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Misleading Advertisement

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MISLEADING ADVERTISEMENT AND ITS EFFECT ON BUSINESS PERFORMANCE: THE CASE OF SOMALI BUSINESSES
Ayub Mohamud Hussein
Introduction
Advertising is a powerful tool used by companies to inform, and persuade for their products/service to their customers to take some action, now or in the future and to shape consumers attitude and intentions and move them to the next level of buying process. It is the method used by companies for creating awareness of their products, as well as creating new products known to the new and potential consumers. Longe (2001) defined advertising as any personal paid form of non-personal communication which is directed to the consumers or target audiences through various media in order to present and promote a product, services or/and idea. The advertisement in media can be in the form of print such as newspaper, magazines, and billboards or broadcast such as radio and television. It consists of pictures, headlines, information about the product or service the company advertises.
Businesses in Somalia, particularly businesses in Mogadishu do and invest a large portion of their budget on advertising, but misleading the customers’ mind become a common object that companies use nowadays; nevertheless, these companies ignore the consequence of this action to their performance as well as their image. This study focuses on the effect of misleading advertisement on business.
Misleading Advertisement
The American Marketing Association (AMA) defines misleading advertising as advertising intended to mislead consumers (1) by falsely making claims, (2) by failure to create full disclosure, or (3) by a combination of both.
Misleading advertising is the use of false or misleading statements in advertising, and misrepresentation of the product at hand, which may negatively affect many stakeholders specifically consumers. Deceptive or confusing

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