conmsumer protection, consumer exploitation ppt

1. Introduction
Why consumer protection is needed ?
• Consumer education provides the public with the information it needs on
products and services so it can make well-informed decisions on what it
is purchasing and from whom it purchases.
• It helps consumers understand their rights and become active
participants in the buying process.
• Consumer education ensures that companies are held accountable by
governing agencies and the consumers that use their products and
services.

2. Consumer Ignorance Incident
• Incident of Sayyed Ali from Bhopal who as a consumer face fraud of 17.45
lakh rupee.
• FIR Section 420 Indian Penal Code which say in case fraud offender face
imprisonment and penalty only.
• Police only give justices not help to recover loss of consumer
• Why Sayyed never approached Consumer Court ?

3. Where we fail in educating consumers
Consumers are not taking
the awareness problem
and other programs
seriously.
Consumers are not aware
about their rights that is
the main problem.
Not taken correct decision
due to lack of knowledge
about rights and consumer
redressal process.
There are less awareness
programs in country to
educate consumers.

4. Consumer Exploitation
• Consumer exploitation is a situation in which a consumer is
cheated or given false information by the producer which
adverse effects on consumer.
• It is still a common practice that businessmen and Large
companies exploit the consumer on a daily basis.
• At times they pass on false information through the media and
other sources to attract consumers.

5. FORMS OF
CONSUMER
EXPLOITATION
Underweight
and Under
measures.
High Prices.
Sub Standard
Quality.
Duplicate
Articles.
Rough
Behavior and
undue
conditions.
Lack of safety
devices.
Poor or
inadequate
after sales
service.

6. Let's take a examples
• Consumers get carried away with the packaging .
• The table cloth is supposed to be in perfect design.
• But it was not like that until it was fully opened.

7. Another one
• many famous brand also do the things to
confuse the consumers.
• In this image the “new rich and care”
supposed to mean more or new minerals.
• But it was not like that.
• These all are the examples of the dishonest
labeling the consumers are not going to get
it until read carefully.

8. Factors Responsible For The Exploitation Of
The Consumer
Limited information
Wrong information
Unorganized Consumers
Spurious Goods
Deceptive Advertising

9. Other factors
Malpractices of Businessmen
Shortage of supply
Limited competition
Illiteracy and ignorance of the
consumers

10. DUTIES
OF WELL INFORMED CONSUMER
Duty of consumer to pay for the services or goods
purchased or used. However, if a client decides not to pay
for the services, here is what u can do.
Duty of consumer to check weights, balances, prices etc.
and read the labels carefully.
To update oneself about the various schemes of consumer
protection.
Duty not to fall in the trap of misleading information and
advertisements.

11. DUTIES OF WELL INFORMED CONSUMER
Not to buy goods from black markets.
To be an ethical consumer and procure the bills, receipts etc. for the good
and services purchased. If a consumer fails to take them then he/she might
find it difficult to file a complaint and prove the defect in the good.
Duty to gain knowledge about consumer rights and duties and to spread
awareness about the same.
Duty to file a complaint in case there is a defect in the good or service so
purchased.

12. WHERE WE FAIL
IN EDUCATING CONSUMER
• Educating customers is
something businesses can benefit
from, but most shy away from it due to
false assumptions such as – the belief that a
more educated customer will be less loyal or
‘know too much.
• It’s time to let go of these assumptions and
truly empower your customers with
knowledge and insights that help
them understand your products and how it
can be of value to them.

13. CREATING AWARENESS IN
CONSUMER
Ø Consumers can easily become aware of a
brand, product or service, because there is an
immediate need for that brand, or at least their
product or service.
Ø Step 1: Teach customers they do have a problem
or need. Making consumers aware of a problem can
be a little tricky when they don’t know or care too
much about it. Emotional or logical responses are
the best ways to inform them. The focus needs to be
on them at this stage, not your business

14. Ø Step 2: Teach customers the basic solution to the problem
This is not a hard or even a soft selling phase. You are simply
educating the consumer. You can do this by showing them your
product or service is the single best way to solve their problem or
meet their needs. Do this by focusing on the customer. Don’t try
and sell.
Ø Step 3: Here comes the selling
If you played your cards right, you should now have a clear way to
pitch the sell. Your customer has now been taught they have a
problem and they know your business can easily provide them with a
solution. Now you have to convince them to buy the solution from you
and not the competition! Now you can start listing reasons why your
business is the better choice

15. Individual Responsibilities toward
consumer
• Responsibility to be aware – A consumer has to be
mindful of the safety and quality of products and services
before purchasing.
• Responsibility to think independently– Consumer should
be well concerned about what they want and need
and therefore make independent choices.
• Responsibility to speak out- Buyer should be fearless to
speak out their grievances and tell traders what they
exactly want.

16. Individual Responsibilities toward consumer
• Responsibility to complain- It’s consumer responsibility to express
and file a complaint about their dissatisfaction with goods
or services in a sincere and fair manner.
• Responsibility to be an Ethical Consumer- They should be fair and
not engage themselves with any deceptive practice.

18. National Action Plan For Consumer
Awareness
Undertaking
Consumer
Awareness
programmes.
Strengthening
Consumer Forums.
Additional Staff for
Regional Reference
Standard
Laboratories.
Greater Involvement
of States/UTs with
Consumer Welfare
Fund (CWF
National Policy on
Consumer Protection

19. Jago Grahak Jago Campaign
• Government has used channels
to create consumer awareness
through print, audio
campaigns and media advertisement
s.
• The main objective of this
program to give the awareness to
the consumer's.
• This program will help Indian
consumers to know about their
consumer rights and also about their
duties as consumers.

20. Recommendations
 The subject ‘Consumer Awareness’ should be made mandatory at the school level
 Need for similar trainings.
 Activating district and state level consumer protection councils.
 Involving media for raising awareness on consumer rights.
 Distribution of reading materials in Hindi at gram panchayat and chaupal meetings
and resource persons from CUTS should be sent to teach consumer rights and
responsibilities to villagers at regular intervals in these meetings.
 Consumers to be more vigilant towards unfair trade.
 Government to put an end to the exploitation ofconsumers by private educational
institutions in the State

21. Conclusion
Consumers are cheated due to
illiteracy, innocence and lack of information.
Therefore it becomes necessary that the
information about their rights should be
provided to them so that they cannot be
cheated by producers and sellers. Consumer
awareness is important so that buyer can take
the right decision and make the right choice.

22. THANK YOU