sale,
any commodity in a packaged form to which this Part applies unless such package bears
thereon or on a label securely attached thereto a definite, plain and conspicuous declaration
made in the prescribed manner, of:
a. The identity
b. The net quantity
c. Where the commodity is packaged or sold by number, the accurate number of
the commodity contained in the package
d. The unit sale price of the commodity in the package
e. The sale price of the package

Verification and Stamping of Weights and Measures sent from One State to Another

When any weight or measure sent from a transfer State for delivery and it is not required to
be dismantled before its dispatch, it shall be known as a weights or measure of the first
category. If it is required to be dismantled before its dispatch to the Transferee State, it shall
be known as a weight or measure of second category. Weight or measure, whether of the first
or of the second category, shall be verified and stamped unless fees for such verification and
stamping have been paid in accordance with the scales specified.
Weight or measure of first category is not to be sold or used in any State unless it is stamped
in the Transferor State. Weights or measures of the second category received from Transferor
State to be produced before the local inspector of the Transferee State, and the Transferee
State shall verify every weight or measure to any other State to submit return to the
Controller. Persons exporting or importing any weight or measure to get themselves
registered. No dealer or manufacturer shall export or import any weight or measure unless he
us registered.
The following rules were established after the weights and measures Act 1976:
1. The Standards of Weights and Measures (Packaged Commodities) Rules 1977.
2. The Standards of Weights and Measured Tenders of Weights and Measures (Approval
of Model Rules), 1987.
The list of recognized laboratories shall be notified from time to time. When an
application is made for the recognition of a laboratory, the Director shall, send one or
more of his officers to the laboratory and obtain a report whether the laboratory:
a. Has the necessary measuring equipment
b. Has the necessary qualified staff
c. Is situated in an appropriate environment
d. Has an adequate recording system
e. Is likely to give expeditions, efficient and adequate service
f. Is ready and willing to get its equipment verified periodically
Whether they have the certificate issued by the National Accreditation Board of
Laboratories (NABL)
3. The Standards of Weights and Measures (Numeration) Rules, 1987
4. The Standards of Weights and Measures (Inter-State Verification and Stamping)
5. The Standards of Weights and Measures (Enforcement) Act, 1985
Definitions
1. Batch: Packages where the total number of such packages does not exceed 100 &
packages more than 100 but less than 10,000 of the same type & same production run
combination packages.
2. Dealers: A person, a firm buying, selling, supplying, distributing for cash or deferred
payment.
3. Drained Weight: Refers to a solid commodity contained in a free throwing liquid
means the weight of solid commodity after the liquid has been drained for 2 minutes.
4. Group Package: Package containing similar packaging of different brands.
5. Manufacturer: One who makes the product & also one who puts the mark on the
packaged commodity although not made by him.
6. Maximum Permissible Error: Given in case of commodities in schedule I & II.
7. Multiprice Package: One or more packaging of same product of identical quality. E.g.:
toilet soap, net weight 10g each total net weight 100gm.

8. Packer: Person who pre-packs any commodity.

Declaration to be made on every package

Name, address of the manufacturers and if the manufacturers is not the packer, he name &
address of both have to be given.
Every package shall have a local security affixed.
The common name of the commodity contained in the pack.
The net quantity in terms of standard unit of weight or the number of the commodity in
the package.
The month & year it is manufactured or pre-packed.
The dimension of the commodity when relevant.
Other matters as specified in the rules. No declaration as to month or year on package
containing bidees and incense stick.
Bottles containing liquid milk, soft drinks, etc. which is returnable for refill.
Liquid milk in pouches.
Package with metal products.
LPG.
Chemical fertilizer. No declaration of retail sale price.
Veg., fruit, fish, meat.
Bottle containing liquid milk, beverages with milk ingredient returned for refill package
containing animal feed more than 15 litres.
Package containing printing matter.
The height of the letter, the size, width is specified details required should be legible,
prominent, definite plain & clear. Authorized person takes positive action in accordance with
the provisions of the old against the manufacture or packers as the case may be.
Before taking any action the authorized person shall size the package as a sample to
produce as evidence.
The disposal of package is done as per the code of criminal procedure.

Prevention of Food Adulteration Act 1954

Food is one of the essentials for proper maintenance of human health. Access to pure,
nutritious food, free from any type of adulteration is the right of every citizen. The
Directorate of Prevention of Food Adulteration us responsible for checking adulteration or
misbranding of food articles
Objectives

To protect the public from poisonous and harmful foods

To prevent the sale of substandard foods
To protect the interest of the consumers by eliminating fraudulent practices

1. Meaning of adulterant: Any material which is or could be employed for the purposes
of adulteration
2. Definition of Food: Any article used as food or drink for human consumption other
than drugs and water
3. Concept of Adulteration: An article of food can be said to be purport to lie of a
particular nature substances or quality in the following cases:
When there is a label upon it showing that it is of that nature, substances or
quality
When there is a signboard or advertisement indicating that it is of that nature
substances or quality
An article of food shall be deemed to be adulterated:
1. If the article sold by vendor is not of the nature, substances or quality demanded by
purchaser

2. If the article contains any other substances which affects the substances or quality
thereof.
3. If any cleaner or inferior substances has been substituted wholly or in part for the
article so as to affect the nature, substances or quality of the product
4. If the article has been prepared, packed or kept under unsanitary conditions whereby it
has become contaminated or injurious to health
Sale of certain Admixtures prohibited (Sale by himself or by his servant or agent is
prohibited):
1. Milk which contains added water
2. Cream which has not been prepared exclusively from milk or which contains less than
25% of milk fat
3. Ghee which contains any added matter not exclusively derived from milk fat

AGMARK
The sale of produce in a primary market takes place on the basis of the visual inspection of
the goods, and in the secondary and terminal markets on the inspection of the samples. The
buyer and the seller decide upon the terms either orally or through written contracts. The
contract terms specify the quality and quantity of the produce, the time and place of delivery,
the price and terms of payment, handling and incidental charges, the procedure for settlement
of disputes and penalties. The terms of contract were not standardized and thus varied for
every individual transaction, and were more favorable to the buyer. With a view to improving
trade practices, All India standard contract terms have been drawn up for a number of
commodities. In standard contract terms the definition of quality and allowances in respect of
refraction, damaged goods have been specifically standardized. These standard contract terms
by traders is voluntary they have to large extent strengthened the position of the producerseller and have improved the quality of the product marketed.

Standardization and Grading: In order to gain the confidence and establish a rational
relationship between the quality of a produce and its price, it is necessary to devote some
attention to the proper preparation, sitting and sorting of a material. This is achieved by
grading the produce in conformity with certain accepted quality standards via shape, size,
form, weight and other physical and technical characteristics. The produce brought to the
market is very often contaminated with dust, stones and other foreign matter added either
deliberately or by accident. Such a produce brings a lower price to the farmers. Care should
be exercised while assembling the produce of different farms so that the good material is not
mixed the inferior material brought in by some farmers. The Government of India had
recognized the need to introduce the standardization of agricultural produce. The act
empowers the central government to prescribe grade standards indicating the quality of
articles included in the schedule and specify grade designation marks to represent particular
grades or qualities. The act provides for the grading and marketing of agricultural produce.
The grade standards prescribed under this act are based on both physical and chemical

characteristics and are formulated after analyzing representative samples of each commodity
collected from different regions and different seasons. Besides the international standards and
special requirements of overseas consumers are also taken into account while formulating
these standards for the commodities which are exported. The grade standards are reviewed
and amended from time to time in the light of the shift of the pattern of production and trade
and changes in the consumers preferences. The grades are designated as the AGMARK
grades.

Grading at Farmers Level: The grading of agricultural commodities under AGMARK

has been consumer oriented. Generally the grading was done at the level of the traders. At
this stage the producer was not a direct beneficiary of the grading scheme. It was felt the need
to introduce grading at the produces level. Thus the directorate of marketing and inspection
introduced a scheme for setting up commercial grading units.

Grading a fruits and vegetable products: With a view to exercising quality control over
fruits and vegetables the government promulgated the fruits product order under the essential
commodities Act. The preservatives and colors to be used are also clearly laid down.

Indian Standard Institution (ISI)

The Indian Standards Institution (ISI) came into existence in 1947 as a registered society with
the objective of harmonious development of activities of standardization, quality certification
and marking. In 1986, this set up was provided a statutory status and the BIS Bureau of
Indian Standards came into existence as a National Standards body of India with a broadened
scope and more powers taking over the ISI. Now the ISI marking is given by BIS. Since
1947, the ISI has been an active member of International Organization namely the ISO. The
ISO started functioning with the ISI as one of the founder members has gone up to 130
member countries.
The ISI mark on a product is an assurance that the product confirms to the requirements as
laid down in the specification. Conformity to standards is ensured through regular
surveillance of the manufacturing process. Fraudulent and unauthorized use of the ISI mark is
a violation of the law punishable under the BIS Act. Its main function was formulation of
Indian Standards for products and services by bringing together and co-coordinating various
interest groups like manufacturers, consumers, technical experts, testing personnel. The
standards so prepares are known as Indian Standards (IS) and are considered as legal
documents.
The certification given by the ISI means that, the commodity is as per the standard quality
and quantity. The Chandigarh Administration has banned the sale of helmets which do not
have the ISI mark. The government has withdrawn the ISI quality mark for bottled water in
wake of reported high concentration of pesticides in bottles water. A nationwide inspection in
eight locations, it was found below standards and these were debarred from producing and
marketing the product.

Public Distribution System (PDS) Interims

Indias PDS supplies subsidized food grains and other essential items commodities through a
network of ration shops. There are approximately 4,62,000 Fair Price Shops. About 160
million families purchase commodities from ration shops each year. The PDS is enormous in
terms of expenditure, reach and number of agencies involved in its operation. State
governments issue ration cards to their residents and decide on the quantity consumers are
entitled to.
Many problems have plagued its operation. PDS suffers from chronic management
shortcomings, the extent and timing of procurement, poor forecasting capacity and antiquated
logistical system to support storage and delivery functions, inappropriate product mix and
cost inefficiencies. Many problems stem from systematic corruption. 3.1% of food grains
36% of sugar gets diverted to the Black Market through agents and middlemen. Buyers are
made to sign that they have bought 10 kgs when they have bought only 5 kgs. Corruption also
plagues the process of issuing ration cards.
Today the ration card is used only by people who have no piped gas or cylinder gas. Kerosene
is issued only to non users of gas for cooking. The ration card is a very useful identity card
whether rations are allowed or not. The Government has revived the long defunct PDS even
for APL (Above Poverty Live) ration card holders.
Consumers however were disappointed sugar (market price Rs. 35 per kg, ration price Rs.
20). One card was entitled to 2 kgs was ok, but not so with wheat and dal. The market price
of tur dal was Rs. 90 kg, the PDS price is Rs. 55 per kg (1 kg per card). But consumers
complained it had other grains and chaff mixed in it and took a long time to cook. Wheat was
full of stones and insects. The rice supplied could not be cooked and palm oil was used not
for cooking but to light diyas.
The government claims to have spent 122 crores a month.

Consumer Guidance Society of India (CGSI)

The Consumer Guidance Society of India (CGSI) was formed to fight consumer exploitation
of all forms. The consumers have often been given substandard products & services,
adulterated foods, short weights & measures, spurious drugs, exorbitant prices & many other
outrageous crimes.
The CGSI has many achievements:
1.
2.
3.
4.
5.

It is the earliest consumers organization founded in 1966.

CGSI was the first to demand a Consumer Protection Act.
70% of the complaints have been redressed.
CGSI established a formal Product Testing in India in 1977.
Keemat was the first magazine published by CGSI imparting important information
to consumer.
6. CGSI promotes consumer education, undertakes training project in rural areas &
represents consumer interests with government & other bodies.
7. CGSI received the National Award for Consumer Protection in 1991.
8. CGSI is the only Indian consumer organization to be council member of consumer
International for 25 years.
9. CGSI is a member of the Master State Consumer Protection Council.
10. CGSI participates in large number of technical Committees & government decision
making bodies.
In 1975 CGSI pressed for a Consumer Protection Act & Consumer Court. The CGSI deals
with consumer complaints & gives guidance to those who wish to go to the consumer court.
The CGSI also brings both parties together to resolve issues. It has covered many issues
relating to medical malpractice & negligence, insurance non-payment, substandard drugs,
defective household appliances, etc. Due to the efforts of CGSI, ISI certification for pressure
stove became mandatory. CGSI has managed to have consumer education introduced in

schools at the 9th standard & being covered progressively from 4th standard. The subjects
taught are Consumer Movement, Right & Responsibilities of Consumers Food Adulteration,
Weights & Measures, the Environment, etc.
CGSI have standard a rural project in villages in Thana & Raigad districts in 1997. CGSI
launched the Pedestrian wing in June 1999. The activities include regular & continuous
interaction with Traffic Police, Transport Commissioner & RTO at all levels for redressal of
grievances of pedestrians & improvement in facilities. The pedestrian wing works closely
with likeminded NGOs & other is in contact with the Pedestrian Association of UK. CGSI
was the first consumer organization to demand special consumer guidance for redressal of
consumer complaints. The delegation of five consumer organization from different parts of
India pressed for a comprehensive Consumer Protection Act, Special consumer court &
directorate of the Act.
CGSI handles consumer complaints & offers legal advice. If there are a number of complaints
against a particular party both are brought together to resolve the issue. The CGSI complaints
committee meets twice a week 70% success in forward complaints were medical surgical
malpractice & negligence, insurance, non-payment, sub-standard drugs, medicines, home
remedies, defective household appliances, poor quality, food & drink, misleading advertising
claims, etc. CGSI education committee has been working to introduce consumer education in
school. The Maharashtra Education board has now introduced consume education at the 9th
standard. They are taught consumer movement, food adulteration, weights & measure,
environment, etc. CGSI have also started rural projects. CGSI is the first NGO to start a
forum for the pedestrian.
How to complain:

Be sure the complaint is sound.

Present it politely.
Preserve cash memos & warranty card.
First approach the retailer. He may have a valid explanation.
If he is unresponsive write to the manufacturer quoting No & date of warranty card.
Retain all originals keep copies of your letter.
In case of suspected food & drug adulteration write to the State health authorities retain
samples where possible.
If CGSI products perform pearly write to the respective agencies.
If there is no response write to the consumer guidance society of India.

Council for Fair Business Practices (CFBP)

On October 2, 1966, the Late Mr. J R D Tata, the Late Mr. Ramakrishna Bajaj, Mr. Arvind
Mafatlal and Mr. F. T. Khorakiwala, inspired by Mahatma Gandhis message came together
and formulated a Code of Conduct for Businessmen. Out of this desire to build bridges of
understanding between manufacturers and consumer, the Fair Trade Practices Association
was born and later renamed as Council for Fair Business Practices (CFBP). It represented the
coming together of a section of like-minded businessmen who felt the need to safeguard
consumer interests in an organized manner through a forum of Self Regulation and thereby
help elevate the public image of business.
Today this organization is the only of its kind in India and has as its member in some of the
Countrys leading business houses and Trade Associations. Since its inception the Council
has been propagating the code of Fair Business Practices which codifies the norms of
business activities that ensure justice and a fair deal to the consumer. CFBP was set up
because doubts arise sometimes in the mind of the consumer about the business community
due to some elements whose dealing with the consumer has not been devoid of unfair trade
practices. There is a great need for better communication, understanding and rapport between
the Consumer and Business. CFBP tries to bridge this gap. It insists on not only prescribing
the code, but exhorts its members to steadfastly follow the code of fair business practices.
Though the council is a body of Businessmen, its main objective is to protect the consumers
interest. The council has remained committed to the philosophy of self regulation and has
brought about awareness that the consumers right must be safeguarded and protected which
will ultimately promote better business. The image of the business community needs to be
improved to gain greater goodwill with the consumer. A satisfied consumer is the best
insurance for a businessman. A customer would prefer to deal with a member of CFBP rather
than with someone outside the discipline of CFBP.

Consumer Education and Research Council (CERC)

CERC was set up in 1978 as public charitable trust. It is a non-profit, non-governmental
voluntary organization. It deals with local, regional, national, international issues related to
consumer protection and environment protection. The Government of India recognized it as a
research institute and the government of Gujarat recognized it as a consumer organization.
CERC is funded by many national and international agencies. It is managed by a Board of
Trustees.
CERC is Indias only organization with an independent in-house comparative product testing
laboratory for testing, evaluation, rating and ranking of consumer goods. The test findings are
published in the organizations subscription based by monthly INGIGHT. The test reports
identify the brands and the manufacturers of the products tested. They declare which brands
have conformed to the test parameters under the Indian Standards and which have not. The
reports also suggest Best Buys. The magazine gives:
1.
2.
3.
4.
5.

CERC interaction with the outside world.

Action taken on consumer grievances.
Answers consumer questions.
An update on global news and news of consumer protection.
Consumer cases dealt with or decided.

CERC has involved the Gujarat High Court, Supreme Court of India, MRTP Commission
District forums, state and national Commission for redressal of consumer grievances. Other
activities are dealt by CERS Consumer Education and Research Society.

Grahak Panchayat
Grahak Panchayat or Consumer Forum is a social organization registered under Co-operative
Societies Act. In 1974 there was a shortage of goods for daily use and other essential
commodities. A group of young people stared the movement with 25 families in one group.
500 such groups were formed. Goods were purchased from manufacturers at wholesale prices
and the leader of the group distributed it to the families. As a follow-up of this the Grahak
Panchayat was formed in 1986.
The objectives of the Grahak Panchayat are:
1. To educate people about consumer rights.
2. To build consumer organization to get justice.
3. To solve consumer problems.
It was made up of retired people from different fields with plenty of knowledge and
experience. There is no membership to this organization. Anyone is free to join voluntarily. It
tries to solve problem amicably and use the Grahak court as the last resort. The Grahak
Panchayat has spread all over the country including Andaman. Counseling centers are opened
in many areas in a city to give free advice to consumers. It has a lot of literature on the
consumer movement and instructions to consumer on what they can do if they have been
cheated. One of their booklets in four editions gives information on government departments,
what their functions are and also how complaints can be filed. It says what precautionary
measures should be taken and what one can do after being cheated.

Advertising & its Criticism

Advertising has been attacked by critics who charge that it goes beyond selling products or
ideas to exert a powerful influence on society. According to this view, advertising in its many
forms is so pervasive and so persuasive that it has the ability to shape social trends and mold
personal attitudes. This influence is unwanted, intrusive and often detrimental to society, say
critics. Defenders respond that, in addition to the economic benefits to improved competition,
lower prices and more product choices, advertising promotes freedom of speech, as goods
and services. Furthermore, advertising is actually influenced by society because it acts as a
mirror in reflecting certain societal changes. For example, advertising must continually adjust
their language and illustrations to conform to changes in socially acceptable practices.
This ongoing debate over the proper role of advertising in society is entirely separate from
the ethical issues of deceptive or fraudulent advertising and it boils down to one basic
question: Does advertising help or hurt society?

Language and Literacy

Advertising sometimes twists words or changes spelling and grammar to make a point.
Advertising copy is accused of playing fast and loose with the rules of language, which
encourages the audience to do the same. Some critics go further, complaining that people
have less need for readily available in the electronic media both by advertising and by
sponsoring news and entertainment programs. Why do ads bend grammar and use slang?
Sometimes its to avoid sounding stilted, sometimes its for emphasis and sometimes its to
sound like the people you want to reach. Theres no real intent to damage the language.
When advertisers want to reach teenagers they try to adopt teenage speech patterns,
advertisers often use unorthodox spelling so a word can be used as a legal part of a brand
name as a trademark.

Manipulation and Exploitation

Does advertising manipulate people into buying what they dont need? Critics contend that
advertising is so powerful and persuasive that people have no choice but to buy what they see
advertised, regardless of their actual need for these products. Advertisers exploit our
inadequacies, anxieties, hopes and fears. Advertisers, using psychological or emotional
appeals, get us to buy their products by making us feel that these products help us gain status,
acceptance, even love.
On the other side of the controversy, defenders acknowledge that the whole reason to
advertise is to persuade. Theres no magic or dishonesty about using the marketing mix to
identify customer needs, to create an appropriate product and to advertise the product.
Defenders contend the advertising offers people the information they need to choose among
products in the marketplace. Advertising can be seen as building consumption not by making
people purchase what they dont need but by making the market more efficient for both
consumer and producers by offering information about the product, its availability.
No amount of advertising pressure can force people to buy something they dont want and
anyone who is persuaded by advertising to buy a bad product (or a product that doesnt meet
a legitimate need) wont make that mistake again. Far from being helpless to resist
advertisings persuasive power people are able to ignore or discount advertising messages, by
zapping television commercials, turning down the radio, or simply turning the page in a
magazine or newspaper. Most consumer are savvy about what they see advertised and
research indicates that children understand and are skeptical about advertisings persuasive
power.

Advertising Old People and Minority Groups

Critics say that ads often portray entire group of people in stereotypical ways showing elderly
people only as senile for example. These advertising can reinforce negative or undesirable
views of these groups. This can contribute to discrimination against them. By presenting
minorities and women more realistically, advertisers can significantly expand their markets
for a wide variety of products. The situation is slowly changing as minority groups protest
against stereotypes. However, showing more minority groups is only half the answer. The
other half, perhaps more difficult, is to make their portrayal realistic.

Advertising is a waste of money

There is a feeling among some that advertising is blatant, uneconomic and antisocial. It
makes people buy more than they need it, encourages consumption of liquor and cigarettes; it
is the cause of violence, murder, etc. The money that is spent on advertising is considered a
waste. This amount, it is felt, can be used effectively in other ways. Models are paid lakhs
and crores of rupees (Amitabh Bachchan, Sachin Tendulkar, etc.) Ads on products that do not
sell are also wanted. However, in all areas of work, failure and superfluous expenditure is
there in almost all activities.
Whether advertising is a social waste is difficult to interpret. Allegations of social waste are
based on statements as:

Ads make false statements which confuse & mislead

Ads force customers to want goods & services that are not needed
Ads promote products which are harmful

Ads are forced on consumers (TV ads)

With reference to the statement that ads mislead and make false statement it may be said most
statements are true to a large extent. Yes, ads exaggerate but again consumers are not fools.
Products are not brought only for its product attributes; it is bought for prestige (car), hope of
a beautiful appearance, people want to look better, eat better, live better, drive better cars &
improve their standard of living. Products may satisfy entirely or partially the wants of
society. Persuasion is used not only in advertising but also in sermons for preachers, lecturer
and even directives from government.
The second criticism is that ads make people buy what they cannot afford. Ads cannot move
people in the direction which are contrary to social trends. Products are produced after market
research to find out what people want, what is the demand. When people decide against the
use of product no amount of advertising can make them buy the product. IF advertising can
make consumers buy products there will be no product failure.

Advertising promote products harmful to citizens

There is a lot of legislation preventing the promotion and sale of harmful products. Cigarettes
are harmful but smoke is more harmful. Liquor is dangerous and immoral according to
critics. Attempts to abolish ads on these products only result in more use and illicit trade in
such products. No product causes more death than automobiles. Is that immortal and should
its production be banned?

Advertising is lacking in good taste

Some ads (Harpic ad) are irritating. If the public is offended, the advertisers find out through
decreases in sales or news reports and that situation are rectified. Advertisers job is to
communicate. Some advertisers are aesthetic and more sensitive than others.

Ads are forced on TV viewers

The viewers are under no obligation to see the commercials. TV programmes cost money. If
ads are not shown the programmes have to be made at government expense and the tax payer
will have to pay additional taxes. Does advertising result in a better standard of living?
Advertising has indeed made considerable contribution to a better standard of living with
many other factors like our productive economic system. It has resulted in a dynamic
expanding economy. Todays economy is geared to a high level of consumption and
production level. If employments are to be maintained and the economy has to grow,
consumers will have to maintain the standard of living.

Advertising places an undue stress on material things

With the role of advertising to maintain a high standard of living, it is obvious that
advertising does stress to a considerable extent the consumption of material goods. Does this
mean that less stress is placed on peoples cultural and spiritual needs? Is there a decline in
cultural and spiritual fields because of advertising? Has interest in literature, music, painting,
sculpture theatre, creative pursuits, efforts on the poor and the less fortunate in our society

less because of advertising? In fact a decent standard of living is a prerequisite to a general

interest in cultural activities. Both material goods and cultural activities are compatible.
If the cultural & spiritual life is not as high as critics feel it should be, is advertising to be
alarmed?

Advertising forces people to buy goods they do not need

It is true that many products can be grouped as not necessary at present. However many
products that are luxuries become necessities for a reasonable standard of living. Who is to
decide that a particular item is not, the critics or the government? The freedom of choice
cannot be taken away from people. Critics are the loudest in wanting freedom of speech.
Advertising, as long as it does not violate standards of good taste, ethics, etc. is one form of
freedom of speech.

Social Benefits of Advertising

Advertising works wonders on the minds of the consumers that in the end influence a
purchase of a product. Advertising has led to many social benefits that are as under:

Awareness
Advertising is one of the oldest ways of spreading awareness about new products. More than
half the population, literate is very much aware of the new products in the market. All credits
to advertising in different media from newspapers, radio to television. It is one method where
messages to a large mass audience are done accurately & correctly without misguiding them
through TV, Radio, newspaper, Internet, outdoor, etc. Advertising is possible in all kinds of
language Hindi, Marathi, English or any other language. Advertising provides people with
information that is very vital for purchase of goods & services available in the market; it
allows them to decide what product will satisfy their needs & give them what they want.
Advertising gives the people an idea of what exactly would suit their pockets & what would
not. Basically, advertisements are made in a way that the consumer will have the curiosity to
check & see the brand in the market himself. Advertisements lead to recognition & recall of
brands that definitely helps advertisers. Advertising is significant because in consumer
capitalism individuals depend on it for meanings a source of social information embedded in
commodities that mediate interpersonal relations & personal identity.

Education
Advertisements are not based only on consumer durables but there are also advertisements
that educate people like social service advertisement & public service advertisement. These
are in the social interest of the people. E.g.: Anti-smoking campaigns, polio vaccinations, eye
donations. All these advertisements educate children, teenagers & adults about the
precautions that have to be taken to survive & be accepted in the society.

Earlier, due to lack of awareness, most of the AIDS patients were treated as untouchable but
due to frequent awareness advertisements (like the one with Shabana Azmi, who is educating
people about how sitting with AIDS patients is no harm) the attitude towards AIDS patients
has changed & they are looked up with respect & considered normal along with dignity in
society. The basic outlook of the people is changing due to advertisement be it in their choice
of purchasing products or be it their attitude and thinking. Advertisements have and always
will influence the minds of the people.

Culture
Advertising is an influential form of social communication. Advertising is not just a business
expenditure undertaken in the hope of moving some merchandise off the store shelves but is
rather an integral part of modern culture. Advertising should be conceived as an important
institution in the consumer society because it produces patterned system of meaning which
play a key role in individual socialization & social reproduction with globalization of the
world economy. Multinational corporations often use the same advertising to sell to
consumers around the world. Some critics argue that advertising messages are causing the
world to become increasingly homogenous. Many advertising campaigns, however have
universal appeal, overriding, cultural differences or they contributed to culture in a positive
way.

Employment
Employment with the growth of advertising the need for man power is also increasingly. Its
not that only by advertising for jobs will a person be able to get a job but in the field of
advertising itself there are so many departments & areas a person can explore that people
from almost all fields have the opportunity to join and be a part of advertising.

Economy
It is believed that advertising has a positive impact on the economy because it stimulates
demand for products & services strengthening the economy by promoting the sale of goods &
services. Manufacturers know that advertising can help sell a new product quickly enabling
them to recoup the cost of developing new products. By stimulating the development of new
product, advertising helps increase competition. Many economists believe that increased
competition leads to lower price there by benefiting consumer & the economy as a whole.
These economists also argue that by interesting consumer in purchasing goods advertising
enables manufacturers and others to sell their products in larger quantities. The increased
volume of sales enables companies to produce individual units at lower price.
Advertising thus benefits consumer by helping lower price. From all the points above what
can be concluded is that the effects upon society brought about by advertising come in mixed
forms, depending on the purpose & execution of various campaign. However, society, as we
know, it is based very heavily upon advertising and the negative social and economic effects
on our society. No one can predict what new form advertising may take in the future. Bu the
rapidly increasing cost of acquiring new customer makes one thing certain. Advertisers will
seek to hold on to current customers by forming closer relationship with them & by tailoring
products, services & advertising messages to meet their individual needs. So while
advertising will continue to encourage people to consume it will also help provide them with
products & services more likely to satisfy their needs.

Vance Packard The Hidden Persuaders

Vance Packard was born in Pennsylvania in 1914 and graduated from the Pennsylvanian
university. He worked as a columnist for the newspapers and associated Press. He later
became an editor and writer at American Magazine. He wrote a number of books on social
issues like The Naked Society, The Waste Makers, People Shapers, ad Hidden
Persuaders which was his first book. Hidden Persuaders won the National Book Award.
Vance Packard also taught creative writing at Columbia and New York University.
In Hidden Persuaders he tries to show how advertisers use motivation research to find out the
consumers hidden urges. He writes how advertisers use this data to sell products and services
to Consumers. The consumers are unpredictable, what consumers sat they want does not
reflect on what they actually do when buying a product. One cannot assume that people know
what they want. One cannot assume that people tell you the truth about their wants and
dislikes even if they know them. Vance Packard writes that it is dangerous to assume that
people can be trusted to behave in a rational way. People dont act reasonably but they do act
with purpose.

The Rise of Motivation Research

Vance Packard explores the large scale use of psychiatry and social sciences to channel the
consumers thinking and purchase decision. The appeals used a Hidden. This in-depth
approach is used to affect the consumers daily acts of consumption. More than two thirds
of advertising is based on motivation analysis. Motivation research gives starting
explanations for so many of our daily habits, why consumers behave the way they do. The
hidden weaknesses of consumers are probed and these are manipulated to influence behavior.
Advertisers see consumer as a bundle of daydreams, hidden yearnings, guilt complexes,
irrational emotional blockages. Advertisers are symbol manipulators and see consumers as
docile in responding to this manipulation of symbols and stir consumers into action.
Advertisers are able to manipulate consumer by using psychiatrists and social scientists as
consultants and by motivation research. Motivation research seeks to learn what motivates

people in making choices. It uses techniques to reach the unconscious or subconscious mind
because preferences are determined by factors of which the consumer is not conscious.
Housewives buy cosmetics for hope, consumers buy car for prestige, consumers buy
oranges for vitality.
The average consumer has more spending money. People have usable durables. Waiting for
these to wear out and be obsolete will lead to unsold stocks. Marketing conventions tried to
find out how best to stimulate consumers more and more. Ad men began talking of the
desirability of creating psychological obsolescence. So ad men created dissatisfaction with
the old and outmoded. Again, what is making ad men to use powerful tools of persuasion
(Motivation Research) is increased standardization. Brands are all more or less the same. The
differences are trivial or non-existent. This rapid diminishing product difference resulted in
more and more penetrating persuasion technique, consumer-catching techniques.

Ad Men Become Depth Men

Ad men wonder why consumers behave the way they do, why they buy or refuse to buy. So
advertisers turned to psychological consultants and tried to understand and explore the deep
unconscious and subconscious factors that motivate people. Once the real motivation was
diagnosed they would use triggers that were needed evoke the desired response. All of us are
creatures of conditioned reflex so the main issue of all persuasion is to develop these
conditional reflexes by using trigger words and symbols. Ad men thus began talking about
different levels of human consciousness.
The first level is the conscious rational level where people know what is going on and are
able to tell why.
The second level is the preconscious and subconscious where a person may know in a vague
way what is going on but would not be willing to tell why. This is the level of prejudices,
assumptions, and fears and so on.
The third level is where we are not only not aware of our feelings and attitudes but we would
not discuss them of we could. Ad men increasingly began exploring the possibilities of
marketing research. Hundreds of social scientists began depth studies for marketers. The most
famed of these depth probes was Dr. Ernest Dichter. He claims any product must not only be
good must appeal to our feelings deep into the psychological recesses of the mind.

Moulder of Images
One way of hooking customers was moulding of images i.e. the creation of distinctive, highly
appealing personalities for products that were essentially, indistinctive. The aim was to build
images that would arise before our Inner Eye at the mention of the products name. If people
could not discriminate reasonably, they should be helped in discriminating unreasonably in
some easy, warm, emotional way. To create this illogical loyalty it was necessary to create
some differentiation in the mind and some individualization.
David Ogilvys advertising form devised successful non rational symbol for an obscure of a
shirt, a mustached man with a black eye patch, a Hathaway shirt. To show how powerful this
imagery can be he did not have any copy. All that was shown was a picture of a man,

standing by an observatory telescope taking notes. He had a moustache and a black eye patch.
The sales of Hathaway soared.
Thus the image builders started studying the types of images that would have the strongest
appeal to the greatest number of people. The most spectacular successful image building has
been done are not just a mere means of conveyance. The car tells who we are and what we
think we want to be. Buick suggested this in their ad It makes you feel like the man you
are. Ad men thus made a comprehensive personality profile for each major brand.

Conflict between Pleasure and Pain

Advertisers felt they had to successfully manipulate the consumers guilt feelings, fear, and
inner tensions. Every time a self indulgent product was advertised ad men needed to lessen
the guilt feelings and offer approval. E.g.: many people continue to smoke despite their guilt
feelings about the habit; they smoke to relieve tension, to express sociability, as a reward for
effort, as a proof of daring and so on. Many enter a room full of people with a cigarette in
their fingers as it makes them seem less nervous and more sophisticated. People also smoke
to prove they are virile and mature. Young people smoke trying to be older and older people
smoke trying to be younger.
Housewives resent appliances as a threat to their creativeness and usefulness so ad men
emphasize that appliances free the housewives to have more time with the children and to be
a better mother. The consumers fears and anxieties like their guilt feelings offered many
openings for the advertisers to draw up successful ad campaigns. Motivation analysts find
ways to bypass the consumers fears.

Hidden Needs
Motivation research gives clues to the advertiser by studying the consumers subconscious
needs, yearnings and cravings. Once the needs were identified the necessary appeals could be
built into the advertising campaign.
Eight hidden needs were identified:
1. Emotional Security:
Home freezers did not make sense economically (the cost of electricity, the leftovers
that are thrown out). A motivation study revealed that the freezer represented that
there is always food in the house and food represents security, warmth and safety.
People feel insecure and want food around them. Dr. Dichter advised advertisers to
sell gadgets with the security theme.
2. Selling Reassurance of worth:
Advertisers show no awareness that women have any other motive for using washing
products than to be clean, to protect their hands and to keep objects clean. Ad men
should realize that it is necessary to enhance the housewifes feeling of worth and
esteem, a feeling of being important.
3. Selling Ego Gratification:

This is similar to selling reassurance of worth. E.g.: A machine to lift great loads very
efficiently but the product did not sell. Depth studies revealed that the ad put all the
glory on the machine. The operator was not visible at all. The ad was changed and the
new ad showed that the operator was the complete master of the machine.
4. Selling Creative Outlets:
Gardening is described as a pregnancy activity. Gardening gives older women a
chance to keep on growing things after they have passed the child growing age. The
food mixes aroused feelings of guilt feelings. Housewives fait that if they used ready
to eat food it showed that they were inferior housewives. So depth studies advised
manufacturers to leave housewives something to do. Cake mixers then had the
housewife add eggs and milk.
5. Selling Love Objects:
When advertising for a Pianist Liberance the target audience was women past the
child bearing age, a picture of his mom was shown smiling in her rocking chair while
her son performs. The wide, trustful child like smile persists on the singer.
6. Selling Sense of Power:
Consumers show a fascination for products that offer a personal extension of power.
E.g.: cars give the owner a renewed sense of power and masculinity, an emotional
need. This need for a sense of power particularly in men is very thoroughly exploited
by advertisers.
7. Selling a Sense of Roots:
Consumers seek a sense of the good old days and homely associations. Campaigns
show mother and home themes Grandma used to make.
8. Selling Immortality:
One of the problems in selling insurance to women is how to do it without reminding
them they are getting older. Life insurance to males who are bread winners and whose
life is to be insured show the comfortable life led by survivors thanks to insurance.
The real appeal is to assure the buyer the prospect of immortality in order to control
his family after death; emotional problems should be stressed rather than comfort of
surviving family.

Sexual Overtones
Sexual images were used as eye stoppers. The depth approach introduced sex subtleties and
penetration to deeper levels of consciousness. More subtle and passive sex symbols (fantasy,
poetry, etc.) were adopted.
Get your man themes were outdated. Women want something more to be accepted and
respected by men as partners. Tenderness is introduced in lingerie and hair preparations.
Products have fundamental difference of meaning for men and women. E.g.: in buying a

home men see homes as symbolic mother, a calm place for refuge, solace and comfort.
Women on the other hand see a home as an expression of herself and an extension of her own
personality.
Labels, rectangular in shape are now rounded to make it more feminine. Manufacturers are
changing packaging labels, ad strategies, to come up with reassuring symbols.
1. Motivational Analysis on Food
Motivational studies on the hidden meanings on milk, milk products liquids and softer
foods revealed that milk, psychically loaded food at the subconscious level is a reward
or punishment by the housewife. She conveys affection and warmth is she serves fruit
salad, ice-cream or chocolate milk she uses food as a weapon a technique to punish or
encourage. According to Dr. Dichter ice-cream symbolizes, to many of us, uninhibited
over indulgence. So ice-cream makers should show lavish portions, overflowing,
inviting viewers to sink their mouth right into it. Soup is unconsciously associated
with mans deepest need for nourishment and reassurances.
2. Impulse Buying
It has been reported that seven out of ten purchases are decided in the store on
impulse. Psychologists and advertisers persuade the consumer to buy products they
may not need or want till they see the product presented to them. Package designing
makes or breaks the impulse sale. A good package design can hypnotize woman.
3. Social Status
Persuasive appeals vary for the various social layers. The motivation forces are social
mobility, the aspiration drive, the achievement drive, the translation of economic
goods into socially approved symbols. For some items like silver ware, snob appeal is
the basic motivation. Consumers however talk about durability, craftsmanship, but
actually they want it for prestige and show off value. Manufacturers could sell
products as status symbols through the price tag.
4. Hidden Aversions
Many of the consumers developed hidden resistance based on seemingly unreasoned
prejudice. Motivation research can help bring out the cause of these hidden fears.
Vance Packard writes about the negative image of pruners. It conveyed Direct up and
old, it was associated with a laxative and constipation. After marketing research,
prunes were presented as a new Wonder fruit. The ad showed a cute figure skater
saying, when you feel good, good things happen to you. So start eating prunes today
till you have energy to spare.
Again when first the lung cancer scare started, cigarette manufacturers promoted the use of
holders to trap tars with their filter. But smokers thought people would laugh at them if they
used it and smokers thought it would be too feminine. Dr. Dichter created a new personality
for holder. A rugged sturdy holder was created in masculine brown and blacks. Red, blue
and white were for women. Instant coffee was seen as not used by a good housewife. So

guests were not offered instant coffee. Later the ad campaigns built emotional overtones and
social status into their products.
Another ad showed men at a baseball game happily puffing on their hollered cigarettes. The
ad showed one man smoking a plain cigarette and another using a holder. The copy read Can
you see the difference.

Advertising and Children

Vance Packard characterized children as consumer trainees. Eager minds could be moulded
to want your products. The potency of television in conditioning youngsters to be loyal
enthusiasts of a product began in the 1950. Ads aimed at children not only, as future
consumers, but as ones who lead their parents into the salesroom.
Motivational analysts were called by ad men to provide insights on the most effective way to
achieve as assured strong impact with children. Guide posts given by social research was that
a show can appeal to a child without offering the child amusement or pleasure. It will appeal
is it helps him express his inner tensions and fantasies in a manageable way, if it offers the
child a way to get rid of his fear, anger or befuddlement, the basic pattern of good guys
versus bad men. The good guys were all young men and villains were old men who might be
symbolic or father figures. To children adults are a ruling class against which they cannot
successfully revolt.

The Question of Validity

Probing and manipulating of consumers is based on the findings of motivation analysts. How
valid are their methods? Alfred Politz said depth probing is okay but what is more important
is to interpret the findings. Critics feel that motivation research use interviews not trained in
scientific methods. The motivation researchers oversell themselves. Other feel that those who
attacked motivation research as fake were just as wrong as those who claimed it worked
miracles. Motivation research must be approached with care. Critics say:
It is not correct to assume there is any single or major reason why people buy or not buy.
A lot of other factors enter into decision making. Motivation researchers point out that
the intensity of our subconscious motivational influences has a clear bearing on the
usefulness of a subconscious factor to a manipulator.
Motivation research is not the whole answer.
It is still not an exact science.
Motivation research is still far from an exact science.
Motivation analysts have taken tools from clinical psychiatry and applied them to mass
behavior.
Conclusions drawn about mass behavior on the basis of a small sampling of test results
is likely to be erroneous.
The results depend too much on the intuitiveness and brilliance of the practitioner.
Projective tests are not subject to statistical proof.
Each research expert can look at the same projective test result and come up with
different interpretations.
However believers in motivation research say it is most useful as a starting point. It has an
important place at idea-gathering or hypothesis stage. Even if it sparks one good idea it is
worth it.

The Question of Morality

What does this manipulative attitude do to our society? The users feel if it is good for them, it
is good for nation. Some say it does not matter because the public has become so skeptical of
advertising appeals that its psyche is not damaged by these manipulative appeals. Also some
constructive results have come from explorations into human behavior from motivation
research. Those against it ask - where is the morality in making housewives non-rational and
impulsive? Where is the morality of playing upon hidden weakness and frailties? Where is
the morality of manipulating small children before they are legally responsible? What is the
morality of developing an attitude of wastefulness of natural resources? To take to such
manipulation shows disrespect for the individual personality.
It is conceded however that of we are to have an expanding economy based on mass
consumption / production (we cannot deny the need for mass consumption) and for this
advertising is obviously essential. A strong defense is available against such persuaders. We
can choose not to be persuaded.

Jean Kilbourne Cant Buy My Love

Chapter 1 We are the Product
Millions of dollars are spent on advertising. TV & radio programs are simply fillers for the
space between commercials. Advertising (especially for tobacco & alcohol) are forever
claiming that advertising doesnt influence anyone & that kids smoke and drink beer because
of peer pressure. Jean Kilbourne agrees but she says such pressure is created by advertising.
Advertisers believe that Reach the right bird and the whole flock will follow. Opinion
leaders can influence what their friends eat, drink & wear. Consumers are brain washed, and
easily led. Advertisers themselves describe consumers as sitting ducks & direct marketing is
like dropping a smart bomb with pinpoint accuracy. Young people are got on the web without
any problem. Children are especially vulnerable on the internet, where advertisers manipulate
them, involve their privacy & transfer them into customers without their knowledge. Jean
Kilbourne writes there are as yet no regulations against targeting children online. Advertisers
attract children to websites with games & contests.
Some sites offer prizes to lure children into giving up the email addresses of their friends too.
Not only are children influencing a lot of spending but are also developing an addiction to
consumption. Advertisers spend a great deal on psychological research that will help them
target children more effectively. Advertising is increasingly showing up in our schools. There
are already market-driven educational materials in our schools. Just as children are sold to the
toy and junk food industry, women are sold to the diet industry. Female drinkers are sold to
the alcohol industry. Young people are also an important market for alcohol.
Jean Kilbourne says that womens magazines are often ridiculous. In one magazine they said
that appliances can suddenly burst into flames & cites an example when this happened &
eighty people died. In the same magazine on the back page was an ad on cigarette, a product
that kills over four thousand people year in & year out. Also womens magazine, talks of
health cancer, leukemia & how breast cancer can be fought with a positive attitude. In the
same magazine is a cigarette ad! Jean Kilbourne writes that our ancestors lived for thousands

of years with the young learning ancient hunting methods, oral history, legends around camp
fires. Now they wear Nike instead of moccasins & use power ski mobiles instead of dog
sleds. This change has been brought about by advertising.

Chapter 2 Advertising is our Environment

According to Jean Kilbourne, an average American is exposed to 3000 ads everyday &
spends 3 years of ones life watching YV ads. Today she says, little girls rate super models
high because of their perfect features & skins. Films & TV shows also carry hidden
commercials. Products, brands are shown casually. Consumers are not aware that a lot of
money is paid to these producers to display the brands.
These days, she says that kids dont want to grow up to be athlete, scientists, etc. but want to
be highly leveraged brands. Although advertisers say that ads simply reflect society, it is a
medium of influence & persuasion & its influence is cumulative. She also claims that
advertising is not only our physical environment; it is increasing our spiritual environment as
well. E.g.: Jesus is a brand of jeans See the light (an ad for wool), an enlightening
experience & absolute heaven (power ad). Alcohol ads are with the bottles surrounded by
a halo of light. Advertising co-opts our sacred symbols & sacred language to arouse our
immediate emotional response.
Advertising & religion share a belief in transformation & transcendence. People believed that
we can transform ourselves by hard work & transcend our circumstances. Today we can
transform ourselves by all the material goods advertised & achieve transcendence. The focus
of transformation has shifted from the soul to the mind. Jean Kilbourne says the influence of
advertising goes beyond the target group. The group that cannot afford & thus become
envious even kill to get what they cant buy. Consumers feel that objects will transform their
lives & give them social standing & respect. People who buy goods are buying an Image
most brands are essentially the same but consumer buy because of the image reflected in their
advertising. Liquor is not selling liquor but fantasies. A car is not selling convenience of
travel but prestige. Thus advertising sells a great deal more than product. It sells values,
images, love and success. Jean Kilbourne says advertising corrupts our language.

Chapter 3 The Corruption of Relationship

Advertising promotes a corrupt & bankrupt concept of relationship. Most of us yearn for
intimate & committed relationship that will last. Advertising ties consumers needs with
products & promises us that, things will give us that relationship but it never does. Many ads
seem to be about advertising between a parent & a child, turn out to be glorifying relationship
between the parent & a product e.g.: an ad shows a woman on the telephone & a little girl
behind her touching her hair. The headline says what makes the room cozy. It is an ad for
room freshener. Another ad shows a girl running towards the open arms of a woman. The
copy says open your eyes what is important is right in front of you. It is an ad for a shoe.
Ads have always promised a better relationship via a product. Buy this & you will be loved.
Advertisers say that products dont betray us or abandon us you can love it without getting
your heart broken proclaims a car ad. Another TV ad shows a man snoring in bed. The
woman beside him tosses & turns & hugs a pillow. A female voice says put some excitement
back into your life. What the woman longs for is new sheets.

Chapter 4 Crazy for Cars

Ads encourage us to think of cars as family members. A Mazda ad says Its not a family car,
its a family. In ad after ad we are told that buying a car in like falling in love & getting
married. E.g.: A Lexus ad says we dont sell cars. We merely facilitate love conditions.
Mercedes Benz says buying a car like getting married. Its a good idea to get to know the
family first. Vance Packard tells us that cars are often mens horses. Car ads are funny silly,
exciting, clever & seemingly insignificant. However they have a cumulative direction &
impact. The car in an ad has gone from being a symbol of power to the actual source of
power (the engine that pumps the value in our hearts from a symbol of sex to an actual lover).

Chapter 5 Falling in Love with Food

While men are encouraged to fall in love with their cars, women are invited to fall in love &
romance with the food, its gathering & serving. Food has been advertised as a way for
women both to demonstrate love & insure its reward. E.g.: warms your heart like a hug that
lasts all day. Advertisers offer food as a way to relate romantically & sexually. E.g.: an ad
shows a close up of a womans face smiling very seductively whatever you are giving him
tonight he will enjoy it more with rice. An ad says looking for a light, cheesy relationship?
(Ad for macaroni & cheese). While someone connects passionately with a product human
relationship is trivialized & ignored. Just as alcohol ads teach us that drinking leads to good
times, great sex, athletic success so do food ads associate eating & over eating with only good
thing. The negative consequences are not mentored.
Always in the world of advertising the solution to a problem is a product. Food that is heavily
advertised is seldom nourishing. Food can nourish us & bring us joy; it cannot love us, it
cannot fill us up emotionally. When people use food as a warp to numb painful feeling to
cope with a sense of inner emptiness & a substitute for human relationships. Many end up
with eating problems that can destroy them.

Chapter 6 Cutting Girls to Size

We are more vulnerable to the seductive power of advertising & addiction at adolescence. At
this time they are developing their self concepts, learning values & roles. Advertisers do not
hesitate to take advantage of insecurities & anxieties of young people offering solutions. A
cigarette provides a symbol of independence. A pair of jeans or sneakers conveys status. Even
girls who are raised in loving homes with supportive parents grow up in a toxic cultural
environment at risk for self mutilation, eating disorders & additions reinforced by advertising.
Girls of all ages get the message that they must be flawlessly beautiful & then. The more you
subtract the more you add says an ad for clothing. The search for independence can be a
problem if it leads to a denial of interpersonal relationship. Boys are generally shown in ads
as active while girls are often presented as blank & fragile. Young boys & girls are
surrounded by messages urging them to sexually active. You can learn more about anatomy
after school says an ad on jeans.

Chapter 7 Alcohol & Rebellion

Jean Kilbourne states that the number one drink in America is beer because beer is the drug
of choice for young people. She feels children are at a greatest risk from alcohol than these
other drugs. She adds that alcohol is the leader killer of young people in America (age 15
25) car crash, homicide and suicide. Alcohol is linked with half of the violent crimes,
domestic violence rape & child abuse and addiction. Advertisers aim alcohol ads at kids
because they want to have positive associations with specific brands long before they start to
drink. So ad man broadcast ads on TV during youth viewing hours. The alcohol ads are also
released for young people via magazines with almost half the readers under twenty-one.
The alcohol industry has also developed several new products designed by young people
mixed alcohol with ice-cream, milk, jell, popsicles. Adolescent females are significantly more
at risk for becoming dependent on alcohol than women in older age group. This makes them
target for alcohol advertisers. Advertisers want to appeal to idealized images especially when
the people are young, as courageous rebels and free spirits. The promise that alcohol will
liberate our wild selves is especially seductive for women.
Through advertising and popular culture we get the message that rebellious men are sexy &
desirable but rebellious women are not. Alcohol advertisers want to attract men to the
promise of seduction and sexual adventure and attract women to the promise of release from
inhibitions and societal restraints without frightening women or portraying them as shits.
They often show women as sexual and untamed but not too wild. They imply that drinking
will give a woman some of mans power and privilege without detracting from her feminity.
So they often use male symbols such as cigars, etc.

Chapter 8 Rage and Rebellion in Cigarette Advertising

Of all the lies advertising tell us, the ones told in cigarette ads are the most lethal. The
tobacco industry is in the business if getting children addicted to nicotine, this is because 90%
of the children according to Jean Kilbourne start smoking before they are 18. If you dont
start smoking when you are very young, the chances are you will never start. Almost nothing
good can be said of cigarettes unlike other potentially dangerous products such as alcohol.
There is no such thing as low use. People start smoking and become addicted for many
reasons and no one suggests that tobacco advertising is the primary one. However cigarette
ads target the most vulnerable one.
Research shows an association between exposure to advertising and adolescent smoking
behavior; sudden rises in adolescent smoking coincide with large scale cigarette promotional
campaigns. It is not that the young see an ad and immediately start to smoke but seeing the
ads and handling cigarette packs and promotional gift lessens their resistance weakens their
resolve so later they will somewhat be willing to accept a cigarette when offered. It is clear
that targeted ads do influence the young. Jean Kilbourne had her first cigarette when she was
thirteen. She was lonely and depressed, felt awkward and had very low self esteem. She liked
the way cigarette made her feel high and calm at the same time. She states the she did not
become addicted to cigarettes because of advertising. Cigarettes smoking was constantly
glamorized and assumed to be safe and socially desirable.
Ads claim that smoke fills you up when you feel empty inside. An angry woman is still often
considered to be terribly unfeminine and undesirable. What does one do with all that
suppressed rage? Why not have a cigarette or another piece of cake. Suppressed anger also
plays an important role in alcoholism and in eating disorders. Cigarettes advertisers are aware

that women are likely to use smoking as a way to regulate other moods. A Marlboro ad
features a worried looking baby saying Before you scold me mom may be you better light
up a Marlboro. Girls who are susceptible to addiction are the ones who are the least tough,
most vulnerable, feeling most in need of a tougher image for protection. Cigarette ads offer
smoking to women as a way to control their emotions. Phalli imagery, sexual innuendo is
often used in cigarette ads along with exotic subliminal images.

Chapter 9 Advertising an addictive Mind Set

Long before a girl or a boy picks up a cigarette or beer he or she has been primed by
advertising to except transformation via product. We get seductive and incessant message
from ads product are magical and can fulfill our dreams. The dream begins as soon as you
open the door say a car ad. The landscape of advertising is often deliberately dreamlike.
Food is often offered as a way to enter into a dream world. A yogurt ad claims that the
product will take you to paradise, women are encouraged to reach for food to find peace, and
other products are offered to women as a magical way to transport ourselves into a state of
bliss. Alcohol ads promise a dream world Fairly takes can come true says an alcohol ad.
Countless ads offer a route to paradise itself.
Again and again we are told that products can give us energy, power, sex appeal and
magnetism. Get your hands in the newest source of energy say ad for gloves. Tang its a
kick in the glass. The very language of advertising to children is drug language. Surge, rush,
loaded, blow you mind? The double meaning is not lost on children. Our real life and
relationship is dull; via the products advertised we can escape into a colorful exciting,
endlessly passionate world.
If I drink this I will be sexier, if I smoke I will be calmer & sophisticated. These products will
change me and my life. Advertising depicts that adulthood is a drag, our real life is
monotonous, our relationship is boring and out job meaningless. So ads tell us that we can
escape and get instant gratification. Children get the message that better do the good stuff
now and thus children feel the good stuff is to chase women, stay out all night and party.
Alcohol ads give a choice fun, excitement or monotony without it. Advertising encourages
compulsion, greed and transformation via products. Addiction begins with the hope that
something out these can instantly fill up the emptiness inside. Advertising is all about false
hope.

Chapter 10 Addiction as a Relationship

In alcohol ads the bottle is sometimes shown as a friend of family member, Bring our family
home for the holidays says a beer ad. A vodka ad states The perfect summer guest. A beer
ad uses a bull dog with the slogan Be your own Dog. Cigarettes are shown as friends,
companions. Smoking ads are shown as a facilitator for sexual activity. A cigarette ad shows
two cigarettes touching by the light of the moon with the slogan Moonlight and Romance.
Another ad says Wanted tall, dark stranger for long lasting relationship.
In life there are many loves, but only one Grand passion. A liquor ad shows a couple in a
passionate embrace. Is it the passion for liquor? Jean Kilbourne does not mind when
advertisers exploit people longing for relationship and connection to sell shoes or shampoos
but not to exploit it to sell addictive product. Can the generation gap be bridged (ad for
scotch) Scotch can bridge it. The truth is that it is for more likely to widen gaps between

people than to bridge them. Most often the intimate connection that alcohol ads offer is
sexual experience. Alcohol has long been advertised to men as a way to seduce women. Sex
appeal is the slogan for all ads that features a six pack of beer.
Women are increasingly encouraged to think of the bottle as a lover too. For 15 nights I have
been with Floria never once was it the same (Italian wine ad). Womens bodies in alcohol
are often turned into bottles of alcohol. We drink to feel connected and in the process we
destroy all possibility of real intimacy and end up profoundly isolated.

Chapter 11 Advertising and Violence

Sex in advertising is more often about power than passion, about violence than violin. It
dehumanizes and objectifies women. The poses and posters are borrowed from pornography.
Male violence is encouraged by ads that encourage males to be forceful and dominant to
value sexual intimacy more than emotional intimacy. Men are encouraged by ads that
encouraged to never taking a No. If your date wont listen to reason try a velvet Hammer
(cocktail).
Jean Kilbourne says ads do not directly cause violence but the violent images cause the state
of terror. Advertising helps to create a climate in which certain attitudes and values flourish,
that women are valuable only as objects of mens desire that real men are always sexually
aggressive.

Chapter 12 Redefining Rebellion

All consumers need to get past the belief that there is a fix, an instant solution to every
problem. The basic point of new advertising is that an individual has a need or a problem and
a product can meet or fix it. We need to use the right product and all will be fine. If we are
unhappy we can smoke a cigarette or drink or have an ice cream; if your teeth are rolling use
whitening gel, if you are fat use diet food, etc.
When social problems are mentioned in advertising it is only trivialized scientist predict
global warning. The icy cold six pack of beer is the obvious solution. You know what is
happening to the Ozone says an ad for makeup Imagine what it is doing to your skin. Jean
Kilbourne states that counter advertising can change the environment advertising that gives
honest information and deglamorises products like alcohol or tobacco. It should be fairness
based doctrine. E.g.: The tobacco industry is not your friend.
School should be ad free zones. We should see TV with our children and choose programmes
with care. We should limit our consumption and TV watching instead, take up other activities
like reading, sports, and dramas and start discussion groups with our children. We should start
a Voluntary simplicity movement to save our earth and our souls. She feels democracy is
endangered when information is given for economic gain rather than to educate and enlighten
the public. The main enemy is longer the communist but capitalist threat. It is time to fight
back. Our survival is at state.

Naomi Klein No Logo

Naomi Klein (born May 8, 1970) is a Canadian journalist, author and activist known for her
political analyses and criticism of corporate globalization. Klein spent her teenage years as a
mall rat, obsessed with designer logos. As a child and teenager, she found it "very oppressive
to have a very public feminist mother" and she rejected politics, instead embracing "full-on
consumerism". She credits two crises with changing her outlook. First of all, when she was
17 and preparing for the University of Toronto, her mother had a stroke and became severely
disabled. Naomi, along with her father and brother, took care of Bonnie through the period in
hospital and at home, making educational sacrifices to do so. That year off stopped her "from
being such a brat".
In 2000, Klein published the book No Logo, which for many became a manifesto of the anticorporate globalization movement. In it, she attacks brand-oriented consumer culture by
describing the operations of large corporations. She also accuses several such corporations of
unethically exploiting workers in the world's poorest countries in pursuit of greater profits. In
this book, Klein criticized Nike so severely that Nike published a point-by-point response to
perceived inaccuracies. No Logo became an international bestseller, selling over one million
copies in over 28 languages.
First published by Knopf Canada in January 2000, shortly after the 1999 WTO Ministerial
Conference protests in Seattle had generated media attention around such issues; it became
one of the most influential books about the anti-globalization movement and an international
bestseller. The book focuses on branding, and often makes connections with the antiglobalization movement. Throughout the four parts (No Space, No Choice, No Jobs, and No
Logo), Klein writes about issues such as sweatshops in the Americas and Asia, culture
jamming, corporate censorship, and Reclaim the Streets. She pays special attention to the
deeds and misdeeds of Nike, The Gap, McDonalds, Shell, and Microsoft and their lawyers,
contractors, and advertising agencies. Many of the ideas in Klein's book derive from the
influence of the Situationists, an art/political group founded in the late 1950s. The book is
divided into four sections: No Space, No Choice, No Jobs, and No Logo. The first three deal

with the negative effects of brand-oriented corporate activity, while the fourth discusses
various methods people have taken in order to fight back.

No Space
The book begins by tracing the history of brands. Klein argues that there has been a shift in
the usage of branding. Early examples of brands were often used to put a recognizable face
on factory-produced products. These slowly gave way to the idea of selling lifestyles.
According to Klein, in response to an economic crash in the 1980s, corporations began to
seriously rethink their approach to marketing, and began to target the youth demographic, as
opposed to the baby boomers, which had previously been considered a much more valuable
segment.
The book discusses how brand names such as Nike or Pepsi expanded beyond the mere
products which bore their names, and how these names and logos began to appear
everywhere. As this happened, the brands' obsession with the youth market drove them to
further associate themselves with whatever the youth considered "cool". Along the way, the
brands attempted to have their names associated with everything from movie stars and
athletes to grassroots social movements. Klein argues that large multinational corporations
consider the marketing of a brand name to be more important than the actual manufacture of
products; this theme recurs in the book and Klein suggests that it helps explain the shift to
production in Third World countries in such industries as clothing, footwear, and computer
hardware. This section also looks at ways in which brands have "muscled" their presence into
the school system, and how in doing so, they have pipelined advertisements into the schools,
and have used their position to gather information about the students. Klein argues that this is
part of a trend toward targeting younger and younger consumers.

No Choice
In the second section, Klein discusses how brands use their size and clout to limit the number
of choices available to the public. Whether it is through Wal-Mart's colossal status or
Starbucks' aggressive invasion of a region, the goal is the same. Each of the major brands
wishes to become the dominant force in its respective field. Meanwhile, other corporations,
such as Sony or Disney simply open their own chains of stores, preventing the competition
from even putting their products on the shelves.
This section also discusses the way that corporations merge with one another in order to add
to their ubiquity. On a more sinister note, it allows greater control over their image. ABC
News, for instance, is allegedly under pressure not to air any stories that are overly critical of
Disney, its parent company. Other chains, such as Wal-Mart often threaten to pull various
products off of their shelves, forcing manufacturers and publishers to comply with their
demands. This might mean driving down manufacturing costs, or changing the
artwork/content of things like magazines or albums, so they might better fit with Wal-Mart's
image of family friendliness. Also discussed is the way that corporations abuse copyright
laws in order to silence anyone who might attempt to criticize their brand.

No Jobs
In this section, the book takes a darker tone, and looks at the way in which manufacturing
jobs are being moved from local factories to foreign countries, and particularly to places

known as export processing zones. Within these zones, working conditions are very dire, and
labour laws are all but non-existent. The book then shifts back to North America, where the
lack of manufacturing jobs has led to an influx of work in the service sector, where most of
the jobs are for minimum wage and offer no benefits. The term McJob is introduced, defined
as a job with low wages that do not keep in line with inflation, poor hours, no benefits and
high levels of stress. Meanwhile, the public is being sold the perception that these jobs are
"temporary" employment for students and recent graduates, and therefore need not offer
living wages or benefits.
All of this is set against a backdrop of massive profits and wealth being produced within the
corporate sector. The result is a new generation of employees who have come to resent the
success of the companies they work for. This resentment, along with rising unemployment,
labour abuses abroad, disregard for the environment and the ever increasing presence of
advertising breeds a new disdain for corporations.

No Logo
The final section of the book discusses various movements that have sprung up during the
90s. These include Adbusters magazine and the culture jamming movement, as well as
reclaim the streets, and the McLibel trial. Less radical protests are also discussed, such as the
various movements aimed at putting an end to sweatshop labour.
Klein concludes by contrasting consumerism and citizenship, appropriately opting for the
latter. "When I started this book," she writes, "I honestly didn't know whether I was covering
marginal atomized scenes of resistance or the birth of a potentially broad-based movement.
But as time went on, what I clearly saw was a movement forming before my eyes." As the
Seattle and Washington protests demonstrate, the movement has continued to form.

Criticism
No Logo is copyrighted by Klein and was published by a multinational corporation (a fact
that Klein explicitly points out in the book). However, there are future plans to put the book
under a copyleft license. Additionally, companies have produced goods with a No Logo logo
on them (other than her publications, Klein does not endorse nor profit from these products).
After the book's release, Klein was heavily criticized by the newspaper The Economist,
leading to a broadcast debate with Klein and the magazine's writers, dubbed "No Logo vs.
Pro Logo".
The 2004 book The Rebel Sell (published as Nation of Rebels in the United States), was
heavily critical of No Logo, arguing that turning the attempt to improve the quality of life of
the working class into a fundamentally anti-market ideological and a social image is shallow
and inherently exploitable by the corporations they claim to attack.

Advertising and Children

The world of children has changed a great deal over the last decade. Kids are no longer
passive consumers of brands that they once used to be, but are active seekers and influencers
for a whole range of products affecting their lives. While this is definitely true for products
like chocolates, biscuits, ice-creams for which kids are the direct consumers it is also true for
a whole other range of high-end consumables like packaged food, computers and believe it or
not cars! Kids are active seekers and influencers for a whole range of products affecting
their lives.
Its a given that the new generation of youngsters is an avid consumer of mass media,
especially television. They watch TV with high involvement and more often than not easily
led by what is shown on TV. They are increasingly vocal and influential when it comes to
Brand Choice and Brand Purchase. And this influence spreads to categories which may
not be directly used by kids or products aimed at adult consumption (refrigerators, mobile
phones, air conditioners, etc.) E.g.: salt ads, ads on spices, etc.
Advertisers are making their pitches to more and younger audiences Catch them young
seems to be the motto of the day. Television ads for foods, toys or kitchen products teach
children consumerism. They learn what products are available, what products do, and perhaps
how to compare them. Children learn how an item fits the lifestyle from cartoons, soap
operas and serials. Thus children develop unrealistic ideas of how people live. The variety
and number of products targeted directly at young people have developed incredibility, from
toys and clothes to music, magazines, TV channels and entertainment such as sports and
electronic interactive media. Many companies focusing on children have realized that there is
a need for redefining the generally accepted definition of childhood.
Children are getting older beyond their years, not least due to the dramatic advances in
technology, but there are other aspects that make this target group even more important also
for manufacturer of products traditionally targeted at adults. It is quite evident that todays
generation of children is more computer literate and advertising literate than ever. Equally,

they are more brand literate. Young people have an increasing influence on what their
families purchase. Children are the now generation. They may lack the so called
sophistication of adults; act impulsively and without much rationale. However, advertising
research demonstrates that any message that observes the basics of communicating with
children in their own Language will be registered, even at the very first showing.
Children do make demands on their parents to buy them things whose advertising they have
been exposed to. Actions shoes had introduced kids shoes that had a light fitment which went
on and off as one walked. Not a very persuasive communication but it had children pestering
their parents to buy them that particular pair. Children respond more positively to messages
communicated visually rather than voice message. This is especially true among younger
audiences, even up to the age of 10 or 12. Visual action is closer to their own play experience
where actions speak louder than words. Television is a major form of entertainment. It is
reported that children see almost 20,000 ads a year. Children today are more exposed to
media, are extremely brand as well as image conscious. To children, advertising is TV, when
questioned about advertising, they invariably respond in terms of TV. Also with age, TV
starts playing a more important role in the kids like and the consumption of TV viewing also
increases correspondingly. For most of the kids however, television advertising is an integral
part of the entertainment that television provides.

Effects of Advertising on children

The impact of television on young children has received much attention. Research suggests
that children see television advertising as just another form of programming and react
uncritically to its messages, which makes them especially vulnerable to advertising. Children
clearly have an important role to play in the families purchase decision, but their contribution
varies by product category. It I also reasonable to then say that since brand characteristics are
variable, the impact of advertisements on children must also vary by brand. Advertising
affects children tremendously. Their young impressionable minds are influenced by the
advertisements they are exposed to. This effect can be both positive as well as negative.
All tooth paste ads like Colgate, Pepsodent, etc. inculcate a good habit of brushing the teeth
in the morning and at night before sleeping. They create awareness among the children
regarding the ill effects of germs, weak gums, etc.

The Raymond advertisement

This advertisement shows depressed school student wishing good bye to their principal. Out
of their respect and love for their principal, they buy him a Raymond cut piece. It influences
the kids to give teachers the respect they deserve and love them for the knowledge they
bestow upon us.

Thumps UP Ad
Some years back, there was an advertisement for Thumps Up, which had a man standing at a
cliff and performing bungee jumping just to grab a bottle of Thumps Up from the crates
lying in a truck below. A kid after watching this advertisement attempted a similar feat and
jumped from the fifth floor of a building in imitation only to fall to his death. Due to this
tragic accident, Thumps Up had to withdraw this advertisement.

Kwality Walls
Kwality Walls came with a series of double meaning advertisements with lines like whats
on your stick? and the the big F. It showed a group of girls ragging few guys, where in
extremely rude and vulgar behavior was displayed by the protagonist, with an all the more
vulgar line The Big F. Several parents started complaining because they couldnt handle
questions by their kids as to enquiring what did the letter F stands for!

Clinic Shampoo
The Clinic Shampoo advertisement featured a girl child who is embarrassed because of her
extremely lifeless hair. Is that the age when a kid should be worried about her looks and hair?
Such advertisements make children grow older beyond their years and thus induce wrong
attitudes and beliefs in them.

LG Golden Eye
LG colour TV advertisements showed a kid not going back home from school and standing
outside a TV showroom just to watch TV because at home his mother doesnt allow him to do
the same. The mother is shown extremely tensed and scared with water in her eyes. The
advertisement peddled on the platform of good health and good for eyes. This
advertisement indirectly conveyed that how the kids could watch TV unlimited for long
hours, without spoiling their eyesight. Hence this advertisement influenced the child in a
negative way. Also this was a very unimaginable ground to advertise for Television Sets.

Fair and Lovely Fairness Cream

Harping on the point that fair skin is appreciated and dusky skin not, such advertisements
have created an extremely disappointing influence on adolescent girls. Many adolescent girls
are unduly influenced by this standard of beauty and thus become dissatisfied with their own
natural body colour. They then go out of their way to rectify this and end up landing
themselves in depression and lack of self confidence.

Lizol
A child takes one of the biscuits and considers it as if it is a car, and takes the car (biscuit)
through all possible places in the house. The biscuit passes through the dirty nooks and
corners of the house like on the doormat, the toilet sink, etc. After his drive, the kid
peacefully goes back and places the biscuit with the other biscuits on the plate from which he
had picked it up. This advertisement displays unaccepted behavior of the part of the kid. The
children, ever inquisitive, are intrigued by certain provocative advertisements. Since they
partially understand by the connotation and want to find out more about advertisements of
sanitary napkins and want to find out more about advertisements of sanitary napkins and want
to know why the girls wear skimpy clothes and why their sisters and mothers dont wear
similar type of clothes. These posers from the kids cause great problems for the parents.
The exposure to the violent content of TV programmes affect childrens attitudes behavior.
People flying, turning into monsters, eating weird things coming back from the grave are
fantasies that children have difficulty in distinguishing from reality celebrities have a great

impact on kids. Ads with free gifts make children force their mothers to buy the product even
if it is no use to them. The all out assault on childrens senses and values have escalated
dramatically. Children are the largest and fastest growing market for consumption. Even car
companies know that children influence their parents choice of automobiles, so they pitch
their ads to be attractive to kids.
Kids are becoming incredibly consumerist and influence family spending decisions. Children
now share one thing in common a growing in satiable desire for material goods. However,
there are those who argue that advertising is a part of life and children must learn to deal with
in the consumer socialization process of acquiring the skills needed to function in the market
place. They say the existing restrictions are adequate for controlling childrens advertising.
They argue that adolescents develop skeptical attitudes towards advertising through
interactions with socialization agents such as parents and peers. Market place knowledge,
they claim plays an important role in the children as this knowledge helps them to evaluate
ads and make them recognize the persuasion techniques used by advertisers.

Consumerism Rise of consumerism and need for consumer

awareness
Consumerism is a societal force within the environment, designed to aid and protect the
consumer by exerting legal moral and economic pressure on the business. Consumerism is
thus protection of the interest of consumers. It is advocacy of a high rate of consumption as a
basis for a sound economy. In India, consumerism movement moved at a snails speed despite
the efforts of the consumer guidance society of India. The movement gathered momentum
with the introduction of the Consumer Protection Act (1986) and various self regulatory
measures taken by the industry.
Consumer protection organizations are showing the greatest growth and are active in fighting
fraudulent and deceptive advertising. The impact of the consumer movement gave rise to
consumerism. Consumerism fostered the growth of consumer advocate groups and regulatory
agencies. Ads influence demand. It is here that consumers can be misled. There may be
manufacturing defects or imperfections and shortcomings in the quality and quantity and the
purity of goods or there may be deficiency in the services rendered. For the welfare of the
consumers, the glut of adulterated ad substandard articles in the market has to be checked.
Government introduced many enactments like the Standard Weights and Measures Act, the
Essential Commodities Act, Prevention of Food Adulteration Act, MRTP, and so on, it still
became necessary to protect answers from exploitation and to save consumers from
adulterated and substandard goods and services and to safeguard consumers. Thus, the
government passed the Consumer Protection Act and introduced AGMARK.
The non-governmental initiatives were introduced:
The consumer guidance society was formed to fight consumer exploitation of all
forums. It has introduced product testing in India; it promotes consumer education,
undertakes training programmes. It handles consumer complaints and offers legal
advice and has introduced consumer education in schools.
Grahak Panchayats educate consumers of their rights, keep them to get justice and try
to solve their problems.

The Council for Fair Business Practices by businessmen was formed as they felt the
need to safeguard consumer interest through self-regulation. It makes members to
follow the code of fair business practices. Its main objective is to protect consumers
interest.
CERC (Consumer Education and Research Council) answers consumers questions,
takes action on consumer grievances. It has an independent in-house product testing
laboratory.
The government initiatives are:
The BIS (Bureau of India Standards) is a statutory body laying down standards in
different technologies areas. It is a national agency authorized to operate systems
certification in India.
Customer care services and BPO are also listed as looking after customer problems
and guidance. However there have been a lot of complaints against these customer
care services.

Bureau of Indian Standards (BIS)

The Bureau of Indian Standards, the National Standards Body of India is statutory body set
up Bureau of India Standards Act, 1986. The Bureau is a body corporate and responsible for
laying down guidelines for BIS, it comprises members representing the industry, Consumer
Organizations, Science Research Institutes and Professional Bodies, Technical Institutions,
Central ministries, state government members of parliament. So far over 17,000 standards
have been formulated in different technology areas.
1. Product Certification: The product certification scheme is basically voluntary in
nature and aims at quality, safety and dependability to the ultimate customer.
Conformity is ensured by regular surveillance of the performance by surprise
inspections and testing of samples.
2. Quality Management Systems Certification (ISO 9000): BIS is a national agency
authorized to operate systems certification in India. It has adopted ISO 9000 series of
standards based in international criteria comparable to any other such systems being
operated.
3. EMS Certification: With the growing concern for environment friendly industrial
activity, ISO 14000 standards have been developed. BIS after adoption of these
standards as national standards, has launched EMS (Environment Management
System) Certification.
4. HACCP Certification: BIS launched HACCP (Hazard Analysis Critical Control
Points) based quality certification scheme as per the requirements of ISO 15000
5. .Hallmarking of Gold Jewelry: In order protect consumers against victimization of
irregular gold Hallmarking of gold jewelry was launched under BIS Act 1986.
The bureau has a chain of laboratories located in different parts of the country for conformity
testing of products and samples offered by applicants for grant of license. Modernization of
BIS Laboratories has also been taken up. BIS has formulated a plan which emphasizes on:

Development of complementary level of standardization, namely, company

standardization and association standardization.

Effective implementation of standards through sectoral committees, such as steel,

food, textiles, information technology.
Automobiles and power.
State level committees on standardization and quality system to ensure better
implementations on standards.
Use of India Standards in Legislation.
Greater interaction with public and private sector undertakings.
Bulk public purchased based on standards and standard market products.
Use of standards in education systems.
Intensified media campaign to create awareness.

BIS as founder member of International Organization for Standardization (ISO), continues to

take part in international standardization. BIS has a set up a consumer affected Public
Grievances Department at Headquarters, nominated public Grievance Officers at Regional
and Branch office deal with consumer complaints against BIS services and ISI marked
products. An Enforcement Department is functioning at Headquarters. Complaints on misuse
of Standard Mark are investigated by the Department and appropriate legal action is taken.

The Trademarks Act 1999

The Trade and Merchandise Marks Act, 1958
It had served its purpose and review of the existing law was necessary because of
developments in trading and commercial practices, increasing globalization of trade and
industry, etc. a need for simplification and harmonization of trademark and to give effect to
important judicial decision.
Hence the Trademark Act, 1999 incorporated the following:
1. The registration of trademarks for services in addition to goods.
2. Registration of trademarks which are imitation of well known trademarks not to be
permitted.
3. Simplified procedure for registration with equal rights.
4. Enhancing punishment for the offences relating to trade marks.
5. Appointing an Appellate Board for speedy disposal of appeals.
6. The final authority for registration of certification trademarks to the Registrar instead
of the Central Government.
Certain Draft Rules were published in the exercise of powers given in the Trademarks Act
1999. These Draft Rules were called the Trademarks Rules 2002. These rules give in detail
the explanation of the terms used, along with the procedure for registration of Trademarks
application, about renewal, etc.

The Patents Act 1970

It extends to the whole of India. Person who can apply for patents:
1. Is the first inventor of the invention
2. Is any person being an assignee of the person who claims to be the first invention
3. Is any representative of any deceased person who immediately, before his death was
entitled to make such an application
Application has to be for one invention only and has to be made in the prescribed form and
filed in the patent office. When a provisional application is made, a complete specification
has to be filed within 12 months otherwise the application is deemed to be abandoned. Every
International application under the Patent Co-operation Treaty for a patent may be filed
designating India only if a corresponding application has also to be filed before the Controller
in India. The date of filing in both the places has to be same.
The controller can ask for any details relating to the processing of the application of a patent
outside India:
No resident to apply for patent outside India without prior permission
The controller has the power to decide on matters of infringement if any.

International Organization for Standardization (ISO)

ISO is a non-governmental organization. It is the worlds largest developer and publisher of
International Standards. It is a network of national standards of 163 countries. ISO standards
are voluntary. It has no legal authority to enforce the implementation of its standards. ISO
standards are based in international consumers among. The experts in the field and its
standards are renewed at regular intervals to decide whether. They should be maintained,
updated or withdrawn.
ISO has more than 17,500 international standards. Its programmes range from standards for
traditional activities such as agriculture and construction, mechanical engineering,
manufacturing, distribution to transport, medical devices, and information and
communication technologies to standards for good management practice and for services.
ISO has a close relationship with WTO (World Trade Organization). It collaborates with the
United Nations and its specialized agencies and commissions.

Prohibition of Abuse of Dominance

Dominance means acquisition of significant market power which will enable the enterprise to
increase the price or limit production. The list of abuses is mentioned in the Act. If any
combination (mergers, amalgamation, acquisition of control, shares, etc.) cause or is likely to
cause appreciable adverse effect in competition, it cannot be permitted. The Bill empowers
the CCI to impose a penalty of Rs. 25 crore or imprisonment up to three years or both.
The Bill replaces the MRTP Act
It is not opposed to monopoly but only the abuse of monopoly
It prohibits:
Cartelization
Sharing of territories
Restriction of production and supplies
Collusive bidding and bid-rigging & predatory pricing
The Trade Related Competition Commission of India (TRCCI) replace the MRTP
Commission
Appeal against TRCCI order can be only in the Supreme Court

Consumer Disputes Redressal Forum

CDRF is also known as the consumer court. It has a legal backing and enjoys the powers of a
civil court in many respects. They can punish the party if it does not obey the given orders. It
has 37 sections in the consumer quotation act of which only 3-4 sections are applicable to a
consumer e.g. who is a consumer, the jurisdiction of the particular court, definition goods and
service and the deficiency of goods and services. The lowest court of appeal is the District
Forum then the state commission followed by the National Commission. At the top is the
Supreme Court.
The District Forum judge is the Forums president and is a retired district judge.
The state commission judge is a retired court judge and the one at the National
Commission is a retired Supreme Court Judge.
The District Forum handles disputes of monetary value up to Rs. 5 lakhs.
The state commission handles cases with a monetary value above 5 lakhs and below
20 lakhs.
The National Commission handles cases above Rs. 20 lakhs.

The Indecent Representation of Women (Prohibition) Act 1986

It is an act to prohibit indecent representation of women through ads or publication, writings,
paintings, figures or in any other manner. It extends to the whole of India, except the State of
Jammu and Kashmir. No person shall publish or cause to be published, or arrange to take part
in the publication or exhibition of, any ad which contains indecent representation of women
in any form. It acts in prohibition of publication or sending by post of books, pamphlets,
slide, films, drawing, photographs, etc. containing indecent representation of women. The act
will not apply of the prohibition is proved to be justified on the grounds that such book,
pamphlet, etc. is in the interest of science literature, art or learning.
Any representation sculptured, engraved, painted or otherwise represented on or in:
i.
ii.

Ancient monument
Any temple of any car used in the conveyance of idols or kept or used for religious
purpose

Definitions
1. Advertisement any notice, circular, label, wrapper or other documents, any visible
representation made by sound, smoke or gas.
2. Indecent means depiction in any manner of the figure of a woman in such a way
that is derogatory and or denigrating women, or is likely to deprave, corrupt or injure
the public morality.

Miscellaneous
Central Consumer Protection Councils
1. The central council consists of:
The chairperson who is the minister in charge of the consumers affairs in the
central Government.
Other official & non-official members representing such interest.
2. They meet as and when necessary. At least one meeting has to be held every year.
3. The chairperson decides where the meeting could be held.
4. The objective of the central council is to promote & protect the consumers.
To stop marketing of goods hazardous to like property.
To be informed about the quality, quantity, potency, purity, standard & price of
goods.
The right to be assured and have access to a variety of goods at competitive
prices.
The right to be heard & be assured that consumers interest will receive due
consideration.
The right to seek redressal against unfair trade practices or exploitation.
The right to consumer education.

The State Consumer Protection Council

Same as Central Consumer Protection Disputes redressal, agencies also known as District
forums are set up by the state government.

Consumer Forum Consumer Disputes redressal agencies also known as District forums are
set up by the state government in each district. There may be more than one area district
council in a district if the government thinks it is necessary. The central government can set
up national consumer redressal commission.
Each District forum consists of:
1. The president will be a person who has the qualifications to be a district judge.
2. Two other members are persons of ability, integrity and standing with adequate
knowledge or experience or capacity to deal with problem relating to economics, low,
consumer accountancy industry, public affairs administration, one will be a woman
member.
3. Every appointment will be made by the state government on the recommendation of a
select committee consulting of
a) President of the state commission
b) Secretary, Law department of the state
c) Secretary in-charge of the department dealing with consumers affairs
Every member will hold office for a test of five years or up to the age of 65 years. They
cannot be reappointed. The salary or honorarium, other terms & conditions as may be
prescreened by the state government. They can entertain complaints where the value does not
exceed Rs. 5 lakhs. The complaint will be within the local limits with the opposite party
resides or carries on business with the permission of the district forum. The commission has
the power to award compensation not only for loss or damage but also for injustice,
harassment & agony suffered by consumers. A complaint has to be filed by:
The consumer to whom such goods are sold.
Any recognized consumer association even if the consumer is not a member of the
said association.
Group of consumers.
Central or state government.

Procedure on the receipt of complaint

A copy of complaint is sent to the opposite party asking him to give his version of the case
within 30 days.
The opposition can proceed to settle the consumers dispute in a manner specified.
If a test or analysis of the product is to be made, the sample is taken from the consumers,
& sent for the necessary lest. The reports of these tests are then sent to the district forum
within 55 days. An extended period may be granted if necessary.
The complainant has to deposit such fees as may be specified to the laboratory to carry out
the analysis. The report will be given to the district forum that will send it to the opposite
party with appropriate remarks.
If the opposite party objects to the method of testing or the correctness of the finding, the
opponent has to submit in writing the objection.

Conformot Europeene (CE)

CE is the abbreviation of the French phrase Conformot Europeene which literally means
European Conformity. The CE stamp on a product is a manufacturers declaration that the
product complies with the essential requirements of the relevant European health, safety and
environmental protection legislation. These directives contain the essential requirements
and performance levels and harmonized standards to which products must confirm.
CE markings on a product indicate that the product may be legally placed on the market in
their country. It ensures free movement of the product within the EFTA and European Union
(28 countries). By the CE marking the manufacturer indicates that he takes full responsibility
for the conformity of the product with all requirements set out in the relevant community
legislation.
The visibility, legibility and meaning of the CE marking should not be impaired.
Without the CE marking no sales will be allowed in the European community. The CE
marking makes possible free distribution throughout the EU. It allows access to other
European markets including the former Eastern Bloc. CE certification is being used by
countries outside Europe as a guide to product acceptability. The CE logo must be at least
5mm high. The letters CE are not enough. The logo must not be modified.

Standardization
A standard is a document designed to be used as a rule, guideline, and a repeatable way of
doing something. Standardization involves standardization of practices and process to bring
about product standardization. Standards ensure desirable characteristics of products and
services such as quality, safety, reliability and efficiency at an economical cost.
Standardization:
facilitates trade between countries and make it fairer
ensures good management practices
provides governments with a technical base for health, safety and environmental
legislation and conformity assessment
safeguards consumers of products and services
means suppliers can develop and offer products and services, meeting specifications
that have wide international acceptance; thus businessmen can compete on markets
around the world
for consumers, conformity of products and services to international standards
provides assurances about their quality, safety and reliability
for everyone, international standard contribute
Standards provide a reference trademark or a common language between suppliers
and their customers.

Foundation for Public Interest (FPI)

FPI has named itself CERC (Consumer Education and Research Centre) and registered itself
as a non-political, non-profit public charitable trust. The objective was to create awareness
among consumers about their rights and initiate action that would help them protect them. Be
it a small claim or big, CERC has gone to National Commission, the District Forums and
State Commission. CERC has some of the best lawyers to take on cases.
The primary objective of CERC is to provide consumers quick, cheap and effective remedies
and render justice according to fairness. CERC not only takes recourse to existing law but
also contributes to the amendment of existing laws even developing new laws. The United
Nation has recognized CERC as one of the approved non-government organizations. CERS is
the legal division of CERC.

Relation between Self-regulation, Ethics and Law

Self-regulation in advertising is a voluntary and internal mechanism within the profession. It
is the process to monitor its own standards rather than have an outside, independent agency
such as a government entity to monitor and enforce those standards. Ethics is a bit harder to
define. It has to do with an inherent sense of right and wrong. Ethics refer to well based
standards of right and wrong that prescribe what humans ought to do, usually in terms of
rights, obligations, benefits to society, and fairness. Ethical standards include those that
include virtues of honesty, compassion and loyalty. Ethics create a framework for
determining right verses wrong. They are not absolute rules.
Law is a system of rules, enforced through a set of institutions. It deals with rightness and
wrongness of certain actions. Law also raises important and complex issues regarding

equality, fairness and justice. A law is a government rule, a decree handed by the authorities
to punish those who disobey. Self-regulation, Ethics and Law clearly have different ends. The
purpose of ethics is to make people good.
The purpose of Law on the other hand is to maintain order in society by upholding human
rights and human good. Law is not there to enforce ethics but to make it possible for people
to live ethically. Some say that law has no business or connection with morality at all. All
three Self-regulation, Ethics and Law work for the protection of the interest of the
consumers. Advertising is a social firm where creativity, consumer needs and business
interests meet. All three work towards the well being of society. Advertising requires a
balance between consumers interest, creativity and ethics.
The efforts by Self-Regulation do not often stop malpractices in advertising or the creation of
misleading advertising objectionable ads. However the ASCI, sees to it that these ads are
looked into Ethical issues are complex. It is influenced by the very large background of
tradition & culture. There is no clear consensus on what defines ethical issues. The difficulty
is describing what is obscene advertisement arises as it is subjective and depends on
individual perception. However, if any issue is seen as ethically undesirable by the large
majority, it is looked into and rectified (Baywatch / Beauty contest, etc.).

The main difference between Law and Ethics

Laws come from outside while ethics come from within. If law is ethically beneficial, the
benefits are considerable. Law is rigid; ethical behavior and self-regulation are not. Laws and
ethics may seem similar and interrelated but at times they are way apart. Self-regulation is
basically governing oneself within the bounds of what is legally allowed. It is self control and
self policing. The code for self-regulation is not in competition with law. Its rules and the
machinery through which they are enforced are designed to complement legal controls not to
replace them.

CMM (Capability Maturity Model)

CMM is a method used to develop and refine an organizations software development
process. The model could be applied to other processes and to develop people. CMM is a
model, scale or rating system that helps organization understand, rate and improve business
process. It also helps other companies realize the worth and capability of the rates
organization. A maturity model can be described as a structural collection of elements that
describe certain aspects of maturity in an organization. A maturity model may provide:
A place to start
The benefit of a communitys prior experience
A common language and a shared vision
A framework for prioritizing actions
A way to define what improvements mean for a company
A maturity model can be used as a benchmark for comparison and as an aid to
understanding for comparative assessment of different organizations where there is
something common that can be used as a basis for comparison.
How maturity levels can be measured:

Goals
Commitment
Ability
Measurement
Verification

The different CMM levels are:

1. Initial Level: Here the processes are disorganized and chaotic. Success will depend of
individual efforts.
2. Repeatable Level: The basic project management techniques are established; the
requisite process would have been established, defined and documented.
3. Defined Level: The organization has developed its own standard process through
greater attention to documentation, standardization and integration.
4. Managed Level: An organization monitors and controls its own process through data
collection and analysis.
5. Optimizing Level: Processes are constantly being improved through feedback from
current processes and introducing innovative processes to better serve the
organizations particular needs.
Many India based software outsourcing companies were among the first organizations to
receive the highest CMM rating

Six Sigma
Six Sigma at many organizations simply means 9 measures of quality that strive for near
perfection. It is a disciplined, data driven approach and methodology for eliminating defects
and minimizing variability in manufacturing and business processes. It uses a set of quality
management methods, including statistical methods and creates a special infrastructure of
people within the organization. Six Sigma methodology improves any existing business
process by constantly receiving and returning the process.
The Six Sigma doctrine asserts that:
continues efforts to achieve stable and predictable process results are of vital
importance to business success
manufacturing and business processes have characteristics that can be measured,
analyzed, improved and controlled
achieving sustained quality improvement requires commitment from the entire
organization, particularly from top-level management
Six Sigma has:
1. A clear focus on achieving measurable and quantifiable financial returns from any
project
2. It places increased emphasis on strong and passionate management leadership and
support
3. To lead and implement the Six Sigma approach, a special infrastructure of
Champions, Master Black Belts and Black Belts are initiated
4. Decision making is done on the basis of verifiable data rather than assumptions and
guesswork

Six Sigma projects follow two methodologies:

A. DMAIC for projects aimed at improving an existing business process
B. DMADV for projects aimed at creating new product or process designs
A. DMAIC has five phases:
D Defining the problem
M Measuring the key aspects of current process
A Analyzing the data to verify cause-effect relationship
I Improve and optimize current process
C Control the future state process
B. DMADV also has five phases:
D Define the design goals
M Measure the key aspects of current process
A Analyze, develop and design alternatives
D Design and optimize the design
V Verify the design, set up the pilot runs

Customer Care Centers

Customer Care Centers provide service to customers before, during and after a purchase. It is
a series of activities designed to enhance the level of customer satisfaction. Customer service
is normally an integral part of a companys customer value proposition. It is a front office
Outsourcing and includes customer-related services. It should be a prime consideration for
every business, as sales and profitability depends on keeping customers happy. Customer
Care is a huge solution that man customer care centers outsource companies offer. Most
customers that buy a businesss products and/or services only communicate with the customer
care service of a business call centre. Because a customer care centre can be a first and last
impression that a customer receives it is important to provide the customer with the very best
in service and supper functions.
Customer care centre are those where telephone calls are being handled that may be in bound
(called by customer for getting information in a product) or out bound (the employees of the
customer care centre call people to sell some product or to provide information about some
service.
Complaints against customer care centre:
It is the waiting time that kills. One has to wait hours for someone to take a
customers call.
If you send an e-mail it is ignored.
9 out of 10 are very dissatisfied with the way things are handled.
Reliance Customer Care is filled with incompetent, ill-informed, evil sadistic trolls. After
listening to well over three hours of phone music spread over twenty phone calls, customers
accept defeats:
a. They ask for the name, address, customer ID, put on some music and drop the call
b. Transfer to another executive and made to give the same information all over again

c. A false assurance is given that the problem will be sorted out but no attention is paid
to it

Business Process Outsourcing (BPO)

BPO refers to the arrangement of business functions to some other service providers, mainly
in low cost locations. Business Process Outsourcing is the act of giving a third party the
responsibility of running what would otherwise be an internal system or service, hoping to
achieve cost savings by handing the work to a third party. Outsourcing does not mean
handing over an entire process. The company retains the governance, policy-setting, decision
making and strategy of these processes. The outsourcing is some of the design of non-core
process.
There are three types of BPO:
1. BPO that to perform some business functions in a country other than where the product is
actually done.
2. BPO that is contracted in the same country
3. BPO that is contracted to a neighboring country
There are two categories of BPO:
1. Back office outsourcing: It includes internal business functions such as billing or
purchasing
2. Front office outsourcing: It includes customer related services.
Advantages:
It optimizes business performance to attain value creation
It reduces cost while increasing value
It helps focus on core competence
It makes use of outside expertise
It increases revenue (by concentrating in sales increase and market share)
Disadvantages:
Job losses in the own country
Loss of managerial control
Loss of confidentiality

Prasar Bharati Bill

Prasar Bharati was established in 1997 following a demand that the Government owned
broadcasters in India should be given autonomy. Parliament passed the Act in 1990 but it was
enacted in 1997. The Act established the Broadcasting Corporation of India to be known as
Prasar Bharati. It defined its composition, functions and powers. The Bill introduces Prasar
Bharati as a Public Service Broadcaster whose primary broadcast to the public is socially and
culturally relevant and in public interest and welfare.
The main features of the code are:
1. Ads should be as per the laws enacted to protect the rights of the consumers
2. Ads should not project a derogatory image of women and endanger the safety of
children
3. The programmes should not criticize friendly countries
4. Ads should not attack religions or communities
5. Ads should not be obscene or defamatory
6. Ads should not incite violence
The ad codes are applicable to all TV channels. The provision to allow cable networks to
have adult programmes between 11pm and 6am has been deleted in the amended rules.
Cigarettes, tobacco, alcohol and other intoxicants as well as infant milk substitutes, feeding
bottles and infant foods are prohibited. Doordarshan has made a significant contribution to
accelerate and stimulate scientific tempo.
It strives to carry programmes about issues such as population control, family welfare,
environment and ecological balance, highlighting the need for social welfare measures for
women, children and the less privileged. It has also given importance to sports, artistic and
cultural heritage of the country. In this Bill we see clearly how closely self regulation, ethical
issues and laws are related. Anyone violating the self regulation and ethical issues can be
prosecuted. However with ethical issues the question is who defines public interest and
what exactly is welfare.