Business Ethics: Food Companies Adopt New Guidelines for Advertisements Aimed at Children

w-blog-obese

Because concerns about childhood obesity have been in the spotlight for several years now, advertising food to children can be morally questionable. On October 15, the self-regulatory industry group, Advertising Standards Canada, announced changes to the Canadian Children’s Food and Beverage Advertising Initiative. This program places limits on how food and beverage companies promote their products to children. The participants of this program have agreed to do one of two options: not to do any advertising targeted “primarily” at children under the age of twelve or to advertise to children under the age of twelve only if they promote products which are “healthier” (based upon a newly specific set of nutrition criteria). The deadline to comply with the changes will be December 31, 2015 and several companies, including Coca-Cola, McCain Foods, Kraft Canada, and Burger King Canada have signed onto the initiative.

By signing onto this initiative, these companies have proved that business ethics are an important aspect of their overall business model. Children make up at least 35 percent of the audience for these companies that typically market “unhealthy” items. By completely cutting off or limiting advertising to this segment of the target market, many of these companies will be decreasing their overall profitability.  However, as stated by Milton Friedman “The only social responsibility of business is to earn profits while following law and basic ethical custom.” By not promoting unhealthy items to children and attempting to decrease childhood obesity, these companies are being ethically responsible. They acknowledge that although their primary goal is to earn profits, they still have to be morally and socially responsible.

Works Cited

Krashinsky, Susan. “Food Companies Adopt New Guidelines for Ads Aimed at Kids.” The Globe and Mail. 16 Oct. 2014. Web. 8 Nov. 2014.

 

 

 

 

Leave a Reply