exam 3 cases

lifelock

claimed it provided absolute protection against ID theft

deceptive claim

$12 million fine paid to customers

National Advertising Division (NAD)

Main group that receives, evaluates, and acts on complaints from the public, from agencies and other business concerns, and from internal staff members

the primary investigative unit of the NARC self regulation program

Toms "One for One"

Airborne

claimed it could cure colds and was deemed deceptive

faced $23 million in fines for false advertising

Volkswagen/Audi

2008-2015 campaign claimed that their diesel cars were "clean" and "environmentally friendly"

unsubstantiated and deceptive

FTC ordered VW to pay owners and leasers $4 billion with up to $40 billion in other fines

Red Bull

claimed it improved concentration and reaction speeds and "gave you wings"

was deemed deceptive and unsubstantiated

$13 million to affected consumers through $10 checks or $15 vouchers

Drumwright and Murphy (2004)

conducted 51 interviews, 29 agencies, 8 cities with varied departments, ages, genders, experience, types/size of agencies, billings

Two types: ethically active versus ethically impaired

walgreens

claimed store brand boosted immunity system

unsubstantiated

6 mil in fines