VELASQUEZ

Business Ethics. Concepts and Cases, 6

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Advertising Death?

In 2004, New York, Illinois, and Maryland possibly to be joined by 30 other states sued
Brown & Williamson Tobacco Co (now part of R. J. Reynolds) for its Kool Mixx hip-hop
promotions (CD-ROMs, DJ contests, hip-hop-themed cigarette packs, free magazines, free
Mixx Stick radios, a website) as targeted at youth in violation of the 1998 tobacco settlement.
Although the settlement prohibits ads aimed at teens, the industry spends each year $5.5 billion
on US ads that teens see. Tobacco companies must get 2 million kids each year to start smoking
before age 18 to replace those who die or quit (90% of smokers start before they are 21, most
before 18). According to Surgeon Generals 2004 report, Health Consequences of Smoking,
cigarettes injure nearly every bodily organ. Smoking kills 440,000 Americans each year and 4
million globally by generating excruciating and deadly cancerous tumors inside the mouth,
lungs, throat, larynx, esophagus, bladder, stomach, cervix, kidney, and pancreas and by causing
emphysema and heart attacks. In the US, annual health-related economic losses total $157
billion. Though lethal and addictive, cigarettes are sold alongside soap, bread, and candy. Joe
Tye, an industry critic, notes: No advertising is more deceptive than that used to sell cigarettes.
Images of independence are used to sell a product that creates profound dependence. Images of
health and vitality are used to sell a product that causes disease and suffering. Images of life are
used to sell a product that causes death. Many studies show advertising increases tobacco sales
and advertising bans reduce smoking up to 16%. Brown & Williamson rejects ad restrictions,
saying they violate free speech, cigarette ads are not deceptive and smokers know the risks which
are on every pack and ad, people have a right to smoke and to have information about cigarette
brands, ads do not make people start smoking or smoke more but only keep smokers from
changing brand, their ads dont target kids, the Kool Mixx promotion is aimed at adults, and
some studies show ad restrictions do not reduce smoking.