Why is truthfulness important in advertising?
Answer and explanation
Correct answer: Because false claims can damage customer trust
Advertising influences customers by providing information about a product, its features, price, performance, or benefits. If an advertisement makes a false or exaggerated claim, customers may make decisions on a misleading basis, suffer loss, and lose confidence in the business. Truthful communication supports informed choice, legal and ethical conduct, and long-term reputation. Therefore, option A gives the correct reason.
Frequently asked questions
What is the correct answer to this question?
Because false claims can damage customer trust
Why is this the correct answer?
Advertising influences customers by providing information about a product, its features, price, performance, or benefits. If an advertisement makes a false or exaggerated claim, customers may make decisions on a misleading basis, suffer loss, and lose confidence in the business. Truthful communication supports informed choice, legal and ethical conduct, and long-term reputation. Therefore, option A gives the correct reason.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: Social Responsibilities of Business and Business Ethics. Topic: Business Ethics.
