In 2009, Dannon paid a $35 million settlement in a lawsuit alleging that the company had knowingly misled consumers in falsely representing the health benefits of its yogurt drink, Activia in its marketing activities.The Los Angeles federal court heard that even Dannons own studies fail to prove that Activia has health benefits superior to any other brands of yogurt, in spite of the companys claim that these benefits had been proven clinically and scientifically. Which of the following guidelines of ethical communication was not observed by Dannon?

BUSINESS COMMUNICATION

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

In 2009, Dannon paid a $35 million settlement in a lawsuit alleging that the company had knowingly misled consumers in falsely representing the health benefits of its yogurt drink, Activia in its marketing activities.The Los Angeles federal court heard that even Dannon’s own studies fail to prove that Activia has health benefits superior to any other brands of yogurt, in spite of the company’s claim that these benefits had been proven clinically and scientifically. Which of the following guidelines of ethical communication was not observed by Dannon?

A	Being objective
B	Telling the truth
C	Labelling opinion
D	Communication clearly

Explanation:

Detailed explanation-1: -In September 2009, Dannon settled a massive consumer class action suit in the US challenging that ads for certain brands of its yogurt overstate their claimed health benefits. The settlement will give out up to $35 million US to affected American customers.

Detailed explanation-2: -The Dannon Company, Inc. has agreed to settle Federal Trade Commission charges of deceptive advertising and drop claims that allegedly exaggerated the health benefits of its Activia yogurt and DanActive dairy drink.

Detailed explanation-3: -The lawsuit, filed in a Los Angeles federal court, said Dannon’s own studies failed to support its advertised claims that its Activia, Activia Lite and DanActive were “clinically” and “scientifically” “proven” to have health benefits that other yogurts did not.

Detailed explanation-4: -Activia is a probiotic yogurt that may help reduce the frequency of minor digestive discomfort when consumed twice a day for two weeks as part of a balanced diet and healthy lifestyle. Minor digestive discomfort includes bloating, gas, abdominal discomfort, and rumbling.

There is 1 question to complete.

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