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Lecture Two: Advertising and Consumer Culture

1. Role of Advertising in Society * Does advertising create unnecessary wants? * The primary function of advertisements is to sell products * Publicly addressed to a mass audience widespread social effect * Intended to create desire and a belief that a product will satisfy desire of consumer

1. Economic Role * Making consumers aware of products and services facilitating selling process Expand consumer demand for products Encouraging consumption and fostering economic growth * Helps new competitors enter the market = advances competition, which results in the lowering of prices that consumers pay for goods and services

Effects on Consumer Choice * Differentiation * Brand Loyalty

Effects on Competition * Barriers to entry * Economies of scale

Effects on product costs and prices * Advertising as an expense that increases the cost of products * Increased differentiation

2. Information Role * Commercial Speech must

* Presents information to help consumers make decisions regarding the purchase of products and services * Ads tells us what is new, available, where, when and the price * Tell us about a products (alleged) quality and specifications

3. Entertainment Role * Ads have become an intrinsic part of modern society * Although we may condemn its objectives, as an aesthetic experience we enjoy ads in the same way we enjoy pop culture texts E.g. Very little of the content in soft drink commercials provides info about the products themselves * Soft drink ads do not focus on flavor or quality or unique packaging. They seek to provide consumers with little entertainment breaks

2. Major Advertising Critique Approaches
Does Advertising make people buy things they don’t need?
Does advertising encourage

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