Creative Advertising Agency has been asked to help its largest client improve its corporate image after a highly publicized product recall. The client requests a television advertisement highlighting the company's generous donation of products to low-income families.

The only such donation the company has made, however, is a donation of the recalled products. The account executive fears promoting the donation could cause further consumer backlash, but the client continues to press for the spot

Questions

1. Should Creative Advertising meet the client's expectations (i.e., create the promotional spot) or risk losing the account? Explain your reasoning.

2. What does the AMA Statement of Ethics say about truth in advertising? Go to www.marketingpower.com and review the code. Then, write a brief paragraph describing how the AMA Statement of Ethics relates to this issue.