9-1 Project Three Submission Applying Legal and Ethical Frameworks

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Southern New Hampshire University *

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Jan 9, 2024

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9-1 Project Three Submission Applying Legal and Ethical Frameworks Oussama Mediouni Southern New Hampshire University MBA500 Building Business Leaders Dr. Jason Crawley January 12 th , 2023 1 | P a g e
MEMO To : Don Washington, Director of Marketing, Rewards Membership Alva Ramirez, Director of Sales, Rewards Membership Anne Hernandez, Chief Executive Officer From : Oussama Mediouni Subject : Addressing Legal Team Concerns on Low-Income Marketing and Sales Plan Executive Summary The legal team has raised legal and ethical concerns about the proposed marketing and sales campaign for the loyalty rewards program product line targeting low-income neighborhoods. To address these concerns, changes must be made to the proposal. These changes include conducting market research to ensure that the target demographic is not disproportionately made up of a protected class, avoiding discriminatory language or imagery, and clearly and prominently disclose any terms and conditions associated with the loyalty rewards program Addressing the Two Legal Requirements Based on the memo from the legal department, there are two legal issues that have been identified in the marketing and sales proposal to increase rewards memberships in low-income markets. 1. Truth in advertising: Analysis and recommendations All advertising must be accurate, truthful, and backed by proof, per the legal department's requirements. In particular, the program's advantages must be accurately stated, commercial communication must not be misleading, and the corporation must be able to back up any claims of quality, whether explicit or implicit. The marketing team may address these issues by 2 | P a g e
reviewing all promotional materials to make sure they adhere to these standards by containing particular program information, making accurate representations, emphasizing the program's advantages, and giving proof of these advantages. This is in accordance with requirement 1 , " We need to be precise in making statements about the program’s benefits ." To ensure commercial speech is non-deceptive, per requirement 2 " commercial speech must be non-deceptive ", consider reviewing the messaging and language used in the advertising materials and avoid using any overly persuasive or misleading tactics. As per requirement 3 " Advertisers must be able to substantiate direct or implied superiority claims " to meet the legal requirement, consider carrying out research or testing to support any superiority claims made in the advertising materials. 2. Data collection and privacy: Analysis and recommendations As stated in the memo " We need to ensure we are not collecting any more data than is necessary for contacting customers and shipping merchandise ." The business must focus on only gathering the data that is specific and required for contacting customers such as phone numbers, emails, and addresses when it comes to shipping items. Only then that we'll be in accordance with the CCPA's "minimization" principle. The potential legal ramifications of promoting to teenagers in high school must also be considered. Reaching high school kids safely is essential since they are among our most important clients. Creating an account linked to a parental account, in my opinion, would facilitate the process for both parties. Parents are in the loop and no legal ramifications on our end. The way it would work is, a  parent buys a subscription for their child and links both 3 | P a g e
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