The Marketing Process Essay

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Deniaro Brown

When developing financial services marketing strategies, it is essential to appreciate some of the limitations cited in this chapter. However, it is equally imporant to appreciate the ethical dilemmas that these limitations present to the financial services marketer. The abuse of the consumers' inability to process the necessary information when evaluating a financial service is not only unethical, but in certain cases, it may violate regulations and result in legal repercussions. It is therefore essential for a financial services marketer not only to be aware of regulations that govern and restrict their marketing activities, but also to be fully aware of the company policies that may constrain the scope of
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How effective are these channels in practice? What are the roles of internal vs. third-party dispute resolution?

These Consumers protection policies can’t be designed based only on what policymakers think consumers need. They must be grounded in the reality of consumers’ lives, based on solid research that shows how people really act and interact with their financial services, and which provides insights into their vulnerabilities (Rootman, 2010). According to Rootman author of “The Dodd Frank Wall Street Reform and Consumer Protection Act” recent research in behavioral economics has revealed that all types of consumers can behave in certain irrational ways, impacting consumers’ ability to make sound financial decisions.

People are impatient and discount (Asymmetric Discounting) future rewards more when they are asked to delay consumption than when they are offered the chance to accelerate consumption (Harass, 2004). Asymmetric discounting implies that consumers are relatively farsighted when making tradeoffs between rewards at different times in the future, but pursue immediate gratification when it is available (Camerer, 2006). Discounting is most likely to be found for products that involve immediate benefits with delayed cost such as the use of credit cards. People often make errors when choosing and using financial products, and can suffer considerable losses as a result. Using behavioral
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