104) describe marketing ethics as a dimension of social responsibility that involves principles and standards that delineate satisfactory behavior in marketing. Marketers should be careful and conscious of moral principles for tolerable behavior from numerous stand points such as the industry, company, consumers, society, and exceptional interest groups. When marketing actions diverge from the established principles, the exchange practice can collapse, resulting in consumer frustration, lack of reliance and law suits (Arnold, 2009, p. 113). An ethical issue is an identifiable dilemma that necessitates an organization or individual to decide amongst numerous procedures that must be assessed as wrong or right (Pride & Ferrell, 2011, p. 104). Any time an activity causes marketers or consumers in their target markets to feel manipulated or cheated; a marketing ethical situation exists, despite the legality of the activity. Ethical issues in marketing arise from product, distribution, promotion, and pricing issues.
The concept of segmentation and target marketing has been on the increase in the contemporary world. Market promotion and targeting can generate moral matters in a multiplicity of ways, among them forged and deceptive adverts and controlling sales advertising and targeting a market segment (Moore, 1990, p. 45). Marketers have fragmented consumer markets resulting to increased need for focused target marketing. Despite the role of recognizing and fulfilling customer wants, more target marketing has come with augmented denigration. Though target marketing is widely regarded as the embodiment of marketing conception, it has in certain cases been disparaged as unethical (Smith & Cooper-Martins, 1997, p. 1). Particularly, widespread media focus has been dedicated to the aiming of grown-up customer sections referred as susceptible with manufactured goods mulled over as damaging. This disapproval of targeting has engrossed merchandises such