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Legal and Ethical Considerations in Marketing, Product Safety, and Intellectual Property

Author: Janet Peter
by Janet Peter
Posted: Nov 16, 2018
intellectual propert
  1. There are numerous issues that relate to the attribute intellectual property, advertising as well as regulations in the contemporary workplaces. All the components of marketing, as well as advertising mix are regulated by the diverse laws along with limitations. The ethical attributes are reliant on the social code as well as the daily morality considering that the discussion relates to the subject of customer loyalty abortion and stem cells. The issues in this assignment result to the invoking of certain serious arguments which prove the fact that there are certainly ethical issues which are to be taken into consideration and that they have to be addressed. These ethical attributes that companies face are in most cases within the attributes of the morals as well as principles of the right and the wrong actions (Davidson, 2002). The study is on the moral accreditations in the context of the attributes that are considered to be right by individuals who are in particular professions. The overall ethical attributes, however, emanate from the attributes of advertising, suppliers, personal selling, contracts, and pricing. The chief ethical components that relate to businesses revolve around the issues of market research, audiences as well as pricing. The common attribute that revolves around the subject of markets research is the fact that it has a high likelihood of invading the consumer privacy. The additional attribute is the fact that there is a high likelihood that the implementation of the research is going to be on the stereotypic attributes, which is unethical conduct. It is imperative that organizations employ the market research as a marketing tool as well as a model of obtaining feedback of their performance (Halbert & Ingulli, 2012). About the issue of selecting the market audience, there are certain attributes that could contribute to the development of unethical precepts. Among the unethical issues that arise during the market, a selection is the fact that it is unethical for organizations to exclude the potential customers in the assessment of the target market. It additionally raises the issue of differentiation of customers in the context of selective marketing as well as targeting the clients who indicate some form of vulnerability. The issues of predatory pricing along with price discrimination encompass the additionally unethical attributes through which businesses can negatively impact the purchasing decisions of their clients. The exploitation of the social paradigms is the additional attribute in which the cultural, as well as ethnic sensitivities can make a certain group find come models of marketing offensive (Lindgreen & Swaen, 2010). Post purchase dissonance is additionally the other ethical attribute that characterizes the contemporary businesses in that the attributed depicted in the advertisements are not what the customer gets from the purchase of the product. An additional unethical issue in the intellectual property encompasses failure to pay the party that innovate a product as a result of the time and research that is committed in the development of the product. It is additionally unethical to offer intellectual property rights to products that have not been passed through adequate research. PharmaCARE does not have the research in the AD23 as well as the fact that it had not passed through the FDA considerations before the marketing of the products, the attributes that make their conduct unethical regarding product safety as regulated by the FDA.
  2. The argument relating to the issue of consumer direct marketing is a tricky issue to argue for as well as against about the fact that although there are the evident demerits to the approach, it also has benefits for the consumers. Direct to consumer marketing encompasses multiple discussions particularly relating to its adoption by the pharmaceutical companies. DTC approach allows the direct marketing of products to customers by pharmaceutical companies. In this case, the companies’ possess the advantage of being in a superior situation for the identification of the patients’ needs in addition to being able to influence their decisions. In support of the Direct-to-Consumer marketing by drug companies, it offers an opportunity for the consumers to be conscious of the drugs that are on the market (Davidson, 2002). The application of the DTC marketing presents an opportunity for the consumers to learn about the side effects the drug may be caused, along with the purposes of the drug regarding the health of the human body. Ensuring that consumers are aware of a drug in the market that help or otherwise harm them either in the short or long run is very significant. The state of affairs, in this case, prove advantageous to the patients in that through the adoption of the DTC, companies will be in a superior state of discussing their products with patients. Additionally, the implementation of the DTC by the pharmaceutical companies supply the patients with the effective information concerning drugs, enabling their clients to possess better skills in the administration of the drugs as well as assisting them to stipulate the accurate use of a drug (Sullivan & She, 2003). Furthermore, DTC present education along with support to the patients about their wellbeing moreover medical care, motivating their clients to take the prescribed drugs.

On the other hand, the use of DTC by pharmaceutical companies reduces the duration that patients take in the implementation of their evaluation. In this case, by the adoption of the DTC, drug companies are rarely motivated to undertake adequate research and consequently evaluate the consequence of their drugs on the patients. The companies fail to conduct due research in evaluating the side effects of their drugs before administering them to the patients. The repercussions of this situation are the fact that it is going to cause significant damages to patient’s health. It is the same case that PharmaCARE is facing. In this case, the company is facing negative consequences because of their drugs as the company was failed to implement adequate research before the administration of their drug (Lindon, 2012). Owing to the direct marketing, patients do not see the need for taking the advice of the doctor involve themselves in self-treatment, an attribute that on most occasions cause major risk to the patient’s life (Sullivan & She, 2003). Because the main rationale for the operation of the pharmaceutical companies it to promote the health as well as the wellbeing of their clients, the possible harms that the model generates makes it and ill-advised marketing strategy and should thus be discouraged. It is thus imperative that the DTC model of marketing be discouraged for all the drug companies as their products have the possibility of impacting a huge population.

3. It is imperatively clear that the state pharmacy boards are going to proceed with the fundamental responsibility of the daily operations of the oversight by the state-licensed pharmacies that compound drugs in tandem with the terms of section 503A of the federal food, drugs as well as Cosmetic Act (FDCA). The organs that are responsible for the regulation of pharmacies under the present authoritarian scheme are a licensed physician, the licensed pharmacist, as well as the outsourcing facilities. The act of combining, Mixing, otherwise modifying a drug to adapt to an individual patient is a dangerous compound of the drug. The act of compounding drugs does not feature under the approvals of the FDA, which specify the assertion that the FDA does not consider the compounding as a safe attribute.

There is, however, an additional classification category whereby the pharmacies are referred to as compounding pharmacies (Noordin, nd). These pharmacies are focused on the distribution of atypical drugs. The pharmacies lay their focus on the production of drugs that have a different dosage for the drugs, which does not feature among the commonly produced drugs. The production of these of drugs is meant to help patients who have special needs. It is imperative that the compound pharmacies be analyzed and consequently licensed to facilitate the maintenance of a standardized drug improvement approach. It is vital in helping to uphold the quality levels along with ensuring their drugs fall within the Food and Drug Administration standards in the context of their inspections, mixing, preparation, packaging, moreover labeling of their drugs. With the objective of ensuring that the avoid FDA did not interrupt their business, PharmaCARE established the CompCARE to operate as their compounding pharmacy and to sell specific formulations to individuals on a direction basis (Halbert & Ingulli, 2012). It is imperative that the parties involved at PharmCARE and the FDA should have undertaken necessary measures to guarantee that product safety measures were implemented prior the release of any prescribed drugs to individuals. It is clear that PharmaCARE is will face legal exposure about its practice. My assertion, in this case, is that PharmaCARE will not be impacted as one would expect. The rationale for the assertion is the fact that PharmaCARE created an auxiliary CompCARE with the sole objective of shielding themselves from the FDA. PharmaCARE failed to specify that CompCARE was going to be an outsourcing facility to avoid inspections by the FDA.

4. PharmaCARE has managed to make use of both the United States and Colberian law to help them protect their intellectual property. The company managed to attain the protection of the US by designing a legal counsel, a strategy that acted to protect the company. The company additionally ensured that the licensing, as well as the subcontracts, encompassed details of the intellectual property language. These attributes made it possible for the company to monitor as well as analyzes all their markers in addition to upholding the due diligence (Lindgreen & Swaen, 2010). The company additionally registered and consequently secured all their trademark, patents and additionally accomplished complete border protection from the US and Colberian governments.

There are various ways in which the company could compensate John as well as the people of Colberia, with one of these ways being regarding the finances. The company pays a $1 a day, which is outright exploitation of the employees. The additionally evident poor living conditions of the individuals implies that the company is causing more pain in the lives of these individuals, thus by paying more will have a huge impact on ensuring that there is the improvement in the living conditions of these people. The additional means that the company can use in repaying John is by developing more manufacturing plants in the region as it would act to provide additional job opportunities for the residents (Noordin, nd). Additionally, the strategy will aid in the reduction of the costs for the individuals and also offer these residents with benefits as dental and medical care. The attribute is going to assist in bringing facilities like water and other social amenities. The other strategy that the company can employ is in assisting the population by offering education opportunities to their people as well as sponsoring the education of the children. The strategy is going to help these residents to construct schools improving the individual skills and thus aiding the nation improves in a huge manner.

  1. One of the recent examples of intellectual property cases relates to the high-tech industry in the US whereby Oracle sued against Rimini Street. In this case, Rimini Street offers Oracle with support service. Oracle argues that Rimini engaged in deception, unfair competition, copyright infringement, unjust enrichment as well as breach of contract and with Oracle. The dispute was heard in Las Vegas District Court, with the court dismissing the arguments by Rimini and found that the claims by Oracle were true. The Court ruled in the favor of Oracle with its claims about Rimini Street and its involvement in the gigantic theft of intellectual property being proved true. The intellectual property theft of Oracle resulted in the loss of its secrets concerning database system, which impacted the company’s profit since the secret programs copied made it impossible for the company to secure their unique product features. In additionally the theft impacted the company’s reputation negatively as the clients developed fear about the protection of their sensitive data that is in the custody of the company.
  2. There are numerous issues that relate to the death of john’s wife. John is one of the individuals who carried out the research on the invention of AD23. Among the issues that resulted in the death is the failure of legal consideration by FDA in towards the regulation of the drugs according to the standards set by the FDA. PharmCARE developed pharmacy product known as CompCARE with the objective of avoiding the scrutiny of the FDA (Noordin, nd). CompCARE was one of the low-cost companies and was administering very low cost for their renovation along with marketing efforts. The company employed direct marketing to the patients along with companies, an attribute that was unethical since compound companies selling products in bulkiness are not permitted to use DTC. In light of the DTC marketing, the company did not have an adequate opportunity to evaluate the reaction of the drug on their consumers. John’s wife is among the heart attack victims after consuming AD23 (Lindon, 2012). The company’s lack of research on the drug, the lack of testing along with evaluation and the consequent greediness for profit is the main explanation for the death of a large number of people who used AD23 including John’s wife.
  3. One of the most important attributes that make an employee risks their life is in becoming a whistleblower in issues that the organization is making profits on and would like kept a secret to avoid the consequences. Additionally, it is common that the politics that arise in the company when one tries to report on a certain illegality in the company can make them lose their jobs. In this case, all the concerned authorities should base their focus in ensuring that John receives a fair treatment from the company and that his welfare is adequately protected. John should additionally be given armed protection considering that he is at the center of the drug that is killing people and the fact that there is a huge liability on the side of the company, some people may say which to harm to ensure that he does not become a witness

References

Davidson, D. K. (2002). The Moral Dimension of Marketing: Essays on Business Ethics. Southwestern Educational.

Halbert, T., & Ingulli, E. (2012). Law and ethics in the business environment. Boston, MA: Cengage Learning.

Lindgreen, A., & Swaen, V. (2010). Corporate social responsibility. International Journal of Management Reviews, 12(1), 1-7.

Lindon, J.L. (2012). Who Regulates Compounding Pharmacies?

Noordin, M. I. (2012). Ethics in Pharmaceutical Issues. Contemporary Issues in Bioethics.

Noordin, M.I. (nd). Ethics in Pharmaceutical Issues.

Sullivan, A., & She, S. (2003). Economics: Principles in Action. New Jersey, NJ: Pearson Prentice Hall.

Sherry Roberts is the author of this paper. A senior editor at MeldaResearch.Com in research paper services if you need a similar paper you can place your order for professional research proposal writing services.

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"Janet Peter is the Managing Director of a globally competitive essay writing company.

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