Case 6. Marketing Malt Liquor
· January 1991 the company filed for protection in the NY bankruptcy court, claiming a large debt.
· G. Heileman introduced PowerMaster a Malt Liquor with 5.9 percent alcohol content
o Law states beer over 4% alcohol content to be labeled as a malt
o Typical Malt beer is 5.5%
o Typical Average beer is 3.5%
· Summer 1991, the Surgeon General and advocacy group led by the Center for Science in the Public Interest launched a campaign to remove PowerMaster from Store Shelves.
· PowerMaster received pressure from anti-alcohol and African-American activists
o Advertising Campaign
§ Black Male Models
§ Attracted young black and males (make up 1/3 of malt liquor consumption)
§ Urban youth
o The U.S. Surgeon General called the PowerMaster campaign insensitive
§ Would pursue legal action if the brand name wasn't dropped
§ Heileman Brewing Co. discontinued the product
o Government was criticized for getting involved
§ One newspaper columnist cited another brewing company and their advertising slogan (OE "It's the power") not being challenged
o James Sanders, President of the DC based Beer Institute claimed the government focused on PowerMaster to avoid the real factors the black community faced such as unemployment and poverty
Questions:
1. Would it be deceptive or manipulative advertising to call your beer "PowerMaster" and to use black male models?
a. & ...