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Who Is Consumer

Consumer awareness is crucial for understanding rights and responsibilities when purchasing goods and services, ensuring informed decisions and protection against exploitation. The Consumer Protection Act of 1986 in India and various consumer rights, such as the right to safety and information, aim to safeguard consumer interests. Government initiatives like the National Consumer Helpline and the Jago Grahak Jago program further support consumer education and grievance redressal.

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0% found this document useful (0 votes)
116 views11 pages

Who Is Consumer

Consumer awareness is crucial for understanding rights and responsibilities when purchasing goods and services, ensuring informed decisions and protection against exploitation. The Consumer Protection Act of 1986 in India and various consumer rights, such as the right to safety and information, aim to safeguard consumer interests. Government initiatives like the National Consumer Helpline and the Jago Grahak Jago program further support consumer education and grievance redressal.

Uploaded by

aabheerdevj
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Introduction to consumer awareness:

Consumer awareness is the knowledge and understanding that consumers


have of their rights and responsibilities when buying products and
services. It's important for consumers to be aware of their rights so that
they can make informed decisions and get the most out of what they buy.

Here are some things that consumer awareness includes:


 Understanding products and services: Consumers should be aware of the
quality, safety standards, and pricing of products and services.
 Understanding business practices: Consumers should be aware of the ethical
practices of businesses.
 Understanding consumer rights: Consumers should be aware of their rights,
such as the right to information, the right to choose, and the right to safety.
The Consumer Protection Act of 1986 was passed by the Indian Parliament
to protect the interests of consumers in India. The United Nations also
adopted guidelines in 1985 to establish ethical conduct for the production
and distribution of goods and services.

Who is a consumer?
A consumer is an individual or organization that purchases goods or
services primarily for personal use, rather than for resale or further
production. This includes everyday purchases like groceries, clothing,
and household items, as well as more significant expenditures such as
electronics or vacations. For instance, when someone buys a new
smartphone for personal use, they are acting as a consumer.

Consumers are vital to the economy as their buying decisions drive


demand, influencing what products are available and how they are
priced. Businesses monitor consumer preferences and spending
patterns to adjust their offerings and production strategies
accordingly. For example, increased demand for sustainable products
can lead companies to adopt eco-friendly practices and develop new,
greener products.

Additionally, consumer behaviour can reflect broader economic


trends. High levels of consumer spending often indicate economic
stability and growth, while declines in spending can signal economic
downturns. The evolving focus on ethical consumption, where
consumers consider the environmental and social impacts of their
purchases, also highlights the growing influence of consumer values
on market dynamics and corporate practices.

How consumers are exploited?


Consumers can be exploited in several ways, often due to
deceptive practices, lack of transparency, or manipulation by
businesses. Here are some common forms of consumer
exploitation:
1. Deceptive Advertising: Businesses may use misleading
or false advertising to promote their products or services.
This includes making exaggerated claims about the
benefits or effectiveness of a product, hiding important
information, or using fine print to obscure additional
costs.
2. Price Gouging: This occurs when sellers increase prices
excessively during times of high demand or crisis, such
as during natural disasters or emergencies. Price gouging
takes advantage of consumers' urgent needs by charging
inflated prices for essential goods and services.
3. Hidden Fees and Charges: Some businesses may
advertise low prices to attract customers but then add
hidden fees or charges that significantly increase the final
cost.
4. Bait and Switch: This tactic involves advertising a
product at a very low price to lure customers in, only to
find that the advertised product is unavailable or of poor
quality. Consumers are then pressured to purchase a
more expensive or less desirable alternative.
5. Poor Quality or Unsafe Products: Sometimes,
businesses may prioritize profit over quality and sell
products that are defective, unsafe, or substandard. This
exploitation can endanger consumers’ health and safety
while the business benefits from higher margins on
cheaper-to-produce goods.
Consumer protection laws and regulatory bodies aim to
address and mitigate these forms of exploitation. However,
it’s crucial for consumers to remain vigilant, read terms and
conditions carefully, and seek out reputable businesses to
avoid being taken advantage of.

What are Consumer rights?


Consumer rights are legal protections and entitlements
granted to individuals who purchase goods or services. These
rights ensure that consumers are treated fairly and can seek
redress if they encounter problems. While specific rights can
vary by country, several core principles are commonly
recognized as:
Right to Safety
Means right to be protected against the
marketing of goods and services, which are
hazardous to life and property. The purchased
goods and services availed of should not only
meet their immediate needs, but also fulfil long
term interests.
Before purchasing, consumers should insist on
the quality of the products as well as on the
guarantee of the products and services. They
should preferably purchase quality marked
products such as ISI,AGMARK, etc
Right to be Informed
Means right to be informed about the quality,
quantity, potency, purity, standard and price of
goods so as to protect the consumer against
unfair trade practices.
Consumer should insist on getting all the
information about the product or service before
making a choice or a decision. This will enable
him to act wisely and responsibly and also enable
him to desist from falling prey to high pressure
selling techniques.
Right to Choose
Means right to be assured, wherever possible of
access to variety of goods and services at
competitive price. In case of monopolies, it
means right to be assured of satisfactory quality
and service at a fair price. It also includes right to
basic goods and services. This is because
unrestricted right of the minority to choose can
mean a denial for the majority of its fair share.
This right can be better exercised in a
competitive market where a variety of goods are
available at competitive prices
Right to be heard
Means that consumer's interests will receive due
consideration at appropriate forums. It also
includes right to be represented in various
forums formed to consider the consumer's
welfare.

The Consumers should form non-political and


non-commercial consumer organizations which
can be given representation in various
committees formed by the Government and
other bodies in matters relating to consumers.
Right to Seek redressal
Means right to seek redressal against unfair trade
practices or unscrupulous exploitation of
consumers. It also includes right to fair
settlement of the genuine grievances of the
consumer.
Consumers must make complaint for their
genuine grievances. Many a times their
complaint may be of small value but its impact
on the society as a whole may be very large.
They can also take the help of consumer
organisations in seeking redressal of their
grievances.
Right to Consumer Education
Means the right to acquire the knowledge and
skill to be an informed consumer throughout life.
Ignorance of consumers, particularly of rural
consumers, is mainly responsible for their
exploitation. They should know their rights and
must exercise them. Only then real consumer
protection can be achieved with success.
What are consumer responsibilities?
Consumer responsibilities are the duties and ethical
considerations that individuals should follow when purchasing
and using goods and services. While consumer rights ensure
protection and fair treatment, responsibilities help maintain a
balanced and fair marketplace. Here are some key consumer
responsibilities:
1. Inspect Before Purchase: Always take reasonable steps
to inspect, try on, or examine the item before you buy1.
2. Consider Payment Methods: Your method of payment
(credit/debit card, cash, or cheque) affects the level of
protection you have if something goes wrong1.
3. Register Appliances: Register electrical household
appliances with the manufacturer in case of product
recalls or safety alerts1.
4. Keep Receipts: A receipt is the easiest way to prove
purchase. Keep them safe, especially for items expected
to last a long time1.
5. Research: Do your research before buying a product or
service, especially from a new company1.
6. Avoid Scams: Be wary of scams, including fake
websites and counterfeit goods.
7. Follow Instructions: Always follow the instructions that
8. come with the goods you purchase. Failure to do so can
invalidate your consumer rights.
9. Report Defects: If goods develop a fault, do not attempt
to fix them yourself. Notify the trader as soon as
possible.
10. Check Qualifications: If hiring a tradesperson,
ensure they have the correct qualifications and
endorsements1.
11. Environmental Awareness: Be mindful of the
environmental impact of your purchases and disposal
methods2.
By fulfilling these responsibilities, consumers contribute to a
fairer and more transparent marketplace, support ethical
business practices, and enhance their own purchasing
experience.
Steps taken by the government in india:
The government is responsible for creating marketplaces that
are fair,efficient and competitive for producers ,traders and
consumers.The government is also responsible for the safety
of food products.This includes food labelling and advertising.
The government is responsible for matters,such as the
conditions of sale,business practices,public safety and
licensing.
The Indian Government paid vital role for consumer
protection by enacting various rules and regulations such as:
1)Consumer Protection Act,1986
2)Standard Marks(ISI,AGMARK etc)
3)Consumer courts

The Consumer Protection Act,1986:

The Consumer Protection Act, 1986, is a landmark legislation in India


designed to safeguard consumer interests and ensure fair trade
practices. It establishes a structured mechanism for addressing
consumer grievances and disputes through a three-tier redressal
system: District Forums, State Commissions, and the National
Commission. The Act defines a consumer as someone who purchases
goods or services for personal use and not for resale. It enshrines key
consumer rights, including the right to safety, information, choice,
and redressal.
The Act prohibits unfair trade practices, such as misleading
advertising and defective goods, and holds sellers accountable for
product liability. It empowers consumers to seek compensation for
losses resulting from such practices. The 2019 amendment introduced
additional measures, including the creation of the Central Consumer
Protection Authority (CCPA) to address consumer complaints and
regulate e-commerce and direct selling. Overall, the Act aims to
enhance consumer protection, promote fair trade practices, and
provide a mechanism for resolving disputes efficiently.
Standard Marks in India:

In India, standard marks refer to a set of quality and safety


certifications for goods and products to ensure that they meet specific
standards. These marks are typically issued by various regulatory
bodies and organizations to indicate that a product complies with
established standards for quality, safety, and performance. Here are
some key standard marks commonly used in India:

1. ISI Mark

Purpose: Indicates that a product conforms to Indian Standards. It


covers a wide range of products including electrical appliances,
cement, and food items.

2. FSSAI Logo

Purpose: Ensures that food products meet safety and quality


standards. The logo is mandatory on all packaged food products.

3. A GMARK

 Purpose: Certifies the quality of agricultural products, such as


grains, pulses, and oilseeds. It assures that products meet
specific quality standards.

These standard marks help consumers make informed choices


by ensuring that products meet predefined quality and safety
benchmarks.
Consumer court is a special purpose court in India. It primarily deals
with consumer-related disputes, conflicts, and grievances. The court holds hearings
to adjudicate these disputes.

When consumers file a case, the court primarily looks to see if they can prove the
exploitation through evidence such as bills or purchase memos. In cases where no
such evidence is presented, courts rarely rule in favor of the plaintiff. The court
mostly decides its verdict based on the violations of Consumer Rights(if any). The
point of having a separate forum for consumer disputes is to ensure that such
disputes are speedily resolved and make it less expensive.

List of consumer courts


[edit]

 National Consumer Disputes Redressal Commission (NCDRC): A court that


operates nationally and deals with cases where claimed compensation exceeds
Ten crores (₹100 million). The National Commission is the apex body of
Consumer Courts. The NCDRC is the highest judiciary of the consumer court,
the consumer Supreme Court of India.
 State Consumer Disputes Redressal Commission (SCDRC): A court that works
at the state level in cases where compensation claimed is between
one crore (₹10 million) and Ten crores. The State Commission has appellate
jurisdiction over the District Forum.
 District Consumer Disputes Redressal Forum (DCDRF): A court that works at the

 district level in cases where the claimed compensation is below one crore.
Jago Grahak Jago:

Jago Grahak Jago (transl. Wake up Customer Wake up) is a consumer awareness
program launched in 2005 by the Ministry of Consumer-Government of India. Under
this scheme, various channels were created to spread awareness about consumer
rights and to put an end to malpractices by merchants. Due to this, many ongoing
malpractices were put to an end and good quality products were delivered to the
consumer. Under this scheme, a consumer forum was established, and a consumer
court was created to handle consumer cases. At the consumer forum, complaints are
received and then proceedings over the case are carried out in courts. By providing
various helpline numbers Jago Grahak Jago achieved mass popularity and quickly
reached out to very end node i.e. consumer.

National Consumer Helpline:

The **National Consumer Helpline (NCH)** is an initiative by


the Government of India aimed at providing support and
assistance to consumers facing grievances related to goods and
services. It operates under the Ministry of Consumer Affairs and
is managed by the Department of Consumer Affairs.

### Key Features:


1. **Support and Guidance:**

- Offers advice and assistance to consumers regarding their


complaints and issues related to unfair trade practices, defective
products, or deficient services.

- Provides information about consumer rights and how to seek


redressal.

2. **Complaint Registration:**

- Allows consumers to register their complaints online or


through a phone call. The helpline assists in directing
complaints to appropriate consumer redressal forums or
authorities.

3. **Toll-Free Number:**

- The helpline can be reached at **1800-11-4000** or


**1800-11-6000** for toll-free support. It is available during
specified hours on working days.

@@@4. Online Platform:

- Consumers can also access services through the National


Consumer Helpline’s website. The platform allows users to
track the status of their complaints and access various
consumer-related resources.

@@@@@@5. Consumer Education:

- Provides information on consumer rights, the legal


framework, and how to handle disputes. It aims to enhance
consumer awareness and empower individuals to effectively
deal with issues related to goods and services.

The National Consumer Helpline is a crucial resource for e


nhancing consumer protection and ensuring that individuals
have access to support and remedies for their grievances.

World Consumer Rights Day is celebrated annually on 15 March. It was


established by the United Nations Assembly in 1983 to raise awareness about
consumer rights and empower consumers worldwide.
The day aims to:
 Promote consumer rights: To ensure that consumers are aware of their
rights and can exercise them effectively.
 Protect consumers: To protect consumers from unfair business practices
and exploitation.
 Empower consumers: To empower consumers to make informed choices
and advocate for their rights.
On World Consumer Rights Day, various organizations, including governments,
consumer groups, and businesses, organize events and activities to educate
consumers and promote their rights. These may include seminars, workshops,
campaigns, and exhibitions.

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