Assignment 4 Bait and Switch

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Assignment #4 – Bait and Switch LEG500 February 26, 2012 Betty drove three hours in one-hundred degree heat. Explain if this fact has any bearing on whether or not the dealer must perform in accordance with the published advertisement The fact that Betty drove three hours in one-hundred degree heat has no bearing on whether or not the dealer must perform in accordance with the published advertisement. It does not matter how many miles or the condition of the weather, the dealer must still stay within the scope of the advertisement. According to the “Federal Trade Commission Act, advertising must be truthful and non-deceptive, advertisers must have evidence to back up their claims, and advertisements cannot be unfair” (Facts for Business). Advertising is just one part a company’s overall marketing plan. This also includes anything from promotional programs, signage, specials and sales, as well as, word of mouth and location. The general goal is reaching the maximum amount of people with maximum amount impact. Due to the usefulness and power of advertising, the FTC has enacted laws directly affecting the manner in which companies can advertise. The FTC addresses this type of advertising as Bait and switch. In Section 5, 12 and 15 there are specific guidelines for businesses to prevent the partaking in this type of deceptive advertising. According to the FTC, “it is illegal to advertise a product when the company has no intention of selling that item, but instead plans to sell a consumer something else, usually at a higher price” (Facts for Business). After seeing the way the salesmen was acting in regards to the advertisement it makes it obvious that the advertisement was placed only to lure customers in. This is made even more obvious by the change in Tony’s mannerism when Betty threatens to bring legal action to the dealership. However,
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