Introduction
1.1 Rise Of Consumer Awareness
In the globalization, liberalization and privatization era, most of the economic
decisions are taken by the market. Though the government has withdrawn itself from
many economic activities, it interferes very often when the market mechanism fails
due to structural rigidities in the economy and other factors, to provide goods and
services to the people.
Consumption is one of the important economic activities, which requires regular
government intervention, as the market is unable to promote security and welfare
aspects of the consumers. On the other hand, consumers have to be aware not only
of the commercial aspects of sale and purchase of goods but also of the health and
security aspect also. Besides this, they should be aware of their rights and duties being
as rational human beings.
Though the first consumer movement began in England after the Second World War,
a modern declaration about the consumer’s rights was first made in the USA in the
year 1962, where four basic consumer rights i.e. Choice, information, safety and right
to be heard were recognized.
Ralph Nadar, a consumer activist is considered as the father of
“Consumer Movement”. 15th March is now celebrated as the World Consumer
Rights Day. The U.N.O. Also adopted in the year 1985, certain guidelines to achieve
the objectives of maintaining protection for consumers and to establish a high-level of
ethical conduct for those engaged in the production and distribution of goods and
services. In India, 24th December is celebrated as “Consumer’s Day” every year.
1.2. Objectives of the Study
The Study based on the following objectives:
1. To study the level of consumer awareness of the consumers in the study area
2. To make the students habituated about the survey work.
3. To make the students acquainted how different statistical tools can be applied
in different socio-economic problems.
1.3 Meaning of Consumer Awareness
Consumer awareness means awareness of consumers in different aspects of
consumption activities. Consumer awareness is a broader and wider concept. It
covers the followings:
a) Consumer awareness about Maximum Retail Price (MRP).
b) Consumer awareness about Fair Price Shop.
c) Consumer awareness about price, quality and expiry date of the product.
d) Consumer awareness about their rights and duties.
e) Consumer awareness about certified products like ISI, Agmark, ISO-2000
1.4. Forms of Consumer Exploitation
Consumer exploitation is a type of exploitation in which the consumers are exploited
or cheated by the business community in terms of poor quality of product, underweight,
under-measurement, duplicate articles etc
Some of the common ways by which the consumers are exploited by the business
community are as follows:
1. Underweight and under-measurement
2. Sub-standard quality
3. High prices
4. Duplicate articles
5. Adulteration and impurity
6. Lack of safety devices
7. Artificial scarcity
8. False and incomplete information
9. Unsatisfactory after sale services
10. Rough behavior
1.5. Factors causing exploitation of the Consumers
The following are the factors that cause the exploitation of consumers:
1. Limited information
2. Limited supply
3. Limited competition
4. Low literacy
Rights and Duties of The
Consumers
2.1 Rights of the Consumers
The following are the rights of the consumers as coded in the Indian laws, which the
business community has to keep in mind:
1. Right to safety
2. Right to choose
3. Right to seek redressal
4. Right to consumer education
5. Right to be heard
6. Right to be informed.
2.2 Duties of the Consumers
In order to secure rights, consumers have to fulfill the following duties:
1. While purchasing goods, consumers should look at the quality of the products
as well as on the warranty of the product.
2. They should ask for Cash Memo for the item purchased.
3. They should form consumer awareness organizations.
4. They must complain for their genuine grievances.
5. The must know their rights and duties.
Consumer Protection Measures
3.1. Introduction
In order to protect the interest of the consumers, the government has adopted three
strategies:
1. Administrative measures
1. Technical measures
1. Legislative measures
Consumer Protection Act of 1986
And Case Studies
4.1. Consumer Protection Act of 1986
The industrial revolution and the development in the international trade and commerce
has led to the vast expansion of business and trade, as a result of which variety of
consumer goods have appeared in the market to cater the needs of the consumers
and a host of services have been made available to the consumers like insurance,
transport etc. The advertisement of goods and services in T.V and other media
influence the demand of same by the consumers, though there may be manufacturing
defects or shortcomings in quality and purity of products or deficiency in services
rendered. In spite of various provisions made providing protection to the consumers
against adulterated and sub-standard articles in different enactments like Code of
Civil Procedure, 1908, MRTP ACT, 1969, IPC, 1960 etc., very little could be
achieved in the field of consumer protection.
In order to provide for the better protection of the interest of the consumers, Consumer
Protection Bill 1986 was introduced in Lok Sabha on 5th December 1986. The Bill
was passed by both Houses of Parliament and got the assent of the President on 24
December 1986, popularly known as the Consumer Protection Act of 1986.
The Act of 1986, seeks to provide better protection to the interests of the consumers
and for the purpose that there is Consumer Councils and other authorities for the
settlement of consumer disputes and for matter connected therewith. To provide quick
redressal of consumer disputes, a quasi-judicial institution is set up at all the three
levels. These bodies have been empowered to give relief of a specific nature and to
award, wherever appropriate, compensation to the consumers. Penalties of non-
compliance of the orders given by the quasi-judicial bodies have also been provided.
4.2 Case Studies
1. S.L.Pati VS. Postmaster, Aligarh, Orissa(1993)
Money order not delivered in time to the concerned person is a case f deficiency in
service of worst category. If this would be the normal act of the Post Office and the
office, which belong to the Union Government, no one would have faith in services
rendered by them. As a result, an amount of Rs250/- plus the money order amount of
Rs.1000/- along with interest @ 18% was the compensation awarded to the deprived
person.
2. K.C. Panda VS SDO, Telecom Department, Berhampur, Orissa(1994)
The telephone line was disconnected even if the bill was paid. Proceeding before
District Forum, Telecom Department made an apology for the mistake occurred
inadvertently. But, in spite of apology, an amount of Rs. 2000/- was the compensation
awarded to the person concerned by the Telecom Department.
