You work in the marketing department of a U.S. based company that produces bottled water. Your state university just published a report on their year-long study of bottled water, which concluded there is virtually no health advantages in bottled water over tap water. Your company has been working on a campaign strategy focusing on the health benefits of bottled water over tap water. This strategy resulted in a celebrity endorsement and media blitz that cost the company $105,000.00 in time, money and other resources. The CEO does not want to suspend the campaign and start over but rather wants to move forward in launching with social media, TV, radio, and newspaper ads. You decide to present the dilemma to your marketing team so as a team you can address the issues before the campaign launches.

Instructions

Review the situation and conduct scholarly research on consumer protection and advertising. evaluate the particular business situation, the regulatory compliance involved, as well as the benefits and disadvantages of moving forward with such a marketing campaign. Address the following:

• What agency(ies) and regulation(s) govern advertising of consumer products such as bottled water?
• What is the purpose of consumer protection as it relates to truthful advertising?
• What are the consequences for non-compliance with federal and/or state regulations around consumer products and services?
• What recommendations would you offer that comply with regulations and could still promote the product for the company?