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Consumerism: Dr. E. Jalaja

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Consumerism

Dr. E. Jalaja
What is consumerism?
 It is the organized efforts by individuals, groups and

governments to help protect consumers from policies and


practices that infringe consumer rights to fair business
practices.
 It is a movement for the protection of the consumer

against useless, inferior and dangerous products,


misleading advertising, unfair pricing, etc.
Origin
 1915- the term consumerism is used to refer
“advocacy of the rights and interests of
consumer”.
 1955 – John Bugas (Ford Motor company)

used the term Consumerism as a substitute


for capitalism to describe the American
Economy.
Consumerism in India
 1969 – first started In India through
housewives at Mumbai.

 1986 – Parliament passed an act for the


welfare of consumers “The Consumer
Protection Act, 1986”.
Positive effects of consumerism
 More industrial production.
 A higher growth rate economy
 Availability of more goods and services
 More advertisement to sell the goods

produced
 Increased production creates more

employment
 More choice in goods and services
 Better living because of more comforts.
Negative effects of consumerism
 Depletion of Natural Resources
 More pollution
 Wants and desires of people change from

time to time.
 Satisfying consumers is near really difficult.
 Necessity to earn more money to enjoy

luxury.
 Personal relations will be damaged.
 Creates Ecological Imbalance is created. Eg.

Global warming.
Consumer Protection Act, 1986.
 Applicable to whole of India except Jammu &
Kashmir.
 Applied to all goods and services and is

enforced by Central Government.


Consumer Exploitation – Factors
 Deceptive and
misleading Techniques
 False warranties and

Guarantees
 Non availability of goods
 Adulteration ( Adding or

removing of substances
from food)
 Black Marketing
Forms of Consumer Exploitation
 Underweight or under measures
 High prices
 Substandard Quality
 Duplicate articles
 Rough behaviour and undue conditions
 Lack of safety devices
 Poor sales service
Ways to protect consumer
 Lok Adalats
 Public Interest litigations
 Consumer protection councils
 Consumer court
Rights of a consumer
 Right to safety
 Right to information
 Right to choose
 Right to be heard
 Right to consumer education
 Right to healthy environment
 Rights to basic needs
Responsibilities of a consumer
 Being aware of various goods and services
 Buying only legal products
 Buying only standard products
 Always taking the proof of purchase
 Filing case if any thing is wrong
 Respecting the environment
Consumer Redressal Agencies
 District Consumer Disputes Redressal Forum – Undertakes the
cases whose Value of Goods and Services are claimed below Rs. 20
Lakhs.
 State Consumer Disputes Redressal Commission - Undertakes
the cases whose Value of Goods and Services are claimed above Rs. 20
lakhs and below Rs. 1 Crore.
 National Consumer Disputes Redressal Commission -
Undertakes the cases whose Value of Goods and Services are claimed
above Rs. 1 Crore.
Time Schedules for the disposal of
complaints / Appeals

 complaint - should be decided with in 3 months if the sample is not be tested.


If the sample is to be tested time duration is 5 months.

 Appeals – within a period of 90 days


Who can file a complaint
 Consumer
 Any voluntary consumer association registered under

companies act, 1956.


 The central or state Government
 One or more consumers
 In case of death of consumer the legal heir of the

consumer.
Filing a complaint
 On a plain paper with the following contents
◦ Name, description and address of the complainant
◦ Name, description and address of the opponent party.
◦ Facts relating to the complaint
◦ Supporting documents.
◦ Relief the complainant claims
◦ Signature on the document
◦ Submit the application in person or through Registered post.
◦ Payment of nominal court fee.
Remedies available for consumers
 Removing the defect in the product
 Replacement of the product
 Return of the complainant the actual price
 Paying the claim to the consumer
 Discontinuing the unfair trade practices.
k y o u
Th a n

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