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FTC Disclosure Gudelines

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Focus on the FTC disclosure guidelines and why every business should have a social/digital media marketing policy.

Explain what the FTC disclosure guidelines are about and why they are important to any business, whether for-profit, nonprofit, government, faith-based, educational, etc.

The FTC has said that "disclosure must be clear and conspicuous." Explain what the FTC means by "clear and conspicuous" and include examples.

The FTC has said that disclosures should be, "...placed in a location that users would normally pay attention." Explain what that means.

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Solution Summary

FTC disclosure guidelines are discussed in a structured manner in this response. The related references are also provided.

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Businesses should have a social/ digital media marketing policy because such a policy will guide employees and other stakeholders, convey to them the behavior expected of them, and the business can be confident in its employees' online presence. Businesses also need to have a social/ digital media marketing policy because will help maintain the firm's brand identity across social media, quickly responds to a social media crisis and is a direct approach to the personal social profile of employees. In addition, the business encourages employees to be brand ambassadors. The policies clarify the role of different stakeholders, provide accurate responses to PR matters, and keep the interaction within the law.

The FTC guidelines are based on the FTC Act. This act disallows deceptive or unfair advertising. The guidelines have the purpose that the advertising must tell the truth and should not mislead consumers. There are two situations in which consumers can be misled, ...

Solution provided by:
Hatim Baxamusa, MBA
Education
  • BSc , University of Calcutta
  • MBA, Eastern Institute for Integrated Learning in Management
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