also keeps up with the times. Camels combination of a classic nature and contemporary flair
reinforce the brands position as a flavorful cigarette with a rich heritage, a colorful personality and
irreverent sense of humor.22 This brand personality is consistent with a strategy of attracting youth to
cigarettes by positioning them as an initiation into adulthood. Cigarette manufacturers have long been
aware of the fact that the key to attracting youth is to show cigarettes as among the illicit pleasures of
drinking alcohol, smoking marijuana and having sex. Coincidentally, these are the same traits that
would best describe Joe Camels suave appearance. Further proof of Camel s strategy of targeting
teenagers has been documented in tobacco industry internal letters. To Ensure Increased and Longerterm Growth for the Camel Filter, the Brand Must Increase Its Share Penetration Among the 14-24
Age Group Which Have a New Set of More Liberal Values and Which Represent Tomorrow s
Cigarette Business.23 Aiming tobacco advertising at children places a burden on them because if they
are influenced by the advertising, they will likely be drawn toward a highly addictive and deadly
product.
Cigarette advertising reaches children as young as three. In one study, six year olds were
as familiar with Joe Camel as Mickey Mouse. Other studies have found that Joe Camel
appeals more to kids than adults.
Children were most aware of the cigarette brands that are most frequently associated with
sponsored sporting events on TV.
Nine year old children are receiving the positive message from cigarette advertisements at
the age when they are most likely to try their first cigarette.
The most commonly remembered brands by 11 year olds are the most heavily advertised.
In one study, a third of the 10- and 11-year-olds and more than half of the secondary
school children were able to name cigarette brands and sponsored sports.
Advertising campaigns targeted at older teenagers and young adults are likely to present
qualities which younger teenagers find attractive.
Teenagers consume the cigarettes that most dominate sports sponsorship.
The great fallacy promoted by the industry is that by avoiding marketing that is childish, they
are somehow avoiding an appeal to children. In fact, advertising to children and teenagers
works precisely because it identifies smoking with adulthood. The teenage years are a time of
great aspiration and insecurity, smoking can become a badge or signifier of certain positive
values - these are remorselessly nurtured by tobacco industry marketing.
The Lies
Big tobacco has increased its revenues and consumer-base through the use of highly deceptive and
misleading marketing campaigns. While they have not outwardly lied in every instance, the industry
has time and time again construed truths into self-fulfilling ends. In an attempt to gain a positive
public image, a tobacco company once gave $125 thousand worth of food to a charity, according to
an estimate by the Wall 5
Street Journal. Then, they spent well over $21 million telling people about it.24 Additionally, In
1997, a tobacco CEO said that if it was proven to his satisfaction that cigarettes cause cancer, he d
probably shut (the company) down immediately to get a better hold on things. Their Web site now
admits that cigarettes cause cancer, but theyre still open for business.25 Acts such as these highlight
the very prevalent actions by these companies to cloud consumers minds with deceitful information
and then act in ways that satisfy only their bottom line. In a seven-year racketeering lawsuit against
the tobacco industry, which ended on August 17, 2006, U.S. District Judge Gladys Kessler imposed a
requirement for tobacco companies to make corrective statements concerning their products. In
accordance to her ruling, the defendants must discontinue the use of the terms, low tar, light,
ultra light, mild, and natural in regards to any of their products in the absence of there being any
significant health benefits associated with them.26 Judge Kessler went on to say about tobacco
companies that, They distorted the truth about low tar and light cigarettes so as to discourage
smokers from quitting.They suppressed research. They destroyed documents. They manipulated the
use of nicotine so as to increase and perpetuate addiction. While Kessler s ruling is a step toward
curbing tobacco marketing, it is almost fact that Big Tobacco will continue with its deceitful marketing
tactics, its manipulation of truths, and its outward lies to the public.
The ethical dimensions of marketing practice can be evaluated based on three main
components: the intent of the action, the means or methods adopted by which the
practice is implemented, and the end or consequences of the strategy or tactic (Laczniak
& Murphy, 2006, p.161). The intention refers to what marketers want to happen, the
means refers to how they carry out the action, and the consequences refer to what actually
happens. These components are portrayed in the conventional marketing ethics
frameworks known as virtue ethics (motives), deontology (means), and utilitarianism
(ends). By analysing Indonesian tobacco marketing practice against these frameworks
separately, this paper can provide an insight how the current practice might be perceived.
This approach hopefully can inspire tobacco manufacturers or regulators to focus not
only on the outcomes but also the process of how they make a decision.
employees at Philip Morris is their jobs and thereby also their source of income.
Employees who have worked for a long time in the business will be skilled for exactly
their job at Philip Morris hence; it might be difficult to find a similar job. In return for
their work efforts they expect security, benefits, payment and fulfilling employment by
Philip Morris (Freeman 2010: 25). Phil-ip Morris has stated on its website that in 2010
the average time of service amongst its employees were eighteen years and that
furthermore, are employees rewarded with benefits and the opportunity to attend
leadership programs (Philip Morris USA 2012g).
The customers and suppliers of Philip Morris exchange resources for the products and
services of the firm, and in return receive the benefits of the products and services
(Freeman 2010: 25). For Philip Morris it is important to have suppliers who are
committed to making the business better and therefore, Philip Morris is cooperating with
several different suppliers to get new ideas among other things (Philip Morris USA
2011h).
The shareholders, or financiers as they are called by Freeman (2010: 24), of Philip Morris
are expecting to get some financial return as they have invested money in the
organization in the form of bonds, stocks etc. and thereby they have a financial stake in
the organization (Freeman 2010: 24). Finally, the communities in which Philip Morris
operates need to be taken into consideration as communities allow the organization to
build establishments, and in return the communities will benefit from Philip Morris both
on the economic field in the form of taxes and dues, but also in the form of social
donations. Estab-lishing a business in a welcoming community makes it easier to create
value for its stakeholder groups as the atmosphere around the business will be more
positive. It is expected by businesses organizations to be good corporate citizens and a
business should never bring a community into contact with any kind of risky behavior for
example in the form of environmental impacts et cetera (Freeman 2010: 25).
One of the secondary stakeholders of Philip Morris is the media, which is also as an
external stakehold-er. As a tobacco company operating under strict restrictions, the media
is important for Philip Morris as media coverage can influence its market position and the
brand name. Getting negative press coverage can be harmful to the brand name whereas
positive media coverage, for example portraying Philip Mor-ris as a social responsible
business, can help create a positive reputation around the tobacco company and its brand
name. However, it can be argued that bad press coverage is better than no press coverage,
but that discussion will not be entered as it is outside the scope of this report. Having a
positive reputa-tion around the business may in the long run lead to attracting new
customers or investors which in the end will result in profit for the shareholders. Philip
Morris communicates with investors, media, elect-ed officials, community leaders,
public health professionals, scientists and other members of the public who are interested
in tobacco issues. We also monitor news reports, attend conferences, survey public
opinion and use other means to stay informed about emerging trends and views of our
business. (Philip Morris 2011c). Interacting with these internal stakeholders gives Philip
Morris USA the possibility to step in when concerns or problems emerge amongst its
stakeholders.
Philip Morris is involved with its stakeholder in different ways, as can be read in the 2010
Corporate Responsibility Report (Appendix A) where some of the stakeholder initiatives
are listed. To mention a few examples of the initiatives for the internal stakeholders in the
section Sustainable Agriculture (Appendix A: 34) it can be read that issues on safety for
the tobacco growers have been expanded in 2010 moreover, in the section Supply Chain
Responsibility (Appendix A: 35) it can be read that an event with workshops led by
suppliers was hosted focusing on CSR. In addition, with the purpose of doing business
Philip Morris arranged for employees to meet with retailers, growers, suppliers and consumers over the age of twenty-one.
Philip Morris emphasizes the importance of interaction with its several stakeholders and
from what it learns from the engagement that is put into operation in four main points
(Philip Morris USA 2011c):
identify and manage emerging issues
inform our business processes, including our annual strategic planning and risk
management processes, and other decision making
continue our efforts to align with society
build a better understanding of Altria Group and its companies.
Engagement with stakeholders needs to be well-balanced and a business should try to
operate with re-spect to all of them in trying to avoid a potential stakeholder conflict from
emerge (Appendix C: 44). One way to prevent a potential stakeholder conflict is by
communicating to the different stakeholder groups to get an understanding of what
stakeholder wants, needs and expect and this understand of the stakeholders can then be
used by management when taking decisions that have impacts on its stakehold-ers.
It can be assumed that Philip Morris is involved in stakeholder engagement to try and
differentiate from its competitors. Focusing on value creation for its stakeholders might
spread around and as research has showed that consumers are willing to switch brands to
business organizations that are social responsible (David 2005: 7).
What are possible alternatives?
Philip Morris Anti-Youth-Smoking Television Ads
A recent study found that Philip Morris new anti-youth-smoking ads were less effective
than those already being used in California, Massachusetts, Arizona and Florida in their
statewide tobacco prevention programs. More specifically, the study found that:
Ads that graphically, dramatically, and emotionally portray the serious negative
consequences of smoking were consistently rated highest by respondents in terms of
making them stop and think about not using tobacco. But the Philip Morris ads said
little or nothing about negative health consequences from smoking.
Ads that focused on the choice theme (i.e., be yourself, you can choose whether to
smoke), such as those run by Philip Morris, were consistently rated lowest.6
If Philip Morris really wanted to reduce youth smoking, it is clear that the company could
Deontology
For deontologists, ethics is grounded in notions of duty and it follows from this that some acts are
morally obligatory, regardless of their consequences (Somerville & Wood, 2008, p.146). The
deontologists position is about doing what is right, with individual well-being as the most important
element of every decision (Schlegelmilch, 2001). The golden rule, do unto others as you would have
them do to you applies in this position. Deontologists argue that certain moral principles known as
natural law such as honesty, promise keeping, fairness, loyalty, rights (to safety, justice, etc),
responsibility, compassion, respect and loyalty, are binding, regardless of the consequences of the
actions (Trevino & Nelson, 2011). Deontology holds that an action is ethical if it is suitable to become
a universal law (Ferrel et al., 2013). Unlike the utilitarian view, deontology believes that certain
(harmful) actions should not be undertaken, even to maximise utility. Moreover, it also emphasises
that certain actions are inherently right and the determination of this rightness focuses on the
individual actors, not on society (Ferrel et al., 2013).
The cigarette is the only legally available product that, when used as directed, can harm or injure
others (Snell, 2005). Nicotine, the most active ingredient in tobacco, has been found to be
physiologically and psychologically addictive, in a similar way to heroin and cocaine (rather than
shopping, chocolate or using the Internet). Because of this addictive agent, the majority of smokers
become strongly dependent on nicotine and find it difficult to quit cigarettes (Bates & Rowell, 1998).
As tobacco is a harmful product, deontologists may perceive any activity which encourages the use of
tobacco to be morally wrong. In this respect, for deontologists, tobacco marketing is an unethical
practice.
Tobacco advertising, promotion and sponsorship are permitted in Indonesia with few restrictions. The
new regulations imply that tobacco advertisements should not show cigarettes, cigarette packs, or the
use of cigarettes or tobacco (Tobacco-free Kids, 2011). But tobacco marketers have been creative in
sidestepping these restrictions, by endorsing the themes of fun, youthfulness, modernity, and
togetherness in their advertisements, all of which may be attractive to young people. However, these
advertising messages can be perceived as deceptive as they do not endorse the danger of cigarettes to
their audiences.
For instance, in 2011 Sampoerna (owned by Phillip Morris International) used an advertising slogan
Dying is better than leaving a friend. Sampoerna is a cool friend. This message implicitly suggests
that dying is better than leaving (i.e. not smoking) Sampoerna cigarettes. In 2012 a TV advertisement
for Dunhill Mild (owned by British American Tobacco) portrayed a male model spear-fishing before
cooking up his catch with his fashionable friends while the voiceover declares it is time to discover
what fine taste is all about. This advertisement implicitly encourages the audience to discover the
fine taste of 6Dunhill Mild. More recently, in 2013 Indonesian tobacco giant PT Djarum (owned by
British American Tobacco), promoted its popular brand of L.A. Lights cigarettes with the provocative
slogan DONT QUIT and Lets Do It! (Tobacco-free kids 2013).
These examples can be categorised as deceptive, because the advertisements glamorise the temporary
pleasure customers get from smoking but say nothing about the products well-known danger to health.
Hackley notes that the increasing persuasiveness of advertising campaigns can lead to a general
distrust in organisational communication (Hackley et al., 2008). However, the continuing rise of
tobacco related deaths in Indonesia suggests that no such distrust of advertising communications is
emerging in Indonesia. For a deontologist, to continue to use clearly effective communications to sell
a deadly product is unethical. Finally, we must add that the hidden messages in these advertisements
conflicts with the notion of virtue ethics, which emphasises the importance of traits such as integrity,
fairness, trust, respect, and empathy in marketing practice (Murphy, 1999).
CONCLUSION
The aim of this paper has been to evaluate tobacco marketing practice in Indonesia based on the
conventional marketing ethics theories: utilitarianism, deontology, and virtue ethics. The utilitarian
perspective, although opening up further questions for debate, implies that cessation of tobacco
marketing would damage the countrys economy, and thus the standard of living of the entire
population. Contrary to this, only a minority of the population are affected by tobacco related
illnesses. However, it is precisely this harmful characteristic that leads deontologists to perceive
tobacco marketing as an unethical practice. Virtue ethics, which focuses on the intention of actors,
may imply that tobacco marketers have a professional responsibility to generate profit for their
companies. However, the aggressiveness of tobacco marketing activities is not consistent with virtue
ethics, which emphasises moderation and avoidance of excesses. Furthermore, the themes of fun,
youthfulness, modernity, and togetherness which are endorsed in tobacco advertisements can be seen
as a deceptive practice. In addition, the use of marketing communications such as sponsorship of
music and sporting events and oversize billboards which are accessible to children may call into
question the assertion that tobacco companies are not deliberately targeting young potential smokers.
Based on the ethical evaluation of tobacco marketing practice in Indonesia, we suggest that current
practices are against the principles of deontology and virtue ethics. Although the utilitarian perspective
indicates that banning tobacco marketing can damage the countrys economy, one should never forget
the fact that tobacco is a harmful product by nature, even if it is used as directed.
young smokers as a Marlboro Man: If I was responsible for making one person smoke,
maybe I can be responsible for making two of them quit.29 Appearing in an antismoking television spot shortly before his death, Mr. McLarens image as a Marlborosmoking cowboy was contrasted with that of him in his hospital bed. His 6
brother provided the voice over which shed light on the independent lifestyle promoted
by the tobacco companies. Lying there with all those tubes in you, how independent can
you really be?