Protecting the interest of the consumers is termed as Consumer Protection. It involves the rights, duties and remedies available to the consumers.
Meaning of Consumer Protection:
It refers to that practice which safeguards the buyers of goods and services. It is not only beneficial for customer, it is equally important for all business units. Consumer protection spread awareness among the consumers so that they canapproach tp protect their interest. For example, government regulations needs businesses to disclose full detailed information about their products in which they are dealing aspeacially in areas like: public health, food or safety.
By replacing the previous enactment of 1986, On July 20th, 2020, the new Consumer Protection Act, 2019 came into force in India, new Act maintain the administration and settlement of disputes by providing strict penalties, including jail terms for adulteration and for confusing advertisements.
There are some significant enactments that are aimed at the protection of such interests: Drugs and Cosmetics Act, 1940, The Indian Standards Institution (Certification Marks) Act, Sale of Goods Act, 1930, Agricultural Produce Act, 1937.
Consumer protection guides businessmen about the social responsibilities towards the society and aloow them to behave ethically.
Importance:
It provides the wide information to the ignorant consumers regarding their rights. There are some following points which give more clarification about the concept: And along with it we will discuss the important points from comsumer point of view as well as businessman point of view:
1. Importance of consumer protection from consumer side:
a) It spread the awareness regarding the various Redressal Agencies so that consumer can protect their interests. They can also know about the rights and remedies which are available for them.
b) Consumer protection encourages for creating consumer organisations. with the help of these organisations consumers can file the case against the mishappening or misconduct done by the marketers.
c) It provides the protection to consumers from unfair trade practices and expoitation
2. Importance of consumer protection from businessmen’s side:
a) In the race of compition a businessmen can win and capture the wide market share by satisfying the customers. The businessmen who ignores the customer prefrances can lose their custmers and reputation also. So this is the interest of the business itself to keep its customers satisfied.
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b) Ethics and moral values enhancing the reputation/goodwill of the concern and it also helps in brand building. According to today’s scenario if businessman not follow the right guidlines then they can face problems got long period of time. Because now a days if customers are happy then the businessman will get benefits for long run.
c) Businessmen will be free from government interventions if he is away from unfair trade practices.
d) The basic moitive of the businessman is to create new customers and retain the existing customers, it is only possible if he protect his customer’s interest and make them satisfied by providing good quality products.
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