Question

Explain the need of consumer protection?

Answer 1

Under the modem philosophy of marketing, consumer is supposed to be the king and business is expected to provide maximum possible satisfaction to consumers. But in reality, consumers are often exploited. In a country like India there is shortage of many products. A few firms enjoy monopoly powers in the market place. A large majority of consumers are ignorant and illiterate and do not know their rights. They are poor and there is lack of unity among them. Due to all these reasons, consumers are often deprived of their rights. They are often exploited through misleading advertisements, poor quality goods, fractional weights and measures, overcharging, etc.

Consumer Protection is necessary due to the following reasons:

1. It gets materials, manpower, machinery and other resources from society. Therefore, it is obliged to supply the right products at reasonable prices to the public.

2. It is the moral responsibility of business to protect and promote the interests of consumers.

3. The basic function of business is to satisfy the needs and expectations of consumers. It is through consumer satisfaction that business can earn profits and continue operations in the long run.

4. The Government of India is committed to the welfare of general public by encouraging fair trade practices.

5. Education and information through newspapers, radio and television has made people conscious of their rights as consumers.