Consumer Protection Consumer protection is a form of social action which is designed to attain the well-being of the society namely consumers. A consumer is said to be a king in a free market economy. The earlier approach of caveat emptor, which means “Let the buyer beware,’’ has now been changed to caveat venditor (“Let the seller beware”). However, with growing competition, manufacturers and service providers may be tempted to engage in unscrupulous, exploitative and unfair trade practices like defective and unsafe products, adulteration, false and misleading advertising, hoarding, black- marketing etc in an attempt to expand their market share in a competitive environment.
As a consequence, consumers may have to buy unsafe products, may have to suffer from various health disorders, due to adulteration; may have to pay higher price due to hoarding and have to get duped by misleading advertisement. In this situation there is a need to provide adequate protection to consumers against all such malpractices of sellers/vendors. Both voluntary measures and law serve as tools to protect consumer’s interest. of livelihood, and there is wide disparity in the income of people.
Majority of the people are mostly illiterate and have low income. In order to save or protect them, against exploitative practices of trade, consumerism has emerged and has been accepted as a defensive force to safeguard the interest of the customers. Evolution of Consumerism The major causes of consumerism in India have been identified as rising prices, poor product performance and service quality, product shortages and deceptive advertising and inflation. Government has been very responsive to the consumer needs through legislative actions.
Economic discontent has been generated out of spiralling inflation. Thus it has become necessary for the consumers to stand up for their rights through effective organisation in order to redress the grievances. The word consumerism came into existence in the year . Growth Consumerism or consumer movement is an outcome of sufferings, and exploitations of consumers.
It intends to shield the consumers from commercial terrorism and exploitative practices. Its aim is to safeguard their interests by establishing their rights and powers in relation to products and sellers. Mr. Ralph Nader pioneered the fight against monopoly and unethical trade practices of large companies in the United States.
He is considered to be the father of the Consumer Movement. He initially fought against automobile industry for violating safety standards and pollution control norms. But today, in almost all countries the consumer movement is well developed. Countries like Britan, Sweden, Netherlands, Denmark and even in Kenya have stringent laws against consumer 12th Commerce Unit - - .
. AM Self-regulation, Consumer Associations, Alert consumer, and State Support are some of the means of consumer protection. Individual consumer is considered more vulnerable, in the modern world, to exploitation and harassment by the manufacturers and distributors or sellers because of environmental complexities of business operations, technological changes, application of mass production techniques, vast resources, man-power and acrimonious advertising, Hence it is necessary to protect and promote the consumer interest. Satisfaction and well being of the consumer should be the main objective of all business units.
In real practice, consumer is not protected or safeguarded but, consumer is cheated and looted. Thus, there is a need for consumer movement to safeguard their interest.