Presented by: Mr. D. Gooden

This presentation is to be used solely for educational purposes no attempt should be made to profit from it.

The presentation is a combination of the author’s own work and information taken from R. Ramsawak’s Modules in Social Studies.

Consumer Affairs - Exploitation

Presented by: Mr. D. Gooden

Beware

What is consumer exploitation?

Consumer exploitation refers to the abuse of consumers’ rights andprivileges for business or personal gain.

Let’s look at a conversation among some consumers

Now let’s examine the conversation closely

Where in it do you see theseladies being exploited?

What’s a guarantee? It is an assurance given that goods or services are of a specified quality standard.

How did thesetwo consumersget exploited?

In order for consumers to avoid exploitation, they must be aware of the

tricks used by unscrupulous people.

BLACK-MARKETING

This is a situation where goods with ceiling prices established by law are sold above the controlled price.

HOARDINGPrevalent where goods are in short supply.

Scarce item areremoved and sold only if a consumer buys above a certain amount.

In order for consumers to avoid exploitation, they must be aware of the

tricks used by unscrupulous people.

BAIT-AND-SWITCH

A good is advertised –consumers are informed it is no longer in stock and persuaded to buy a substitute.

LOSS - LEADERSItems are sold belowthe cost price – intention is to give the impression that that store sells all goods at a low price. However the other items are

highly over - priced.

In order for consumers to avoid exploitation, they must be aware of the

tricks used by unscrupulous people.

FALSE SALES

Offers of reducedprices on goods are strong inducements to customers to purchase items that they do not need.

FALSE ADVETISING CLAIMS

Special claims beingmade about certain products – consumers are tricked into buying only to find out later that the claims are not true.

THE END