Advertising is designed to lure potential customers by make something attractive, desired or needed. Advertising has its basis and motivation. In the video the newspaper ad advertising a pickup truck for eleven thousand, three hundred, and ninety nine dollars lured Betty to the dealership. Betty drove three hours to the car dealership to get three thousand for her used pickup truck and to purchase the pickup truck advertised in the ad Ads are not offers but invitations for offers. Customers such as Betty are baited by advertising for a product at a low price. Betty discovers that the pickup truck advertised in the newspaper ad is not available and is switched to higher price ...view middle of the document...
Betty should have asked over the phone the chance of the truck seen in the advertisement still being available once she arrived. “Advertisements that contain representations that are false, misleading, or deceptive are illegal under state and federal laws” (False Advertising, No Date). The Federal Trade Commission (FTC) is the federal agency that monitors false advertising practices. The fact that Betty drove three hours in one hundred degree heat is not important to the FTC. Proof that the ad actually harmed anyone is not important and the intentions of Rally Motors are irrelevant as long as the advertisement is not misleading.
When Tony said over the phone “three thousand dollars firm,” explain whether or not he was making an offer that, if accepted, would bind the dealership in contract.
When Tony said over the phone “three thousand dollars firm” Tony was making an offer that was accepted by Betty that bonded the dealership in contract. “An offer is an expression of a willingness to contract on certain terms, made with the intentions that it shall become binding as soon as it is accepted by the person whom it is addressed, the offeree” (Contracts Law, No Date).
Tony, the offeror, has made an offer to Betty, the offeree, over the phone through the use of verbal contract stating three thousand dollars for her used pickup truck. Betty drove to the dealership accepting Tony’s offer for her pickup truck. Tony has lured Betty to the car dealership by offering he would give her three thousand dollars, which he never intended to do. Tony did not say, he had to see the car first, the service department has to look it over, or I need my manager approval first. Tony has used the sales tactic bait and switch. The bait is the published advertisement and the promise of three thousand dollars for the trade-in of Betty’s truck. Once Betty has arrived, Tony goes to switch and offers her a higher priced truck.
Explain whether or not advertized specials can be taken advantage of by employees of the advertiser.
The advertised specials can be taken advantage of by employees unless the advertiser clearly mentions that the advertisement is for the general public only because employees can be customers also. Employees should not be able to take advantage of specials before the doors open for business. Some companies disqualify their employees from taking advantage of advertised specials especially when there is a limited quantity in order to attract customers and give them the chance to purchase the items. In this scenario, the employee Jim should not have been able to purchase the pickup truck advertised because they only had one truck at that price. Tony actually told Betty that the truck was sold to an employee before the dealership opened for business. This could be false advertising because the truck in the newspaper ad was not available when the dealership opened for business. There was untrue and misleading information giving in the ad to...