Although unethical marketing behaviors of corporations have been studied and some normative frameworks suggested for judging their ethicality, no research has focused on assessing individual responsibilities of marketing executives for the consequences of their unethical actions. The author identifies major factors that exonerate executive responsibility and those that enhance. He derives ten testable research propositions that constitute the framework for the diagnostic model. The model challenges marketing executives to go beyond legal and attributional responsibilities to appropriational responsibilities of commitment to consumers they serve.
Get full access to this article
View all access options for this article.
References
1.
AchrolRavi S. (1991), “Evolution of the Marketing Organization: New Forms of Turbulent Environments,”Journal of Marketing, 55(October), 77–93.
2.
Alameda Times Star (1986), “Pac Bell Backs Off Selling Lists,” April 16, 3.
3.
ApplegateLynda M., CashJames I.Jr., and MillsQuinn D. (1988), “Information Technology and Tomorrow's Manager,”Harvard Business Review (November-December), 128–36.
ArlowP., and UlrichT. A. (1985), “Business Ethics and Business School Graduates: A Longitudinal Study,”Akron Business Economic Review, 16, 13–17.
6.
BagozziRichard P. (1984), “A Prospectus for Theory Construction in Marketing,”Journal of Marketing, 48(Winter), 11–29.
7.
BakerR.C., DickinsonRoger, and HollanderStanley (1986), “Big Brother 1994: Marketing Data and the IRS,”Journal of Public Policy & Marketing, 5, 227–42.
8.
BartelsRobert (1967), “A Model for Ethics in Marketing,”Journal of Marketing, 31(January), 20–26.
9.
BaumhartRaymond C. (1961), “How Ethical Are Businessmen?”Harvard Business Review, 39(July-August), 6–19, 156–76.
10.
BezoldClem, and OlsonRobert (1986), The Information Millennium: Alternative Futures.Information Industry Association.
11.
BloomPaul N., MilneGeorge R., and AdlerRobert (1994), “Avoiding Misuse of New Information Technologies: Legal and Societal Considerations,”Journal of Marketing, 98(January), 98–110.
12.
BlousteinEdward J. (1964), “Privacy as an Aspect of Human Dignity: An Answer to Dean Prosser,”New York University Law Review, 39, 962–1007.
13.
BoedeckerKarl A., and MorganFred W. (1986), “Intra-Industry Joint Liability: Implications for Marketing,”Journal of Public Policy & Marketing, 8, 161–80.
14.
BommerMichael, ClarenceGrata, GravanderJerry, and TuttleMark (1987), “A Behavior Model of Ethical and Unethical Decision Making,”Journal of Business Ethics, 6, 265–80.
15.
BonhoefferDietrich (1955), Ethics.New York: The Macmillan Company.
16.
BradleyF. H. (1876), “The Vulgar Notion of Responsibility in Connection with Free Will and Determinism,”Ethical Studies.Oxford: Oxford University Press.
17.
BrandeisJustice, and WarrenSamuel (1890), “The Right to Privacy,”Harvard Law Review, 5, 193.
18.
BrennerSteven N., and MolanderEarl A. (1977), “Is the Ethics of Business Executives Changing?”Harvard Business Review, 55, 57–71.
19.
BucklinLouis P., and SenguptaSanjit (1993), “Organizing Successful Co-Marketing Alliances,”Journal of Marketing, 57(April), 32–46.
20.
Business Week (1991), “Breast Implants: What did the Industry Know and When?” (June 10), 94–5, 98.
21.
Business Week (1992a), “Here's What to Do Next, Dow Corning,” (February 24), 33.
22.
Business Week (1992b), “The Best Laid Ethics Program,” (March 3), 67–69.
23.
BuzzellRobert D. (1985), Marketing in an Electronic Age.Boston: Harvard Business School Press.
24.
CarnevaleMary Lou (1992), “FCC Adopts Rules to Curb Telemarketing,”Wall Street Journal (September 18), B1.
25.
CarnevaleMary Lou (1993), “Telemarketers Fight Banning of Autodialers,”Wall Street Journal (January 20), B1.
26.
CarrollArchie B. (1975), “Managerial Ethics: A Post-Watergate View,”Businesss Horizons, 75–80.
27.
CarrollArchie B. (1992), Business and Society: Ethics and Stakeholder Management, 2nd ed. Cincinnati, OH: South-Eastern Publishing Co.
28.
ChonkoLaurence B., and HuntShelby D. (1985), “Ethics and Marketing Management: An Empirical Examination,”Journal of Business Research, 13: 339–59.
29.
ClasenEarl A. (1967), “Marketing Ethics and the Consumer,”Harvard Business Review (January-February), 79–86.
30.
CoeTed L., and CoeBarbara J. (1976), “Marketing Research: the Search for Professionalism,” in Marketing 1776–1976 and Beyond, BernhardtKenneth L., ed. Chicago: American Marketing Association, 257–95.
31.
CohenR. L. (1982), “Perceiving Justice: An Attributional Perspective,” in Equity and Justice in Social Behavior, GreenbergJ., and CohenR. L., eds. New York: Academy Press, 119–60.
32.
CoxKevin F. (1987), “Use of State of the Art Evidence: Confusion, Inconsistency, and Absolute Liability,”Journal of Product Liability, 10, 91–110.
33.
CrawfordMerle C. (1994), New Products Management, 4th ed. Homewood, IL: Richard D. Irwin, Inc.
34.
CresseyD. R., and MooreC. A. (1983), “Managerial Values and Corporate Codes of Ethics,”California Management Review, 25, 53–77.
35.
DeGeorgeRichard R. (1986), Business Ethics, 2nd ed. New York: Macmillan Publishing.
36.
DeGeorgeRichard R. (1990), Business Ethics.New York: Macmillan Publishing Co.
37.
DeGeorgeRichard R. (1995), Business Ethics.Englewood Cliffs, NJ: Prentice-Hall Inc.
38.
DeshpandéRohit, and WebsterFrederick E.Jr. (1989), “Organizational Culture and Marketing: Defining the Research Agenda,”Journal of Marketing, 53(January), 3–16.
39.
DeweyJohn (1925), Theory of Moral Life.New York: Holt, Rinehart and Winston.
40.
DholakiaRuby Roy, JohnsonJean L., Delia BittaAlbert J., and DholakiaNikhilesh (1993), “Decision-Making Time in Organizational Buying Behavior: An Investigation of its Antecedents,”Journal of the Academy of Marketing Science, 21(Fall), 281–92.
41.
Direct Marketing Association (1990a), DMA Government Affairs Compendium Update (January 1–April 30, 1990).
42.
Direct Marketing Association (1990b), Telemarketers’ Guide to State Laws.
43.
DixonD. F. (1982), “The Ethical Component of Marketing: An Eighteenth Century View,”Journal of Macromarketing, 2(Spring), 38–46.
44.
DonaldsonThomas (1982), Corporations and Morality.Englewood Cliffs, NJ: Prentice-Hall Inc.
45.
DruckerPeter (1980), Managing in Turbulent Times.New York: Harper and Row.
46.
DrumwrightMinette E. (1994), “Socially Responsible Organizational Buying: Environmental Concern as a Noneconomic Buying Criterion,”Journal of Marketing, 58(July), 1–20.
47.
DubinskyAlan J., and LevyM. (1985), “Ethics in Retailing: Perceptions of Retail Salespeople,”Journal of the Academy of Marketing Science, 13(Winter), 1–16.
48.
EisenhardtKathleen (1989), “Making Fast Strategic Decisions in High-Velocity Environments,”Academy of Management Journal, 32, 543–76.
49.
FerrellO.C., and GreshamL.G. (1985), “A Contingency Framework for Understanding Ethical Decision Making in Marketing,”Journal of Marketing, 49(Summer), 87–96.
50.
FerrellO.C., and SkinnerSteven J. (1988), “Ethical Behavior and Bureaucratic Structure in Marketing Research Organizations,”Journal of Marketing Research, 25(February), 103–9.
51.
FiskRaymond P. (1982), “Toward a Theoretical Framework for Marketing Ethics,”Southern Marketing Association Proceedings, 255–59.
52.
FordRobert C., and RichardsonWoodrow D. (1994), “Ethical Decision Making: A Review of the Empirical Literature,”Journal of Business Ethics, 13, 205–21.
53.
FoxmanEllen R., and KilcoynePaula (1993), “Information Technology, Marketing Practice, and Consumer Privacy: Ethical Issues,”Journal of Public Policy and Marketing, 12(Spring), 106–19.
54.
FrankenaW. (1963), Ethics.Englewood Cliffs, NJ: Prentice Hall Inc.
55.
FreedmanWarren (1987), The Right to Privacy in the Computer Age.New York: Quorum Books.
56.
FrenchPeter A. (1979), “The Corporation as a Moral Person,”American Philosophical Quarterly, 3, 207–15.
57.
GaneshanShankar (1994), “Determinants of Long Term Orientation in Buyer-Seller Relationships,”Journal of Marketing, 58(April), 1–19.
58.
GiffordJohn B., and MorrisDonald G. (1987), “Ethical Attitudes of Retail Store Managers: A Longitudinal Analysis,”Journal of Retailing, 63(Fall), 298–311.
59.
GlazerRashi (1991), “Marketing in Information-Intensive Environments: Strategic Implications of Knowledge as an Asset,”Journal of Marketing, 55(January), 1–19.
60.
GlazerRashi, and WeissAllen M., (1993), “Marketing in Turbulent Environments: Decision Processes and the Time-Sensitivity of Information,”Journal of Marketing Research, 30(November), 509–21,
61.
GoodpasterKenneth E., and MatthewsJohn B.Jr. (1982), “Can a Corporation have a Conscience?”Harvard Business Review, 60(January-February), 132–41.
62.
GoodwinCathy (1991), “Privacy: Recognition of a Consumer Right,”Journal of Public Policy & Marketing, 10(Spring), 149–66.
63.
GoolsbyJerry R., and HuntShelby D. (1992), “Cognitive Moral Development and Marketing,”Journal of Marketing, 56(January), 55–68.
64.
GundlachGregory T., and MurphyPatrick E. (1993), “Ethical and Legal Foundations of Relational Marketing Exchanges,”Journal of Marketing, 57(October), 35–46.
65.
HeideJan B., and JohnGeorge (1990), “Alliances in Industrial Purchasing: The Determinants of Joint Action in Buyer-Seller Relationships,”Journal of Marketing Research, 27(February), 24–36.
66.
HuberGeorge (1984), “The Nature and Design of Post-Industrial Organizations,”Management Science, 30, 928–51.
67.
HumeDavid (1747/1927), An Enquiry Concerning Human Understanding.Chicago: The Open Court Publishing Company.
68.
HumeScott (1991), “Consumers Target Ire at Data Bases,”Advertising Age, (May 6).
69.
HumeScott (1992), “McD's May Be Fried by Database Rental,”Advertising Age (March 30), 1.
70.
HuntShelby D., and VitellScott (1986), “A General Theory of Marketing Ethics,”Journal of Macromarketing, 6(Spring), 5–16.
71.
HuntShelby D., WoodVan R., and ChonkoLawrence B. (1989), “Corporate Ethical Values and Organizational Commitment in Marketing,”Journal of Marketing, 53(July), 79–90.
72.
HuntShelby D., and Vasquez-ParragaArturo Z. (1993), “Organizational Consequences, Marketing Ethics and Salesforce Supervision,”Journal of Marketing Research, 30(February), 78–90.
73.
JonesMary Gardiner (1991), “Privacy: A Significant Marketing Issue for the 1990s,”Journal of Public Policy & Marketing, 10(Spring), 133–48.
74.
JonesSarah E. (1988), “Rights to Financial Privacy: Emerging Standards of Bank Compliance,”Banking Law Journal (January-February), 37–51.
75.
JonesThomas M. (1991), “Ethical Decision Making by Individuals in Organizations: An Issue-Contingent Model,”Academy of Management Review, 16(2), 366–95.
76.
JonsenAlbert R. (1968), Responsibility in Modern Religious Ethics.Cleveland: Corpus Books.
77.
KantImmanuel (1964), Groundwork of the Metaphysics of Morals.Translated by H.J. Patton. New York: Harper and Row.
78.
KleinThomas A. (1977), Social Costs and Benefits of Business.Englewood Cliffs, NJ: Prentice-Hall, Inc.
79.
KoehnDarryl (1992), “Toward an Ethic of Exchange,”Business Ethics Quarterly, 2 (July), 341–55.
80.
KohlbergL., and TurielE. (1973), Moralization: the Cognitive Development Approach.New York: Holt, Rinehart and Winston.
81.
LaczniakGene R. (1983), “Framework for Analyzing Marketing Ethics,”Journal of Macromarketing (Spring), 7–18.
82.
LaczniakGene R., and MurphyPatrick E. (1993), Ethical Marketing Decisions: The Higher Road.Boston: Allyn and Bacon.
83.
LeighJames H., MurphyPatrick E., and EnisBen M. (1989), “Perceived Societal Benefits of Selected Product Classes: A Test of Product Differentiation Framework,”Journal of Macromarketing, 9(2), 44–54.
84.
LevinP. Doran (1994), “Dow Corning Taking $415 Million Charge: On the Fourth Quarter Earnings,”New York Times, January 15, 19.
85.
LonnerganBernard J. F. (1957/1970), Insight: A Study of Human Understanding, 3rd ed. New York: Philosophical Library.
86.
LysonskiS, SingerAlan, and WilemonD. (1989), “Coping with Uncertainty and Boundary Spanning in the Product Manager's Role,”Journal of Consumer Marketing, 6(Spring), 33–44.
87.
Marketing News (1986), “1984 AMA Code of Ethics for Marketers,”18 (December 5), 6.
MarxKarl (1930), Capital.Translated by Eden and Cedar Paul, London: Dent & Son.
90.
MayoMichael A., and MarksLawrence J. (1990), “An Empirical Investigation of a General Ethical Theory of Marketing Ethics,”Journal of the Academy of Marketing Science, 18(Spring), 163–71.
91.
McCrohanKevin F. (1989), “Information Technology, Privacy, and the Public Good,”Journal of Public Policy & Marketing, 8, 265–78.
92.
MillJohn S. (1867), An Examination of Sir Hamilton's Philosophy.London: Longmans, Green.
93.
MillerMichael W. (1990), “Coming Soon to Your Local Video Store: Big Brother,”WSJ (December 26), 12.
94.
MillerMichael W. (1991a), “Six States Sue TRW Over Credit-Reporting Practices,”WSJ (July 10), B1.
95.
MillerMichael W. (1991b), “Lotus is likely to abandon Consumer Data Project,”WSJ (January 23), B1.
96.
MillerMichael W. (1991c), “Firms Peddle Information from Driver's Licenses,”WSJ (November 25), B1.
97.
MillerMichael W. (1991d), “As Phone Technology Swiftly Advances, Fears Grow They'll Have Your Number,”WSJ (December 13), B1.
98.
MillerMichael W. (1992a), “Patients’ Records are Treasure Trove for Budding Industry,”WSJ (February 27), A1.
99.
MillerMichael W. (1992b), “Tech Talk: An On-Line Discussion of the Risks of the Computer Revolution,”WSJ (April 6), R12.
100.
MorganFred W. (1982), “Marketing and Product Liability: A Review and Update,”Journal of Marketing, 46(Summer), 69–78.
101.
MorganFred W., and HuntShelby D. (1994), “The Commitment Trust Theory of Relationship Marketing,”Journal of Marketing, 58(July), 20–39.
102.
MurphyPatrick E. (1988), “Implementing Business Ethics,”Journal of Business Ethics, 7(December), 907–15.
103.
MurphyPatrick E., EnisBen M., and LeighJames H. (1987), “Attitudes toward Product Differentiation: A Social Utility Perspective,”Journal of Public Policy & Marketing, 6, 142–56.
104.
New York Times (1992a), “Top Manufacturer of Gel Implants Replaces its Chief,” (February 11), 1.
105.
New York Times (1992b), “Reorganization at Dow Corning Surprises Experts,” (February 11), 8.
106.
BellPacific (1988), Response to the Intelligent Network report 1988.
107.
PattersonJames M. (1966), “What Are the Social and Ethical Responsibilities of Marketing Executives?”Journal of Marketing, 30, 12–15.
108.
PeckRobert S. (1984), “Extending the Constitutional Right to Privacy in the New Technological Age,”Hofstra Law Review, 12(Summer), 893–912.
109.
RaddingAlan (1991), “Consumers Worry Halts Data Bases,”Advertising Age (February 11), 28.
110.
ReganPriscilla M. (1988), “From Paper Dossiers to Electronic Dossiers: Gaps in the Privacy Act of 1974,”Office: Technology and People (March), 279–96.
111.
RensbergerBoyce (1994), “Two Tests in 1970's on Breast Implants Indicated Immune System Harm; Released Yesterday, Study Shows More Risks than Acknowledged: 1975 DCC Reports,”Washington Post (April 8), A3.
112.
RestJames R. (1979), Development in Judging Moral Issues.Minneapolis: University of Minnesota Press.
113.
RobinDonald P., and ReidenbachEric E. (1993), “Searching for a Place to Stand: Toward a Workable Ethical Philosophy for Marketing,”Journal of Public Policy & Marketing, 12 (Spring), 97–105.
114.
RoseJeffrey J. (1992), “Technology Pits Privacy vs. Information Age,”San Diego Union (June 7), A1.
115.
SabaterGilbert (1982), “Professional Standards Committee Comes to Grips with Issues of Marketing Ethics,”Marketing News, (September 3), 3.
116.
SagerJeffrey, FutrellC., and VaradarajanR. (1989), “Exploring Salesperson Turnover,”Journal of Business Research, 18, 303–26.
117.
SartreJean-Paul (1956), Being and Nothingness.New York: Philosophical Library.
118.
SchwartzJohn (1994), “Breast Implants Fund Grows to $3 Billion: DCC, Bristol Myers Squibb, Baxter Healthcare Co. Contribute to Settlement Plans,”Washington Post (February 15), A1.
119.
ShaverK. G. (1985), The Attribution of Blame.New York: Springer-Verlag.
120.
SheffetMary J. (1983), “Market Share Liability: A New Doctrine of Causation in Product Liability,”Journal of Marketing, 47(Winter), 35–43.
121.
SimitisSpiros (1987), “Reviewing Privacy in an Information Society,”University of Pennsylvania Law Review, 135(March), 707–46.
122.
SinghJagdip (1993), “Boundary Role Ambiguity: Facets, Determinants, and Impacts,”Journal of Marketing, 57(April), 11–32.
123.
SinghJagdip, and RhoadsGary K. (1991), “Boundary Role Ambiguity in Marketing Positions: Scale Development and Validation,”Journal of Marketing Research, 28(August), 328–38.
124.
SinghJagdip, GoolsbyJerry R., and RhoadsGary K. (1994), “Behavioral and Psychological Consequences of Boundary Spanning: Burnout for Customer Service Representatives,”Journal of Marketing Research, 31(November), 558–69.
125.
SinghapakdiAnusorn, and VitellScott J. (1991), “Research Note: Selected Background Factors Influencing Marketers’ Deontological Norms,”Journal of the Academy of Marketing Science, 19(Winter), 37–42.
126.
SmithAdam (1776/1976), An Inquiry into the Nature and Causes of the Wealth of Nations, RaphaelD. D., and MacfieA. L., eds. Oxford: Clarendon Press.
127.
SobczynskiAnne (1986), “Direct Marketing: Right to Privacy May Be Barrier to Business,”Advertising Age, (March 6), 15–16.
128.
SpiegelmanArthur (1992), “American Express Agrees to Tell Cardholders About Profile Data,”Boston Globe (May 14), 39.
129.
SurteesLawrence (1992), “Telephone Privacy Gets Hard Look,”Toronto Globe and Mail (June 30), B3.
130.
TeasKenneth (1983), “Supervisory Behavior, Role Stress, and Job Satisfaction of Industrial Salespeople,”Journal of Marketing Research, 20(February), 84–91.
131.
TrevinoLinda Klebe (1986), “Ethical Decision Making in Organizations: A Person-Situation Interactionist Model,”Academy of Management Review, 11, 601–17.
132.
TsalikisJohn, and FritzscheDavid J. (1989), “Business Ethics: A Literature Review with a Focus on Marketing Ethics,”Journal of Business Ethics, 8, 695–743.
133.
VaradarajanP. Rajan, and RajaratnamDaniel (1986), “Symbiotic Marketing Revisited,”Journal of Marketing, 50(January), 7–17.
134.
VelasquezManuel G. (1983), “Why Corporations Are Not Morally Responsible for Anything They Do,”Business and Professional Ethics Journal, 2, 1–18.
135.
VitellScott J., RallapalliKumar C., and SinghapakdiAnusorn (1993), “Marketing Norms: The Influence of Personal Moral Philosophies and Organizational Ethical Culture,”Journal of the Academy of Marketing Science, 21(Fall), 331–38.
136.
Wall Street Journal (WSJ) (1991a), “FDA Warns Dow Corning About Implants,” (December 3), B1.
WSJ (1992a), “FDA Seeks Halt in Breast Implants Made of Silicone,” (January 7), A12.
139.
WSJ (1992b), “Corning, Dow Chemical Are Sued by an Investor,” (January 20), B3.
140.
WSJ (1992c), “FDA's Moratorium on Breast Implants Prompts a Lawsuit,” (February 7), B5A.
141.
WSJ (1992d), “Dow Corning Corporation Agrees to the Release of More Data on Breast Implant Safety,” (February 10), A8.
142.
WSJ (1992e), “Dow Corning Makes Changes in Top Post,” (February 11), A3, A4.
143.
WSJ (1992f), “Management Shake-Up at Dow Corning Signals a More Conciliatory Attitude,” (February 12), A3, A6.
144.
WSJ (1992g), “Dow Corning Keeps Implants Data from Public, Despite Vow of Openness,” (February) 18, A1.
145.
WSJ (1992h), “FDA Group Votes to Allow Use of Implants,” (February 21), A3, A16.
146.
WSJ (1992i), “Breast Implants Still Being Sold Outside the U.S.,” (March 5), B1, B5.
147.
WSJ (1992j), “Dow Corning Discloses it Has Insurance of $250 Million to Cover Possible Claims,” (March 9), B6.
148.
WSJ (1992k), “Banks Could Limit Dow Corning Credit if Implant Legal Costs Hit $400 Million,” (March 11), B7.
149.
WSJ (1992l), “Informed Consent? Plastic Surgeons Had Warnings on Product Safety of Silicone Implants,” (March 12), A1, A4.
150.
WSJ (1992m), “How the Standard Safety Reviews for Implants Fell Through the Cracks,” (March 12), A4.
151.
Washington Post (1991), “A Blockbuster of a Debate About Privacy; Blockbuster Entertainment May Sell Customer Information from its Database on Film Rentals,” (January 1), E1.
152.
WeberMax (1958/1904), The Protestant Ethic and the Spirit of Capitalism.New York: Charles Scribner's Sons.
153.
WeissAllen M., and HeideJan B. (1993), “The Nature of Organizational Search in High-Technology Markets,”Journal of Marketing Research, 30(May), 220–33.
154.
WhitebeckCaroline (1992), “The Trouble with Dilemmas: Rethinking Applied Ethics,”Professional Ethics, 1(1 & 2), 119–42.
155.
WikeVictoria S. (1987), “The Role of Happiness in Kant's Groundwork,”The Journal of Value Inquiry, 21(1), 73–78.
156.
WilkeJohn R. (1991), “Lotus Product Spurs Fears about Privacy,”Wall Street Journal (January 5), B1, B5.
157.
WilliamsOliver F., and MurphyPatrick E. (1991), “The Ethics of Virtue: A Moral Theory of Marketing,”Journal of Macromarketing, 10, 19–29.
158.
WoodDonna J. (1991), “Corporate Social Performance Revisited,”The Academy of Management Review, 16(4), 691–718.
159.
Zey-FerrellMary, and FerrellO.C. (1982), “Role-set Configuration and Opportunities as Predictors of Unethical Behavior in Organizations,”Human Relations, 587–604.
