Regulation and Advertising 4
Self-regulation is key to realizing the economic potential of adeveloping country. It applies to the health sector, food industries,advertising, education sector, and professional sports. Wilbur,(2005) indicates that self-regulations are determinants in expressingissues that affects the society, as well as the general growth of anindustry. Therefore, professional ethical ensure sustenance of theconsumer privacy whose violation could emerge through undesirableadvertising.
However, important advertisements are in creating awareness of agiven commodity, and they may pose high risks to consumers. It isbecause come of the advertisements may manipulate consumers throughfalse views pertaining to a given product. To prevent suchsituations, self-regulation serve to reduce risks to customers,ignite public trust and eliminate negative consumers perceptions(Dukes, 2004). North Carolina Corporation (NCC) is an example ofregulatory organizations in U.S whose concern is to enforce standardsfor the food substances supplied to the public. Security OversightCommission (SOC) is another regulatory body that regulates securityindustries and safeguard patents for manufacturing industries inAmerica.
Stuart P. Ingis (2009) argues that self-regulation ensures compliancewith the policies hence protecting the rights of the public. Theprocess has no punitive agendas but transforms what is sensitive anddetrimental from harmful nature to a real nature. This objectiveoccurs through alerting the public on repercussions of utilizing thegiven product. In addition, self-regulation can serve to minimizeinformation unevenness in the market. This purpose is undisputableespecially where the third-party companies are responsible forcomplying with the market standards. It would lead to the creation ofa flexible working environment. Since government policies cut acrossall firms, advertisement regulations will ensure that companiesoperate efficiently and at bargained costs.
Advertising has the potential of increasing demand, competition, andpricing of the commodity. However, most adverts are normallydeceptive. It could mess with the consumers’ financial abilityafter entering commercial transactions. It underlines the importanceof creating regulation policies in economic, social and politicalorganizations (Wilbur, 2005).
Dukes, Anthony J.  “The Advertising Market in a ProductOligopoly.” Journal ofIndustrial Economics, 52, 3.
Stuart P. Ingis, Emilio W. Civitas and Michael A. Signorelli,“Self-Regulatory Principles for Online Behavioral Advertising,”July 2009,http://www.aboutads.info/resource/download/seven-principles-07-01-09.pdf
Wilbur, Kenneth C. , “Modeling the Effects of Advertisement-Avoidance Technology on Advertisement-Supported Media: the Case ofDigital Video Recorders,” mimeo, University of Virginia.