© examsnet.com
Question : 5
Total: 8
Explain any two points of importance of 'consumer protection' from the point of view of business and any two points from the point of view of consumers.
Solution:
Importance of consumer protection from the point of view of business:
(i) Long term interest of the business: In this highly competitive world, business firms can exist in long run only when they satisfy the consumers. Business firms should aim for long term profit maximisation through customer satisfaction .
(ii) Social responsibility: A business has social responsibility towards various stakeholders and consumer is one of the important stakeholder. So, it is the responsibility of the business to protect their interests.
Importance of consumer protection from the point of view of consumers:
(i) Consumer awareness: Consumers at large are ignorant of their rights and responsibilities and various redressal mechanisms. Therefore, it is important to educate them and make them aware of the same to ensure overall consumer welfare.
(ii) Unorganised consumers: In India, consumers have not yet organised themselves to have powerful consumer movement. Owing to this, here is strong need to provide adequate protection.
(i) Long term interest of the business: In this highly competitive world, business firms can exist in long run only when they satisfy the consumers. Business firms should aim for long term profit maximisation through customer satisfaction .
(ii) Social responsibility: A business has social responsibility towards various stakeholders and consumer is one of the important stakeholder. So, it is the responsibility of the business to protect their interests.
Importance of consumer protection from the point of view of consumers:
(i) Consumer awareness: Consumers at large are ignorant of their rights and responsibilities and various redressal mechanisms. Therefore, it is important to educate them and make them aware of the same to ensure overall consumer welfare.
(ii) Unorganised consumers: In India, consumers have not yet organised themselves to have powerful consumer movement. Owing to this, here is strong need to provide adequate protection.
© examsnet.com
Go to Question: