6 consumer rights

Dear friends, today we will discuss about 6 types of consumer rights. Let us discuss them. To protect the interest of the consumers, consumer protection act 1986 was established. The provisions of this act came into force from first July 1987. As per this act, the government of India provided some rights to consumers. These 6 consumer rights are:

  • Right to information: As per this, it is the right of the consumer to be informed about the quality, quantity, price, purity, and standard of the goods. It is the responsibility of the producer to provide consumer relevant information.
  • Right to safety: This right protects the consumer from the sale of dangerous goods or services like the consumer always prefers to buy an ISI mark product rather than an unmarked product.
  • Right to make choice: As per this right, the consumer has a right to choose among the various goods and services available. The producer should not force the consumer to buy a particular brand.
  • Right to be heard: This consumer right means that the consumer has the right to represent himself or herself in case he or she has been exploited or having any complaint against the product or service.
  • Right to seek redressal: As per this consumer right, the consumer has the right to get compensation against any kind of exploitation. This right includes compensation in form of money or replacement or repair of goods.
  • Right to consumer education: according to this right, it is the right of the consumer to get the knowledge and skills to be informed to the customers. For this, Indian government has included consumer education in the school curriculum as well as in University courses. The above are the 6 types of consumer rights.

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Meaning of controlling in Business Management

Controlling is one of the functions of management. It is the function which brings back to the management cycle to planning. It can be defined as comparing actual performance with the set standard performance. Then finding out the deviation if any, it’s reason after that taking the corrective action so that in future actual performance match with the set standard performance.

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Concept and Types of industry

Industry means place where the resources are converted into finished or useful products. There are basically three types of industries.

I) Primary industry

II) Secondary industry

III) Tertiary industry

I) Primary industry: This type of industry involves in the activities related to extraction and production of natural resources. It also performs activities relating to the reproduction and development of living organisms. It is of two types:

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Concept of Commerce

Commerce includes all those activities which are necessary for maintaining the free flow of goods and services from the producers to the ultimate consumers.

Branches of commerce

  1. Trade: trade refers to sale or exchange of goods and services. It is of two types: internal and external trade. Internal trade refers to the trade within the country. It is further divided into two parts wholesale trade and retail trade. In wholesale trade goods are bought in wholesale and sold to retailers. In retail trade goods are bought from whole-sellers and sold to the ultimate customers.  External trade refers to the trade outside the country. It is of three types: Import, Export and Entrepot. Import means purchasing goods from other country. Export means selling goods to other country. Entrepot means goods are imported for exporting to other country.
  2. Aids to trade: It means all those activities which help in the trading process. These are: transport and communication, banking and finance, insurance, advertising, and warehousing. Transport creates place utility by movement of goods from one place to another. Banking creates finance utility by providing financial assistance to the businessman. Insurance creates risk utility by providing cover against business risks. Warehousing creates time utility by storing the goods and advertising creates the knowledge utility by providing information to the customers. The following diagram will explain in detail about the commerce and its various types:
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Difference between Business, Employment and Profession

Dear Friends, you must have heard about business, employment and profession. Many of us want job that is employment but many of us want to start business also. Both are professional development paths.

Let us today formally understand the Differences between Business, Employment and Profession in tabular form. The following table is divided into four parts that is basis, business, employment and profession:

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Concept of total product, marginal product and average product

The concept of total product, marginal product and average product is very important in economics. Let us discuss them one by one:

TOTAL PRODUCT (TP): It is the sum total of output produced by all the units of variable factor along with the fixed factors of production.

TP=50+70+80+80+60=340 UNITS OF A COMMODITY (Refer below table)

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Concept of production function and its types

Today we will discuss about concept of production function and its types. It is the functional relationship between physical input and physical output of a commodity.

               QX=f (L, K)

30X=f (2L, 10K)

According to it 30 units are produced using 2 units of labour and 10 units of capital. By implying more units of labour say 4 units and 20 units of capital the output could be increased to 60 units.

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6 Factors affecting elasticity of demand

These are the factors which decide the demand elasticity of the consumer. The elasticity of demand may be more elastic or less elastic. The six factors which determine the elasticity of demand are given below:

  • Nature of commodity: There are three types of commodities. The necessities are the things which are essential for the consumer like salt, sugar etc. The demand of these kinds of products does not change much with the change in the price. So the demand of these kinds of products is inelastic. But in case of luxuries products the demand varies with the change in the price. if the price is high some people will stop buying it while if the price  falls some people will start buying it.  So the demand of these kinds of products is more than elastic. In case of comforts which are required for the comfort of the consumer like air conditioners, heater etc. their demand is elastic.
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