Importance of Consumer Protection

This resource gives information about the Needs and Importance of Consumer Protection.

Meaning of Consumer Protection:

Consumer Protection means protection of consumers from various unfair trade practices. The purpose of such protection is t avoid exploitation and check various business malpractices.

Commercial organizations are well organized, better informed and have a better dominating position. Because of this, they easily exploit consumers. The worst affected victims of these commercial organizations need to be protected and the consumer is protected through consumer protection.

Importance of Consumer Protection:

(1) To Organize Consumers: Indian consumers are scattered over a wide geographical area. They are not well organized. They have a low power and businessmen exploit consumers. Here we need consumer protection.

(2) Provide Market Information: Majority of the consumers have no information about quality, type, price and other marketing facilities. Many customers buy without product knowledge and this make them suffer losses.

(3) Importance of Physical Safety: Indian markets are over flooded with products. The products may be adulterated and may be health hazardous. This may endanger their life and due to this a consumer needs to be protected.

(4) Avoiding Monopoly: Consumer Protection is very important in terms of avoiding monopoly. Monopoly is the crown of modern market. Most of the organizations, irrespective of various restrictions follow monopoly practice. Due to this consumers get affected and needs to be protected.

(5) Prevention from Malpractices: Business malpractices are rapidly growing in modern market. Businessmen follow unfair trade practices, restrictive trade practices and monopolistic trade practice and consumer protection plays a vital role.

(6) Avoiding Pollution: Pollution is very serious issue taken by every country. Pollution affects the mind and health of not only consumers but also citizens. It is important to avoid pollution to save society at large from pollution.

(7) Misleading Advertisements: Many organizations, deliberately cheat consumers through wrong or misleading advertisements. This will protect consumers from getting exploited.

(8) Informing Consumers about their Basic Rights: Majority of the consumers are ignorant. They do not know about consumer rights. Consumer movements inform consumers about their rights and protect their interest and rights.


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