Artificial Intelligence and Marketing. Ethical Dilemmas in the Bulgarian Professional Environment

Keywords: ethics, artificial intelligence, AI, marketing, ethical dilemmas, ethical rules, ethical regulations

Abstract

Artificial intelligence (AI) is revolutionizing marketing by ​​analyzing large volumes of data, deriving trends and patterns in consumer behavior and the business environment, automating routine tasks, etc. The entry of AI into marketing seriously raises the question of its ethical and responsible application. Examination of global studies and scholarly texts has shown that the dilemmas relate to four main themes – ensuring transparency, respecting confidentiality, avoiding bias and manipulation, maintaining a balance between automation and human participation. Based on the familiarity with a number of global are formulated questions about the degree of preparedness of Bulgarian marketing professionals for the introduction of AI. An online survey was conducted on the Microsoft Forms platform. The results show that professionals are aware of the need for regulation and insist that there should be a clear definition of responsibility in a legal, professional and internal company framework for integrating ethical practices into marketing strategies. They declare a need for more training for an industry that is generally ill-equipped to deal with ethical challenges. Coinciding with the global ethical issues are the topics of privacy breaches, manipulative practices, lack of transparency and accountability, and poor data security and protection. They do not face the issue of discrimination and inequality as a possible effect of working with AI and here we can see the Bulgarian context. For them AI is a tool mainly for automation of processes and tasks in the team, data analysis, more engaging interaction with users, cost optimization and ROI, precise audience targeting, forecasts.

References

best AI marketing tools I'm using to get ahead in 2024. (2024, March 14). Marketer Milk Team. https://www.marketermilk.com/blog/ai-marketing-tools

Akaah, I.P. (1990) Attitudes of marketing professionals toward ethics in marketing research: A cross-national comparison. Journal of Bus Ethics 9, 45–53. https://doi.org/10.1007/BF00382563

Aflac Corporate Social Responsibility. Survey fact sheet. (2024). https://chronicle-assets.s3.amazonaws.com/7/items/biz/pdf/AflacCorporateSocialResponsibility.pdf

Chui, M., & Manyika, J., Miremadi, M., Henke, N., Chung, R., Nel, P., Malhotra, S. (2018). Notes from the IA frontier insights from hundreds of use cases. McKinsey Global Institute. https://www.mckinsey.com/~/media/mckinsey/featured%20insights/artificial%20intelligence/notes%20from%20the%20ai%20frontier%20applications%20and%20value%20of%20deep%20learning/notes-from-the-ai-frontier-insights-from-hundreds-of-use-cases-discussion-paper.ashx

Crump, E. (2024, May 31). AI in marketing. Research Study, Stats, Industry Trends & Data. https://foundationinc.co/lab/ai-marketing-results/

Davenport, T., & Guha, A., Grewal, D. (2021, July-August). How to design an AI marketing strategy. Harvard Business Review https://hbr.org/2021/07/how-to-design-an-ai-marketing-strategy

Davenport, T. & Ronanki, R. (2018). Gender bias in Artificial Intelligence: The need for diversity and gender theory in machine learning. Harvard Business Review, 1-10. https://diversityatlas.io/wp-content/uploads/2023/08/2018-Gender-Bias-in-Artificial-Intelligence_-The-Need-for-Diversity-and-Gender-Theory-in-Machine-Learning.pdf

Deloitte Insights. (2020). Becoming an AI-fueled organization. https://www2.deloitte.com/us/en/insights/focus/cognitive-technologies/state-of-ai-and-intelligent-automation-in-business-survey.html

Du, S., & Xie, C. (2021). Paradoxes of artificial intelligence in consumer markets: Ethical challenges and opportunities. Journal of Business Research, Elsevier, 129(C), 961-974.

Gonçalves, A., & Pinto, C., Rita, P., Pires, T. (2023, April). Artificial Intelligence and Its Ethical Implications for Marketing. Emerging Science Journal, 7(2), 314.

Jinger, Z. (2018, January). Artificial intelligence and consumer privacy. NBER Working Paper No. 24253, DOI 10.3386/w24253

Kotler, P., & Armstrong, G. (1999). Principles of Marketing. Prentice Hall

Kovalenko, O. (2024, Mar 29). Ethical marketing done rght: 11 examples of brands thinking differently. Wisepops https://wisepops.com/blog/ethical-marketing#definition

Laczniak, G.R. & Lusch, R.F., Murphy, P.E. (1979). Social marketing: Its ethical dimensions. Journal of Marketing, 43(2) 29.

Lee, J.-Y., & Jin, I.-H. (2019). The role of ethical marketing issues in consumer-brand relationship. Sustainability, 11(23), 6536. https://doi.org/10.3390/su11236536

Manoj, K.K., & Sahil, S.J. (2023, December). Ethics and marketing responsibility: A bibliometric analysis and literature review. Asia Pacific Management Review, 28(4), 567-583.

Morgan, R. M., & Hunt, S. (1994).The commitment-trust theory of relationship marketing. Journal of Marketing, 58, 20–38.

Morrison, M., (2015, April 24). No оne trusts advertising or media (except Fox News). AdAge https://adage.com/article/media/marketers-media-trusts/298221

Siham, B. (2014, March). Marketing mix- an area of unethical practices? British Journal of Marketing, Entrepreneurship and Small Business Research. 1(1), 1-10

Smith, N. Craig, & John A. Q. (1992). Ethics in marketing. Homewood, IL, Irwin,

Steimer, S. (2019). CMO Survey: Hiring, AI on the rise. https://www.ama.org/marketing-news/august-2019-cmo-survey-hiring-ai-on-the-rise/

Sutta, S. (2024, June 2). Why the EU AI Act matters for digital marketers. LinkedIn. https://www.linkedin.com/pulse/why-eu-ai-act-matters-digital-marketers-dr-sutta-peter-sornmayura-6xyzc/

Tan, K. H. (2018). The artificial intelligence renaissance: Deep learning and the road to human‐level machine intelligence. APSIPA Transactions on Signal and Information Processing, 7.1-19. eb , DOI: https://doi.org/10.1017/ATSIP.2018.6

Taylor, T. (2024, July 23). The top types of AI-Generated content in marketing [New Data, Examples & Tips]. https://blog.hubspot.com/marketing/top-types-of-ai-generated-content-in-marketing?hubs_content=www.hubspot.com%2F&hubs_content-cta=hsg-nav__box-link&_gl=1*br9vwy*_ga*MTk1NjA2NDcyMS4xNzAxODk1ODY3*_ga_LXTM6CQ0XK*MTcwMjAxMTQ3NS4yLjAuMTcwMjAxMTQ3NS42MC4wLjA

Zwegers, J., & Romain, A. (2023, October 25). Long road ahead for broad application and understanding of AI in marketing. https://www.ama.org/marketing-news/long-road-ahead-for-broad-application-and-understanding-of-ai-in-marketing/

Published
2024-12-01
How to Cite
Kyosovska, K. (2024). Artificial Intelligence and Marketing. Ethical Dilemmas in the Bulgarian Professional Environment. Postmodernism Problems, 14(3), 374-397. https://doi.org/10.46324/PMP2403374