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Chapter 1
MARKETING TECHNOLOGY APPLE AND ADOBE: THE CLASH WITH FLASH
Apple devices —iPods, iPhones, and iPads— are very popular. But, where
What happened to Flash? We are referring to Adobe Flash, the multimedia platform that supports
almost 75% of the animations and the flow of video and audio on the Internet, and that the devices
Apple does not accept it. Many buyers were disappointed after paying hundreds.
of dollars on their elegant iPads only to realize that they could not use their
favorite Internet game or watch a funny video on their device. And they still can't
do it, even with the second generation device, the iPad2. It seems that, to the late
founder and CEO of Apple, Steve Jobs, did not like the Flash platform and that's why the
Apple devices do not provide it. Instead, developers of
applications must conform to Apple's operating system and the applications
Existing ones on the Web must be converted to HTML5 for playback in a product
Apple. The co-founders of Adobe say that Apple is 'undermining the next'
chapter of the Web" and bloggers exclaim that this is not just a "problem between
Apple and Adobe, but a problem between Apple and the world.
1.Does Apple seem to adopt the concept of marketing? (AACSB:
Communication; Reflective Thinking, Technology.
Yes, Apple seems to adopt the concept of marketing in its approach towards Adobe.
Flash. In this case, Apple has taken a strategic position where it has
decided not to admit Adobe Flash on its devices, such as iPhones, iPads and
iPods. This decision has been based on a marketing strategy that drives the
exclusivity of its ecosystem and its own technology, instead of relying on
a third-party platform like Adobe Flash. The company has communicated
clearly his position and has defended his decision before his clients and the public
in general. This shows how Apple uses communication and strategy to
influence the perception of their products and differentiate themselves in the market.
2. Investigate the controversy surrounding this issue and debate whether
Apple did the right thing for its customers by not including the omnipresent
Adobe Flash software in its products. (AACSB: Communication;
Reflective Thinking
In favor of Apple:
Security and stability: Apple argues that Adobe Flash was prone to
security vulnerabilities and often caused crashes on devices,
what negatively affected the user experience.
Performance: The HTML5 technology that Apple promoted as an alternative to
Flash offered better performance and energy efficiency on iOS devices.
Control: Apple wanted to maintain greater control over its ecosystem and its
user experience, which was not possible with Flash.
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Against Apple:
Compatibility limitations: The lack of support for Flash prevented the
users access a large amount of existing web content in that
moment, including games and videos.
Exclusivity: By not allowing Flash, Apple was limiting users to its
own ecosystem and forcing them to use often more restrictive alternatives.
Inconvenience for developers: The transition of applications and content
Flash to HTML5 took time and effort, which annoyed many developers.
and companies that had invested in the Flash platform.
ETHICS OF MARKETING THE SALE OF A PRODUCT THAT Harms
HEALTH
Sixty years ago, about 45% of Americans smoked cigarettes, but
now the smoking rate is below 20%. This reduction is the result of
awareness of the potential dangers that smoking poses to health and of the
marketing restrictions for this product. Although smoking rates are
decreasing in most developed countries, more and more consumers in
the countries in development such how Russia
In China, they exhale puffs of smoke. The smoking rates in some countries
reach 40%. Developing countries account for more than 70% of consumption
tobacco world and marketers fuel this growth. Most of these
countries do not have the restrictions that prevail in developed countries, such as
as alert labels and restrictions for advertising and distribution. In
consequently, predictions are that one billion people worldwide
will die in this century due to smoking-related illnesses.
1.Given the enormous health risks, should marketers stop
selling cigarettes, even if it is legal and in demand from the
consumers?
Ethics in marketing is an important topic that involves moral decisions.
and social responsibility on the part of companies and marketers. In the
case of the marketing of products that harm health, such as the
cigarettes, there are arguments both in favor and against continuing
selling them:
Argument in favor of stopping the sale of cigarettes: Given that cigarettes are
scientifically proven to cause serious diseases, such as the
lung cancer and cardiovascular diseases, some would argue that
marketers have the ethical responsibility to stop selling products
that harm people's health. Even though it is legal and there is demand
from the consumers' side, it could be argued that public health and the
the general welfare of society must prevail over benefits
economic.
Argument against stopping cigarette sales: On the other hand, some
they could argue that marketers have the responsibility to
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provide consumers with complete and accurate information about the risks
for health associated with smoking. They would also argue that the
adults have the right to make their own informed decisions and that the
the prohibition of cigarette sales could lead to the black market. However,
this argument is based on the premise that consumers are
completely aware of the risks and that they are not being manipulated
for misleading marketing practices.
If cigarette marketers know that certain marketing tactics
they are restricted in one country must continue to use them in other countries
where such restrictions do not exist? (AACSB: Communication; Ethical
Reasoning).
Regarding the question of whether cigarette marketers should continue
using restricted marketing tactics in countries where such do not exist
restrictions, this poses an ethical dilemma. Some might argue that the
companies must respect ethical and public health standards in all
countries in which they operate, regardless of legal restrictions
locales. Others might argue that companies have the responsibility to
comply with local laws and regulations, as long as they do not violate
fundamental ethical principles.
2. Investigate the history of cigarette marketing in the United States
United. Are there new restrictions regarding the marketing of this
product? (AACSB: Communication; Reflective Thinking)
History of cigarette marketing in the United States:
The marketing of cigarettes in the United States has undergone changes
significant over the years due to the growing knowledge of the
health risks associated with smoking. Some important milestones
include:
In the 1950s and 1960s, scientific evidence began to spread about
the dangers of smoking, including reports linking tobacco with
lung cancer and other diseases. This led to a growing awareness
public about the risks of tobacco.
In 1965, the United States Congress approved the Tobacco Control Act
public health, which required warnings on the labels of the packages
cigarettes and banned tobacco advertising in electronic media and on the radio.
In 1998, a historic agreement was reached between the tobacco industry and several
states of the U.S. to offset related healthcare costs
with smoking and establishing additional restrictions on advertising and
tobacco promotion.
In the following decades, restrictions have been implemented.
additional to the marketing of cigarettes, including the ban on smoking
in enclosed public places and stricter regulations on advertising in
points of sale.
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These restrictions and regulations have contributed to the decrease in rates.
of smokers in the United States. However, it is important to highlight that the
marketing strategies are still used by tobacco companies in
other countries where regulations may be less strict, which poses
ethical and public health challenges at the international level.
Chapter 2
MARKETING TECHNOLOGY EVERYTHING IS IN THE CLOUD
Cloud computing is the future and Apple is helping to shape the future.
Apple's iCloud service allows users of Apple devices to store music,
videos, images, and books on Apple servers. No more synchronization of
device with computers or cumbersome transfers to iPods, iPhones, and iPads,
because users will be able to access all their collections from anywhere
device. That is because nothing will be
stored on the user's devices; everything will be in the 'cloud'. For 25 dollars a year,
users will be able to remotely access copies of their songs that will work
on any computer and on any Apple mobile device (although it does not
they will not be able to sync with any other mobile device such as a Blackberry or a tablet
with Android operating system). Apple is facing directly
Amazon.com and Google, whose similar services require the tedious loading of
files by the clients.
1. Explain which strategy of the product/market expansion matrix
is Apple following by introducing the iCloud service? How is it
differentiating Apple its new product from those offered by its
competitors? (AACSB: Communication; Reflective Thinking).
2. Carry out a SWOT analysis of Apple, identifying the factors that
they will likely influence whether the iCloud service succeeds.
Communication; Reflective Thinking
ETHICS OF MARKETING TONING SHOES
Due to the fact that 64% of women in the United States are overweight or obese and
less than half of them participate in physical activities regularly, the
marketers of athletic shoes invented some: 'toning shoes'. The
marketers promote these shoes as revolutionary: you can tone
your muscles, lose weight and improve your posture just by wearing them while
carry out sus activities daily.
The statements are based on studies sponsored by the manufacturers of the
shoes, and the Podiatric Medical Association agrees that shoes
tonifiers have certain value for health. Supposedly the magic happens because
the shoes destabilize a person's walk, causing the muscles
work harder with their legs. Consumers, especially women, are
buying the idea. Sales of toning shoes from Sketchers, Reebok, and others
manufacturers are through the roof. However, there are those who claim that a shoe that
bring an instruction brochure and an educational DVD to explain the proper use
should be waving caution flags to consumers. Some doctors
They say that shoes are dangerous, that they can cause sprains to the tendon of
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Achilles or something worse (a user fractured an ankle while wearing them). A
The American Council on Exercise study found no benefit in the use of the
toning shoes compared to regular walking or...
do another type of exercise. It is remarkable that Nike has remained aloof from this
madness, as he thinks it is pure advertising. However, this
a leading company in the women's shoe market is losing market share
market against its competitors.
1.Should the manufacturers of these shoes capitalize on consumers?
who want to be in shape without having to work to achieve that goal?
Do you think it is ethical to base your claims on research?
paid by the manufacturing company? Explain. (AACSB: Communication;
Ethical Reasoning
2.Should Nike have entered this product category instead of
cede their market share to their competitors? Explain (AACSB:
Communication; Ethical Reasoning
Chapter 3
ELECTRIC CAR MARKETING TECHNOLOGY
If you thought getting 21 kilometers per liter while driving a Toyota Prius hybrid
It was good, what do you think of 97 kilometers per liter? Or 153 kilometers per liter? Well,
You are about to see a new generation of cars from major manufacturers.
and small ones that boast this level of performance. In 2010, I looked for the GM Volt and
the Nissan Leaf, but there will also be offers from unknown companies that are starting
such how V-Vehicle, a
electric car company based in California backed by the
multimillionaire T. Boone Pickens. These cars range from hybrids - a
combination of gas and electricity— to fully electric vehicles. Without
However, this level of performance comes at a high price. Although consumers
they will receive a tax credit of 7,500 dollars for buying one of these
automobiles, the price expected del Volt of 40 000 dollars
it will still cause a surprise when seeing the label. In addition, the lack of public stations
recharging poses a significant challenge, especially for electric vehicles
like the Leaf, which needs to be recharged every 160 kilometers. And some might
question the efficiency statements, especially since the Environmental
The Protection Agency is still finalizing the methodology that considers electricity.
used when making statements in terms of kilometers per liter.
What factors in the marketing environment present opportunities or
threats to automobile manufacturers?
Reflective Thinking.
2.Will it be possible for a car manufacturer that is just starting out, like V-
Vehicle, compete with major manufacturers like Ford, GM, Chrysler,
Toyota, Honda, Nissan, Volvo, Hyundai, BMW and Mercedes? What factors in
Will the marketing environment allow or inhibit new competitors?
(AACSB: Comunicación; Pensamiento Reflexivo).
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ETHICS OF MARKETING SMALL MARKETS
You may have heard about medical procedures in the
heart procedures such as angioplasty and stents (prostheses in a blood vessel) that are
are routinely carried out in adults. But such procedures, artifacts and
heart medications are not available for babies and children despite
that almost 40,000 children are born each year in the United States with defects of
hearts that often require repairs. This is a life or death situation
for many young patients, and doctors must improvise using devices
designed for and tested on adults. For example, doctors use a balloon to
adult kidney in a baby's heart because it is the right size for the valve
aorta of a newborn. However, this device is not approved for performing
this operation. Why aren't the devices also designed for children?
specific drugs for the multibillion-dollar cardiovascular market? It is a
Economic issue — this segment of young consumers is too much
small. A very important cardiologist attributes the discrepancy to a "difference in the
profitability" between the children's market and the much more profitable adult market for the
treatment of heart diseases. Although this might make sense for the
companies from an economic point of view, offers little comfort to the parents of
these little patients.
Analyze the environmental forces acting on medical devices and
about the pharmaceutical companies that prevent them from meeting the
needs of the children's market segment. Is it wrong that these
companies do not meet the needs of this segment? (AACSB:
Communication; Reflective Thinking; Ethical Reasoning.
2.Suggest some solutions to this problem.
Reflective Thinking.
Chapter 4
EWA Bespoke Communications Marketing Technology
In 1996, Marks & Spencer (M&S), the venerable British retailer, launched 'lunchtogo',
an online corporate food and beverage service (see www.lunchtogo-e.com/).
But M&S found it difficult to develop long-term relationships with corporate clients.
due to the high turnover of staff within organizations. Therefore
so, he turned to EWA Bespoke Communications, a company that uses mining of
data to "tell more about your customers." EWA used a modeling propensity
to develop the Critical Delay formula, which identified customers whose last
The order varied from its expected behavior. EWA then developed a system.
automated to send communications to customers who had not reordered in the
maximum allowable delay determined by the formula. Considering that the
the majority of customers received email, the system highlights the best
corporate food clients of M&S who need to receive more phone calls
customized due to their value and importance. EWA has also implemented
Information systems to improve the company's service. Learn more about their
clients god fruits inside of a
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In a short period, the EWA system generated more than 1 million euros, tripling the revenue.
of the operation and delivering an almost perfect accuracy rate.
1. Visit
EWA Bespoke Communications atwww.ewa.ltd.uk/to obtain more
information about your customer insights services and the types
from analyses conducted by this company. What is the propensity of
modeling? Review other case studies from this website and write a
brief report on how data mining technology was used to
obtain customer information. (AACSB: Communication; Use of IT).
2.Describe how other organizations can benefit from these types
of data mining analysis. Find examples of companies that
can offer such analyses to companies. (AACSB: Communication;
Reflective Thinking
MARKETING ETHICS FOLLOWING CONSUMERS ONLINE
Advertisers are hungry for customer and industry information.
electronic tracking is responding to the call by collecting
data on consumer behavior on the Internet. A recent investigation
conducted by the Wall Street Journal found that the 50 most popular websites
The United States installed more than 3,000 tracking files on the computer.
used in the study. The total was even higher for the 50 most popular sites with
children and adolescents (4,123 tracking files). Many sites installed more than
100 tracking tools each during the tests. The tools of
tracking includes files that are installed on users' devices and on the
websites. You probably know about cookies, small files
located on your computer that contain information. The new technologies, such
as Webbeacons (also known as Web bugs, tracking bugs,
pixel tags and transparent GIFs), are invisible graphic files placed on
websites and in emails and that, when combined with cookies,
they can say a lot about the user. For example, beacons can indicate to a
marketer if a page is visualized and for how long,
they can even indicate if you read the email sent to you. Such tracking
has become aggressive to the point that keystrokes can be
analyzed in search of clues about a person and the 'flash cookies' can
reappear after a user deletes them. Although the data do not identify the
users by name, companies can build consumer profiles that
include demographic, geographic, and lifestyle information. Marketers
they use this information to target online ads.
Critics claim that online tracking infringes on
consumer privacy rights. Should marketers
to have access to that information? Discuss the advantages and
disadvantages of this activity for marketers and the
consumers. (AACSB: Communication; Ethical Reasoning).
2.Visit the Network Advertising Initiative website at www
networkadvertising.org/ to learn more about behavioral
targeting and the efforts of the advertising industry to provide to the
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empower consumers to protect their online privacy. Click
in 'Consumer Opt-out'. How many active cookies have been installed
in the team you are using? After learning more from this
website, analyze whether it is more or less likely that you will allow the
companies collect data about their behavior on the Internet.
(AACSB: Communication; Reflective Thinking)