why are federal regulations on false advertising important?

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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why are federal regulations on false advertising important?

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False advertising is making false or misleading statements about a product or service to deceive consumers and gain an unfair competitive advantage. Federal regulations, such as the FTC Act and the Lanham Act, are in place to combat false advertising by establishing standards for advertisement accuracy and truthfulness and imposing penalties on companies that violate these standards. 

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