This seems a bit odd to me - I don't know if it's unethical or if it's simply a good business practise.
A business in my SERPS has 2 different but similar sites that they dominate the top 2 spots in the same SERP in adwords. Firstly I thought they were mad but they seem to be having some impact on the other sites in the SERP as they are getting a lot of the business.
I don't know where google stand on this practise. As I said, I thought that they were crazy as it must cost a fortune to dominate the top positions like that. I wonder if they were, perhaps in trouble with the business, were thinking that they would be made bankrupt, set up new business name and web site and google identity (as is the norm in the UK seemingly) and inadvertently stumbled on the fact that 2 high cost ad campaigns for the same keyword are worthwhile.
Please comment if you have seen or heard of this before and if you think it's within google's guidelines. I suspect it is if they are paying up and the sites are different etc. but I am curious. I already have heard one of my competitors is thinking of following suite.