Russia Transforms to Market Economy through Advertising
OREANDA-NEWS. May 17, 2010. "Advertising is one of the key elements of development of competition in Russia. Where there is advertising - there is competition", said the Head of the FAS Russia's Legal Department Sergey Pouzyrevsky speaking at the 42nd World Advertising Congress in Moscow, reported the press-centre of FAS Russia.
According to Mr. Pouzyrevsky, Russia is transforming from monopolistic economy to market economy through advertising.
"Regulating advertising, we face its dual functions: economic and social. From the economic point of view, we should have more advertising, so the law formulates advertising requirements that ensure single economic space in Russia and building-up of single Russian market. It is for this reason that advertising is not regulated at a regional or a municipal level", said Mr. Pouzyrevsky to the attendees of the World Advertising Congress.
In this respect there are two advertising requirements:
1) Observe the right of consumers for reliable information
2) Observe the right of competitors for treatment "in good faith"
Pointing out that advertising also has social functions, Sergey Pouzyrevsky outlined specific features of advertising in Russia related to Russian mentality and traditions.
"Some restrictions in advertising relate to protection of the interests of minors", said Mr. Pouzyrevsky. He illustrated his statement with an example of an advertising campaign "One who is not in "Prado" is a sucker", that took place just before 1st September and was found unethical by FAS Russia.
"Further restrictions relate to the means of dissemination of advertising (restrictions for TV advertisements, outdoor advertisements, advertising in print media) and restrictions for advertising of specific types of goods (alcohol, tobacco, gambling, medical products)", stated Mr. Pouzyrevsky.
According to the Head of the FAS Russia's Legal Department, FAS Russia also deals with unethical advertising. "To keep an eye on the ethics of advertising is an unusual function for the government. In other countries it is a matter for the advertising community. But in Russia self-regulation is underdeveloped", explained Mr. Pouzyrevsky.
In the opinion of the FAS Russia's representative, with time most of advertising prohibitions can disappear: it will happen when the advertising community will be ready to undertake the function of protecting consumers from adverse consequences of unethical advertising.
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