Who is called consumer?

Consumers can be either an individual or group of people who purchase or use

goods and services solely for personal use, and not for manufacturing or resale.
They are the end-users in the sales distribution chain

A consumer is a person or a group who intends to order, or use purchased goods, products, or
services primarily for personal, social, family, household and similar needs, who is not directly
related to entrepreneurial or business activities. 

Consumer exploitation

Consumer exploitation is a situation in which a consumer is cheated

or given false information by the producer. Large companies with
huge wealth, power and reach can manipulate the market in various
ways. At times they pass on false information through the
media,and other sources to attract consumers

Forms of Consumer Exploitation

1. Fake Advertisement

Whatever is shown and disclosed through advertisements about

the product and service, is not completely true. The quality of the
product and its durability is not always perfect and long-lasting.
The way it is shown only attracts the customers and compels the
people to buy it. Non-disclosure of reality is a disadvantage.

2. Substandard Products

Every business aims to earn profit and in order to gain profit,

they tend to sell inferior quality products which may cause harm.
This practice is also unethical.

3. High Price

Sellers those who have a monopoly of the products and have the
control to change the price, take unfair advantage of charging the
high prices of the products, and people are left with no choice.

4. Adulteration
This is the worst forms of consumer exploitation. It not only
causes monetary loss but also affects the health of a person. The
unwanted materials are mixed in the food items which harms the
body and may result in different types of diseases.

5. Under Measurement

The quantity printed in the packet is not always accurate. Also,

the material which is measured while purchasing is not correct.
Sometimes, sellers sell under measured goods and ask for the
original quantity price.

6. Black Marketing

When there is a high demand for a certain product, sellers start

stocking the product and they will pretend that there is a scarcity
of the product due to which the price will be increased and people
will buy it because they need it. This happens especially for
essential commodities.

For instance, the increase in the price of tomatoes in the market

but in reality, they were stored in the warehouse. This is an
essential commodity and people have to buy it. Earlier, tomatoes
were sold at Rs. 20/- per kg but later on the price was increased
to Rs. 80/-. This is hoarding and black marketing.

7. Duplicate Goods

Many sellers sell the goods in the name of branded goods. They
change the quality and material and puts the name and logo of
different brands. This is misrepresentation and unethical to
practice in business.

8. Lack of after Sale Service

A seller has the duty and responsibility towards customer

providing after-sale service. Manufacturing and selling are not the
only activity to be performed, if any customer faces any kind of
problem after using the product, then the problems must be
heard and shall be solved.
9. Lack of Information

The ingredients used, manufacturing date, harm, and

consequence of the product, etc. are the information that should
be disclosed to the customers otherwise they might face
problems that will leave a negative impact on the market.

Consumer Awareness
The most important and key objective of an Act is to create
awareness among consumers. Consumers shall be aware of
rights, products, detailed information, rules, etc. there are
incidents where people face problems whether it is online
shopping or in physical form. Consumer Protection Act makes
sure that people are aware of all the particulars and details.

Importance of Consumer Awareness

1. Every consumer must be satisfied after buying any product or

availing of services. People work hard to earn money and the
money they spend on goods must be worth it. Therefore, they
must not be cheated in any way.

2. Sellers usually charge more than expected or prescribed, just

to earn profit. Those who do not have knowledge regarding
underweighting, fake articles, etc., are in the trap of suppliers,
and in this way, the manufacturers and sellers exploit the end-
users.

3. There is a variety of products in the market which are for

benefit of the people or may harm the health of a person. For
instance, tobacco, liquor, etc. may harm health due to which
awareness should be spread regarding products that are not good
for health.

4. Many consumers spend a lot of money on expensive products

and they are not even aware of the actual price and raw materials
used to make it. If consumers are aware of the product then they
would save money and buy a substitute good and will make the
right decisions while buying the goods.
5. When a consumer or customer is deceived by any retailer,
producer, manufacturer, etc., he should be aware of the solutions
to solve the issue as many people are innocent, illiterate due to
which they do not have proper knowledge regarding laws
prevailing in the country. Consumer awareness helps people to
make understand that they can approach consumer court if they
face any kind of problem.

6. To maintain a healthy relationship between consumers and

producers, the first step should be building trust and not
deceiving anyone. This will develop a healthy society.

Rights of Consumers
1. Right to Choose

A customer has full right to select the goods from different shops.
No seller can force any customer to buy or avail of the service
from that particular seller. If in case, any seller forces the
customer to buy or does any act or compels him to buy then the
consumer can take legal actions against him.

2. Right to be Informed

Every small detail must be mentioned on the packet, especially

any unique information to be given while using or consuming it.
Like date of manufacturing, expiry date, ingredients, directions to
use, where to store, etc., these are the information that must be
circulated. For instance, we buy winter clothes, directions to wash
must be mentioned so that the quality of the product must retain
for a long time.

3. Right to Safety

Safety is a very important step to be taken by manufacturers.

Business is not to only earn profit but to provide safety. They
shall make sure that every product must be safe to use. Many
products are there in the market which may cause risk to the
customer if not properly used. For example, gas cylinders, food
coloring, etc.

4. Right to be Heard

If any risk or problem is faced by the consumer, then the

grievance must be heard. Selling the product does not end the
duty and responsibility of seller after-sale service is also
important. Without being heard, the problem will remain
unsolved, and this is against business ethics.

5. Right to be Educated

Every person must be educated. They may have at least basic

knowledge regarding their rights and laws framed for them. This
will help in the reduction of forms of consumer exploitation.

6. Right to be Compensated

When an incident takes place and causes great loss, then in

terms of money, a consumer must be compensated. This will
reduce malpractices, exploitation, and many more evil activities.
Compensation is a mode of remedy given to the consumer and
punishment to the seller.

Consumer Courts
Three courts are formed for consumers where they can file the
complaint and get compensation. Courts are divided on basis of
compensation.

1. District Forum

District Consumer Dispute Redressal Forum takes cases on the

district level and the compensation shall not exceed more than 20
lakh rupees. If any consumer is not satisfied with the decision of
the district forum, then they can appeal to the state forum.

2. State Forum

State Consumer Dispute Redressal Commission works on the

state level and the compensation must be more than 20 lakh
rupees and less than 1 crore rupees. If any consumer is not
satisfied with the decision of the state forum, then they
canappeal to the apex court, i.e., the national forum.

3. National Forum

National Consumer Dispute Redressal Commission is the apex

court and the compensation amount must be more than 1 crore
rupees. If consumers are not satisfied with the decision of the
national forum, then, at last, they can appeal to Supreme Court
and their decision will be final.

Conclusion
The main function of any business is customer satisfaction.
Without it, there is no use in the business. All the activities
involved in marketing and business are done only for customers.
If customers are not happy with the goods and services then the
business will not be able to progress and grow. Therefore, the
rights and thoughts of the end-users must be respected, and
taking them into consideration, they should not be exploited in
any way.

Consumer Protection

Consumer protection is the practice of safeguarding buyers of

goods and services, and the public, against unfair practices in the
marketplace. Consumer protection measures are often established
by law.

Consumer Protection: Meaning, Importance and Means

According to the Consumer Protection Act 2019,  a Consumer is a person who

buys any goods or avails any services for a consideration, which has been paid or
promised to pay, or partly paid or partly promised, or under any scheme of deferred
payment. A consumer also includes a person who is using the goods or beneficiary
of service with the approval of the buyer and applies to both online and offline
transactions through electronic means of teleshopping or direct selling or multilevel
marketing. 

Consumer Protection
A consumer is said to be the king of the market; therefore, the earlier
approach, Caveat Emptor (Let the buyer beware) has been changed to Caveat
Venditor (Let the seller beware). It means that, because of the fast-growing
competition in the market, some businesses are involved in unfair trade practices and
exploit customers, from which the customers need protection. Hence, Consumer
Protection is an act that provides adequate protection to the customers against any
unfair trade practices, exploitative, and unscrupulous practices of the businesses
(including manufacturers and service providers). 

Importance of Consumer Protection

Consumer protection is a wide concept and includes various rights, responsibilities,
and remedies available to consumers. Consumer Protection is beneficial to both
consumers and businessmen. The importance of consumer protection from
consumers’ and businessmen’s point of view are given below:
Importance of Consumer Protection from Consumers’ Point of View

Consumer Protection is important for consumers because of the following reasons:

1. Unorganised Consumers
The consumers in developing countries, like India, are unorganised. It means that
only a few consumer organisations are working in these countries to protect the
interests of consumers. Consumer Protection helps consumers by encouraging the
establishment of more consumer organisations. It also provides rights and powers
along with responsibilities to these consumer organisations, as they can file a case on
behalf of the consumers. 
2. Consumer Ignorance
There are many consumers who are unaware of their rights and remedies available to
them for their grievances. Consumer Protection provides the required information to
these ignorant consumers and spreads awareness so that they can know about the
different redressal agencies opened up for them to protect their interests. 
3. Widespread Exploitation of Consumers
Even though consumers are the kingpin of the market, they face a lot of exploitation
from businessmen, as they use different unfair trade practices to cheat them.
Consumer protection provides protection to consumers from businessmen and their
exploitation by filing a case on their behalf, providing them with various redressal,
etc. 

Ways and Means of Consumer Protection

Consumer Awareness- Right to Information
The buyer has the choice of learning more about the specifications,
quantity, strength, cost, and quality of the goods or services. Before making
a selection, the buyer should ostensibly get all the information available
regarding the good or service. This will enable him to make very informed
and deliberate decisions and, in addition, prevent him from falling victim to
high-pressure selling techniques. The right to data is used to defend
consumers against cunning promotions, deceptive packaging and
markings, exorbitant prices, etc.

Consumer Awareness- Right to Choose

This privilege grants access to a wide range of goods and services at
exorbitant prices. The goods and services offered in a monopolistic market
should be of the highest calibre and value.

The customer should reserve the right to the full range of choices,
substitutions, and alternatives, and the seller should refrain from using
coercive tactics to view the goods. This privilege necessitates unrestricted
market competition. The choice of a product from the market should be left
up to the buyer.

Consumer Awareness- Right to be Heard

If there is no proper authority to take client concerns into account, the other
rights are useless. If a customer is dissatisfied with the goods or service,
they have the option of filing a complaint, which must be resolved within a
certain amount of time. For instance, if a customer buys an electronic item
and it starts to malfunction, they have the right to make the appropriate
decision and return or replace it.

Consumer Awareness- Right to Seek Redressal

This offers buyers the authority to resolve any disputes, grievances, and
claims they may have against sellers for engaging in unfair trade
techniques, double-dealing, or other forms of exploitation. In the event that
the item’s nature is compromised, the buyer has the right to inspect. Under
the Consumer Protection Act, buyers must submit written objections.

Consumer Awareness- Right to Customer Education

A consumer should be aware of the rights and obligations the law has
granted him in relation to advertising and marketing tactics. This is a crucial
right since it establishes fair exchange and business practises as a client is
aware of his freedoms and rights. The consumer is in a position to learn
about his privileges and rights as a buyer and has the power to do so.

Consumer Awareness- Right to Safety

It is important to protect this fundamental right against the promotion of
goods and services that endanger life and property. The use or
consumption of subpar goods and services can seriously compromise the
security and well-being of the consumer. They reserve the option of offering
high quality and reliable goods to pique customers’ curiosity. For instance,
stale food goods can impact consumers’ welfare; low-quality cosmetic care
products might result in comparable damages; residential products like
LPG cylinders, if not fixed as intended, can cause significant harm to life
and property.... Read more at: https://www.adda247.com/school/consumer-
awareness/
What is malpractice in consumer awareness?
The most common business malpractices leading to consumer exploitation are given
below. (a) Sale of adulterated goods i.e., adding something inferior to the product
being sold. (b) Sale of spurious goods i.e., selling something of little value instead of
the real product.

Malpractices such asexistence of self-styled merchant bankers, unofficial private

placements, rigging of prices, unofficial premium on new issues, non- adherence of
provisions of the Companies Act, violation of rules and regulations of stock
exchanges and listing requirements, delay in delivary of shares etc, had ...

Consumer Responsibilities
Be honest in your dealings and choose only legal goods and
services. Ask for a bill on purchase of goods or services. File
complaint in case of poor quality of good or service. Avoid waste,
littering and contributing to pollution.

Duties of Consumers

In the way that the government has given each and every consumer a set
of rights, it is the responsibility of the consumer to also follow through on
several duties provided to them. Consumer responsibilities are just as
important as consumer rights. The following are some of the important
consumer responsibilities or the duties of consumers:

1. Consumers must make sure that the product they are purchasing is
of good quality, and have been quality marked such as Agmark, ISI,
Hallmark, etc.
2. Consumers should always make sure that they have seen and
understood all the information available about a product and make
an informed choice.
3. Consumers should follow the rules and not be unlawful while
purchasing commodities.
4. Consumers should always insist on bills of purchase from the seller
so that if there is a problem with the purchase, the issue can
immediately be sorted out.
5. Consumers have the responsibility to call out exploitative behaviour
and unfair trade practices on the part of a seller.
 6. Consumers must form organizations that are non-political to
express consumer needs and requirements.

Importance of Consumer Rights and Consumer Responsibilities

Everything that we own today is a result of us being a consumer who

purchases certain commodities. This is why we must all be aware of our
consumer rights as well as consumer responsibilities. We all have to go to
the market and be a consumer at least once in a while, and it is vital to
know the meaning of consumer rights to help us realise if we are ever
being exploited by a seller.

Following are some ways and means of consumer protection followed in India:
 Self Regulations by Business: Large business houses have realised that they
can prosper and grow for a long period of time only by giving due importance
to consumers. ...
 Business Associations: ...
 Consumer Awareness: ...
 Consumer Organisations: ...
 Government:’

COPRA

The Consumer Protection Act, 1986 (COPRA) was an Act by the

Parliament of India elected to protect the interests of consumers in
India. It was replaced by the Consumer Protection Act, 2019.

The Consumer Protection Act, 1986 (COPRA) was an Act by the Parliament of India elected to

protect the interests of consumers in India. It was replaced by the Consumer Protection Act,
2019. It was made for the establishment of consumer councils and other authorities for the
settlement of consumer's grievances and matters connected with it. The act was passed in
Assembly in October 1986 and came into force on December 24, 1986. The statute on the right
was made before this COPRA act 1986
Jago Grahak Jago (transl. Wake Customer Wake) is a consumer awareness program launched
in 2005 by the Department of Consumer Affairs under the government of India. Under this
scheme the various channels are created to spread awareness of rights among consumers and
to stop wrong practices by merchants. The result of this was that many illegal things going on
were stopped and good quality product is delivered to the end node. Under this scheme there
was an establishment of consumer forum and court to handle cases filed by consumers. At
consumer forum complaints are received and then proceedings over the case is carried out in
court. By providing helpline number jago grahak jago achieved mass popularity and fast reached
out to very end node i.e. consumer

Benefits of Jago Grahak Jago Programme[edit]

 Halt to illegal practices: The best thing about the jago grahak jago program was
that on a single complaint, action is taken to stop malpractices.
 Fixed rate on products: Consumer’s right of getting the product at a fixed rate is
achieved i.e. no merchant can charge consumer more than the Maximum Retail
Price.
 Right to bargain: Consumer's right to bargain is fulfilled.

Consumer Awareness is a demonstration of ensuring the purchaser or buyer knows

about the data and information about items, products, administrations, and buyers'
privileges. Consumer awareness is significant with the goal that purchasers can
settle on the best choice and settle on the ideal decision.
Consumer awareness

Consumer exploitation
What is consumer awareness?
Consumer Awareness is a demonstration of ensuring the purchaser or buyer knows
about the data and information about items, products, administrations, and buyers'
privileges. Consumer awareness is significant with the goal that purchasers can
settle on the best choice and settle on the ideal decision.

How to spread consumer awareness

हिन्दी में

In English

Publish periodical and product specific booklets, pamphlets,

cassettes, CDs, slides, documentary films and other devices of
mass communication for promoting consumer awareness in English
and regional languages, highlighting the problem in specified areas
like real estate, public utilities

What are the ways to spread consumer

awareness?
How to increase customer awareness
  Differentiate your business. The first step to building customer awareness is
to distinguish your brand or company's offerings from your competitors'
offerings. ...
 Encourage referrals and reviews. ...
 Map the customer journey. ...
 Build your presence. ...
 Increase brand awareness.

The five ways in which consumers can be exploited in the market are:

 Supply of defective goods

 Sale of adulterated goods
 Use of false weighing scale, machines and other measures using tools
 Sale of sub-standard or goods that do not conform to the prescribed quality standards
 Advertisements falsely claiming a product or service to be of superior quality, grade
or standard

BRIEF DESCRIPTION ABOUT ABOVE 5 WAYS

1 supply of defective goods
In the course of business activities, there are often cases where the
Buyer encounters the fact of receiving a defective Product. At the
same time, significant defects of a Product may be found by the
Buyer after its acceptance

2 supply of adulterated goods

Food adulteration refers to the act of intentionally debasing the
quality of food by either adding or replacing the food
substances with undeclared alternative components, or by the
removal of some valuable components. This is usually done to
lower the cost or increase the bulk of a given food product.

Use of false weighing scale, machines and other measures using tools
Use of false weights and measures is a common malpractice some
traders adopt while selling goods. Goods which are sold by weight,
(Kg) or those sold by measures (meters) are sometimes found to be
less than the actual weight or length.

 Sale of sub-standard or goods that do not conform to the

prescribed quality standards
 Which ensures that the goods conform to the prescribed
quality standards?
 Thus manufacturers are permitted to use the ISI mark on
their products only after ensuring that the goods conform
to the prescribed quality standards.

What is the quality standard mark for consumer rights?

Mark is a standardization mark issued by the Bureau of Indian
Standards (BIS) to certify that the products conform to the
minimum quality standards. The Product Certification Scheme
of BIS aims at providing Third Party Guarantee of quality,
safety and reliability of products to the customer

CONSUMER PROTECTION ACT

What is Consumer Protection Act?

The Consumer Protection Act, implemented in 1986, gives easy and fast
compensation to consumer grievances. It safeguards and encourages
consumers to speak against insufficiency and flaws in goods and
services. If traders and manufacturers practice any illegal trade, this act
protects their rights as a consumer.

RIGHTS UNDER CONSUMER PROTECTION ACT

These rights are
(i) the right to be protected
(ii) (the right to be informed
(iii) the right to be assured
(iv) (the right to be heard
(v) the right to seek redressal (vi)
(vi) the right to consumer awareness.

BRIEF DESCRIPTION ABOUT THE RIGHTS DESCIBED ABOVE

1 right to protection
Consumer Protection Act, 1986 seeks to promote and protect
the interest of consumers against deficiencies and defects in
goods or services. It also seeks to secure the rights of a
consumer against unfair or restrictive trade practices.

2 right to be informed

Right to be informed is one of the most important consumer rights.

This means that all details regarding the quality, price, quantity,
ingredients/contents, side effects, purity and potency must be
provided or made available to the customer

3 right to be assured
Right to Choose: The meaning of Right to Choose as per the
Consumer Protection Act 1986 is 'the right to be assured, wherever
possible, to have access to a variety of goods and services at
competitive prices'.

4 the right to be heard

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.

5 RIGHT TO SEEK REDRESSAL

Right to Seek redressal

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.