Q1 answer
Ambush marketing is a strategy adopted by a company or an advertiser to use an event such as a sporting event to create brand awareness in the market (Scaria, 2008). It is a good move for the advertiser because he or she manages to carry out the activity without incurring any cost for the event. An outstanding example is the sale of music stock during a concert without any notifying the promoters. Another example of ambush marketing is selling insurance policies by an insurance company during a bank open day without the bank's consent.
Q2 Answer
Ambush marketing plays a great role in creating brand awareness of the advertiser. Through using an event to market, a product without any consent makes allows an advertiser to enjoy the advertisement services without suffering any cost. Besides, it is a great advantage to the consumer as it increases competition thus compelling organization to lower the prices of their products (Scaria, 2008).
On the other hand, ambush marketing has various disadvantages. Firstly, it plays a great role in fostering unhealthy competition among organizations. Ambush marketing is unauthorized thus using the tactic leads to the development of unhealthy competition among the competing companies. Besides, they have a negative effect on an event since it reduces the value of that event. Finally, it disadvantages the funding of the event since the ambusher is the one who enjoys the benefits at the cost of the sponsor.
Q3 answer
Bavaria beer was hoping to improve its brand awareness by using ambush marketing. The company wanted to reach many customers through the event and convince them to develop a mutual relationship with the company for future business transactions. The company also wanted to take advantage of the event to advertise its products without suffering any cost thus reducing its cost of operations and gaining customers to its business.
Q4 Answer
Bavaria beer’s ambush marketing was an unethical practice because the company did not seek any consent from the sponsors of the event. The company knew that by using the event, it will enhance awareness of its products without undergoing any cost. Business provisions require companies to use their resources to market their products to foster fair competitive environment. The act could be ethical if the company could have informed the sponsors of the event early in advance to avoid inconveniences.
Q5 Answer
Ambush marketing is an intentional business act since the ambusher is always aware of what he or she is up to without consulting the sponsor of the given activity. The intent of visiting an event and using that event to market your products means that you had already formed mind to enjoy the service without any cost. An ambusher is cunning in that he takes the advantage of the big and valuable event to present his or her products implying that the act is not unintentional (Scaria, 2008).
Q6 Answer
As a leader of an organization, I would not allow the practice of ambush marketing. This is because it is an unethical business activity that is against the good business practices. Business ethics requires businesses to ensure fair competition in the market so as to enhance the efficiency of marketing. However, ambush marketing plays a role in promoting the growth and development of unfair competition among the organizations thus increasing disagreements among the competing organizations. Besides, it disadvantages he sponsor of the activity by reducing the commercial value of an event and losing money without equal compensation from the event.
References
Scaria, A. G. (2008). Ambush marketing: Game within a game. New Delhi: Oxford University Press.
