Samacheer Kalvi 12th Commerce Notes Chapter 16 Consumerism

→ Consumer dependency and business responsibility are- the two sides of a coin. The producer, the consumer and the Government are the three constituent elements of business.

→ A consumer is one who consumes goods manufactured and sold by others or created by nature and sold by others.

→ Consumers are being exploited by charged at higher price, adulteration, duplicate goods, artificial scarcity, sub-standard, product risk and false advertisement.

→ The term consumerism came into existence in the early 1960’s when it was coined by the business community in the western world particularly in America. Producers, sellers and service providers give importance to the consumers.

→ “Consumerism is an attempt to enhance the rights and powers by buyers in relation to sellers ” – L. Massie.

→ Consumer movement is an outcome of sufferings and exploitations of consumers. It intends to shield the consumers from commercial terrorism and exploitative practices.

→ Consumer protection is a form of social action which is designed to attain the well being of the society namely consumers.

→ Consumer is said to be the king of entire business sphere. Consumer who alone can put an end to all their unethical trade practices.

→ The general assembly of the United Nations passed a resolution on April 9th, 1985 adopting a set of guidelines for consumer protection to persuade the member countries to adopt policies and laws for better protection of interests of the consumers.

→ The Indian Contract Act, 1982 was passed to bind the people on the promise made in the contract.

→ The act provides for the setting up of a three tier – machinery consisting of District Forums, State Commission and the National Commission. It also lays down rules for formation of consumers protection councils in every District and state and at the apex level.

→ Mr. Narasimachary bought a refrigerator of a familiar brand with a warranty for seven years. He uses the fridge as per the guidelines given by the manufacturer. After the completion of two years the fridge went out of order. He was shocked, and approached the dealer. But the dealer refused to service the fridge at free of cost. What is your suggestion to Mr Narasimachary to this grievance?

According to the Consumer Protection Act 1986 every consumer must know the rights, duties and their responsibilities while using the product.

In this case the consumer Mr. Narasimachary ask the manufacturer to repair the fridge. The product have enough warranty period seven years. If the manufacturer is not give response to Mr. Narasimachary, he can file a case in consumer court according to the Act 1986. For that purpose he has to attached cash bill and warranty card of the bridge.

Samacheer Kalvi 12th Commerce Notes