The Marketing of Legal but Potentially Harmful Products and Corporate Social Responsibility: The Gaming Industry View

By June Buchanan, Gregory Elliott and Lester W Johnson.

Published by The Social Sciences Collection

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Article: Print $US10.00
Article: Electronic $US5.00

A number of industries sell products (or services) such as tobacco, alcohol and gambling that, although legal, are considered potentially harmful to some members of society. Unlike other products that attract no attention
when using strategies to increase market share, many of these potentially harmful products attract criticism from concerned members of society and often governments when their markets increase. Corporate scandals in recent
times have led to greater calls for social responsibility to be embraced by all businesses, but the call is most pronounced towards organisations providing products that are detrimental to certain members of society. This paper
investigates gaming industry perceptions of compliance with the precepts of corporate social responsibility (CSR) in the marketing of electronic gaming machines (EGMs). Thirty-eight face-to-face and/or telephone interviews were
undertaken with EGM manufacturers, gaming consultants,managers of gaming establishments and casino operators in Nevada (USA) and New South Wales (Australia), along with management of the gaming regulatory authority in New South Wales (NSW). In spite of a much tighter regulatory
environment in NSW, it was found that the major gaming
operators in Nevada appear to be aware of, and practice,
CSR to a noticeably greater extent than do gaming
operators in NSW. Notwithstanding this however, EGM
operators both in Nevada and NSW need to implement
socially responsible marketing strategies and tactics to a
significantly higher degree than is currently practiced in
order to enhance their reputation, decrease criticism from
key stakeholders and minimise the potential threat of
increased regulatory constraints.

Keywords: Corporate Social Responsibility (CSR) Marketing, Potentially Harmful Products, Gaming, Electronic Gaming Machines (EGMs)

International Journal of Interdisciplinary Social Sciences, Volume 4, Issue 2, pp.81-98. Article: Print (Spiral Bound). Article: Electronic (PDF File; 1.222MB).

Ms June Buchanan

Marketing Academic, Department of Business , Faculty of Business and Economics, Macquarie University, Sydney, New South Wales, Australia

June Buchanan is a marketing academic in the Department of Business, Macquarie University Sydney Australia. Her research interests include corporate social responsibility, the marketing of legal but potentially harmful products and the gaming industry, critical discourse analysis and public policy.

Prof. Gregory Elliott

Professor of Marketing, Associate Dean (International Relations) and Head of Department, Department of Business, Macquarie University, Sydney, New South Wales, Australia

Gregory Elliott is Professor of Marketing in the Department of Business at Macquarie University Sydney Australia where he researches in the fields of financial services marketing, cross-cultural marketing, social and societal marketing.

Lester W Johnson

Professor of Management (Marketing), Melbourne Business School, The University of Melbourne, Melbourne, Victoria, Australia

Lester Johnson is Professor of Marketing within the Melbourne Business School at the University of Melbourne in Australia. He has a B.A. from the University of New Hampshire and an M.A. and Ph.D. from the University of Connecticut. Professor Johnson is currently editor of the Australasian Marketing Journal.


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