• Submitted By: sshrey
  • Date Submitted: 04/27/2013 5:58 AM
  • Category: English
  • Words: 1615
  • Page: 7
  • Views: 129


Consumer exploitation
Consumer exploitation implies a situation in which consumers are cheated by the business community. The businessmen cheat the consumers by giving poor quality or charging higher prices.

Common ways of consumer exploitation

1. Underweight and under-measurements: The goods being sold in the market are sometimes not measured or weighed correctly.
2. Sub-standard quality: The goods sold are sometimes of sub-standard quality. Selling of medicines beyond their expiry dates and supply of defective home appliances are common examples.
3. High prices: Traders charge a price higher than the prescribed retail price.
4. Duplicate articles: In the name of reputed firms, fake or duplicate items are being sold to the consumers.
5. Adulteration and impurity: Harmful substances are mixed in edible items. It harms their health.
6. Artificial scarcity: Traders create artificial scarcity by hoarding. They sell the goods at a higher price, which is called ‘black marketing’.
7. False or incomplete information: Sellers mislead consumers by giving wrong information about a product. They do not provide correct information related to price, quality, expiry date, durability, effect on health and environment and the maintenance costs.
8. Unsatisfactory after-sale service: Sellers do not provide satisfactory after-sale service. Such service is necessary for electrical & electronic goods, car and other vehicles.

Factors causing exploitation of the consumers

1. Limited information: Consumers are exploited because they do not have correct information about price, quality, composition, conditions of use, terms of purchase, etc. Because of this they are liable to make a wrong choice and lose money.
2. Limited supplies: The consumers are exploited when the goods and services are not available in the required quantity or numbers. Scarcity, real or...