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Presentation By,
PUNEET T.R RAGHAVENDRA RAGHU V RAJESHWARI V RAMESH
TOPICS
Markets & Consumer protection.
Business Firms Duties to consumers. Due care theory . The social costs view of the manufactures duties. Advertising ethics. Consumer privacy.
In the market approach to consumer protection, consumer safety is seen as a good that is most efficiently provided through the mechanism of the free market whereby sellers must respond to consumer demands. Consumers want products to be safer, they will indicate this preference by paying more & showing preference for manufactures of safe products.
All buyers & sellers are rational utility maximizers: Few people good at estimating probabilities. People are irrational & inconsistent when weighing choices.
Provide quality products to consumers that lives upto those claims that the firm expressly made about the product. Quality of products includes: Reliability Service life Maintainability Product safety
Duty of Disclosure :-
The sellers should disclose exactly what the customer is buying (characteristics) & the terms of sale. Duty not to misrepresent :Misleading the person to act as the deceiver wants him to, by hiding the truth. Duty not to coerce :Taking the advantage of people who often act irrationally under the influence of fear or emotional stress.
agreement based on the doctrine of caveat emptor.(let the buyer be aware).consumers may have to buy 100 of products so they may not have knowledge of all products.
enough due care. Assumption of manufacture who discovers risks of the product before the consumer buys & uses it. Manufactures important decision for the customer based on levels of risks that are proper for consumers to bear.
Thank you..