Irresponsible marketing

Why is this a risk?

Irresponsible marketing by a supplier can be potentially misleading and cause you loss if you rely on false representations. It is possible that a supplier can misrepresent the quality of their product, the size of the company and the approvals that they have obtained on their products.


Examples of where this risk could affect you

  • Your supplier might claim that their products or services have certain approvals but the approvals are outdated or were given subject to conditions

  • Your supplier's products are only effective in certain situations that are not made clear in the marketing material or in discussions or tender responses


What sort of suppliers could be engaged in this risk area?

  • Suppliers that require government approvals for their products or certifications are more likely to irresponsibly represent conditions associated with the product
  • Suppliers operating in regions with little to no accountability to conduct product reviews or safety testing


How are these risks managed?

The risks of irresponsible marketing are normally managed through:

  • Understanding their business and their products and services as they apply to you

  • Independently validating the products and testing vigorously

  • Conducting independent due diligence to test claims

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