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Chapter No.

02: Objectives, Research Methodology and Review 2014


of Literature.

Chapter No. 02:


Objectives, Research Methodology and
Review of Literature.

“A manufacturer of product, which he sells in such


a forms as a form as to show that he intends them to
reach the ultimate consumer in the form in which they
left him with no reasonable care in the preparation or
putting up of products will result in an injury to the
consumer’s life or property, owes a duty to the consumer
to take that reasonable care”. – Lord Atkin.

 Introduction.
 Consumer Exploitation.
 Consumer Protection Acts in India.
 Consumer Awareness and Education.
 Key Issues and Challenges in Consumer Education.
 Role of Media in Consumer Awareness and
Education.
 Role of Government in Consumer Awareness.
 Involvement of People At Large.
 Consumer Court.
 Study Area Profile.
 Population of Maharashtra 2011 census.
 Importance of Study.
 Objectives of Study.
 Research Methodology.
 Survey Methodology.
 Hypothesis.
 Scope and Limitations of the Study.
 Chapters Scheme.
 Review of Literature.

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Introduction:
The beginning of the 1990s was marked by emergence of a
novel concept in consumer protection when voluntary organization
in the interest of consumer education (VOICE) started conducting
comparative testing of the products available in the market and
publishing the results thereof for the benefits of the consumer at
large. The objective behind this exercise is to enable the consumers
to decide ‘Best Buy’ for themselves. In the year 1958, the Indian
Standards Institute had arranged a convention at New Delhi. As
per the resolution passed at the convention, the Consumers
Association of India was established in 1959. In 1966, the
Consumer Guidance Society of India was formed in Mumbai with
the object to protect consumers against rising prices of essential
commodities. In the same year Council for Fair Business Practices
was formed by leading industrialist like, J.R.D Tata and others.
The Indian Consumer Union was established in 1971. The activities
of the union include offering legal advice, testing facilities,
arranging lectures and seminars. The Consumer Education and
Research Centre were formed in 1978, at Ahmadabad, to guide and
protect Consumer Rights.1

India has an ancient history of consumer protection was part


of ancient culture and formed the core of its administrations.
Kautilya’s Arthshastra was the basic law of ancient India and the
same was strengthened with provisions to protect consumers. But
the introduction of boundless commercialization of activities
eclipsed the old rich heritage. As in Europe, in India also the origin
of the consumer movement was in the form of consumer

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cooperatives.2 Consumer Co-operative Societies like Grahak


Panchayat and Government Employees Consumer Stores, etc, are
also formed to protect consumers. They make their purchases
directly from producers and sell them at reasonable price to
members. The growth of consumer movement in India is very slow
due to several reasons such as, illiteracy of Indian consumers,
general attitudes of the public, lack of active support from political
parties and other members of the society. Only in urban areas like
Mumbai, Delhi, Kolkata, etc, the consumer movement is gaining
some prominence. There is hardly any consumer movement in
rural areas. The basic objectives of consumer movements
worldwide are as follows:
 To provide opportunity to the consumers to buy intelligently.
 Reorganization of reasonable consumer requests.
 Protection against fraud, misrepresentation, unsanitary and
unjust products.
 Participation of consumer representative management of
aspects affecting consumers.
 Promoting consumers interest.

The welfare of the consumers lies in the fulfillment of their


normal and legitimate expectation with regards to the goods they
purchases and the services they avail. In India where all the
consumer protection laws are in place, the consumers are not
really aware of them and the mechanism in place to redress their
grievances. Those who know the laws know that the process is very
slow and cumbersome. There are a number of steps taken to
protect the rural consumer but without much impact due to the

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prevailing socio-economic conditions of the consumers. They


generally base their purchasing decisions on the advertisement
campaigns and promotional strategies employed by the
organizations and also lack choice.

Consumer Exploitation:
Consumers are exploited when they are cheated in any form
or when not informed adequately about the product. Consumer
exploitation is in many ways. They may be exploited by giving
incomplete or wrong information. They may be exploited by sellers
who may weigh less or measure wrongly. Sometimes, a consumer
may be given low quality of goods. One of the very common and a
serious problem by which a consumer may be exploited and
cheated by the shop-keeper is by providing impure or adulterated
goods with harmful substances. Food adulteration is a serious
problem in the markets where the administrative machinery is not
able to tackle this menace. As far as the service sector is concerned
a large number of complaints regarding medical services, banking,
insurance and electricity go unreported as the consumer is
unaware of the redressal mechanism. Cases of medical negligence
are common but then the consumer has no choice.

The rural markets, which were earlier ignored by most of the


big international market players, are now being seen as a land of
great business opportunity. As the disposable income of the masses
is growing, more and more corporate houses are entering into the
rural markets with their new goods and products. Due to this
marketing for rural consumers is becoming more complex. In

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India, where a substantial number of the rural people are living


below the poverty line, having high level of unemployment and
poor literacy level; consumer awareness continues to remain low.
Several studies have shown that rural consumers are generally
ignorant and also unorganised. Under these circumstances, the
sellers or the manufacturers, exploit the consumers.

Consumer Protection Acts in India:


It was thought that passage of the Consumer Protection Act
in India in 1986 would encourage consumers to stand up for their
rights and lead to an overwhelming number of disputes in
consumer courts. Although a consumer movement has yet to get
going in India, existence of the act has stimulated the creation of
many consumer organizations across the country. The number has
such organizations has more the doubled in the last few years so
that there are now 600-800 organizations in the voluntary sector.3
The movement has not blossomed because not all of the
organizations are active enough to make an impact, there has
hardly been any unified action which would demonstrate their
strength, and there has been no active consumer participation in
the movements. Consumers claim that the lack of consumer
education makes them passive and apathetic, and blame consumer
organizations. The majority of consumers in the country are even
unaware of the existence of consumer courts to which they make
take their grievances. Consumer rights organizations, however,
counter that they lack sufficient funds and blame the government
for their inaction. The Indian consumer movement is elitist and
considers the need to focus upon rural consumers, the significant

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contributions that organizations have made in laying the


foundations for change, the need for consumer education, the need
for specialists, the particular need for consumer protection with
regard to health-related products, and support by voluntary health
groups.

In India, the consumer movement as a social force originated


with the necessity of protecting and promoting the interests of
consumers against unethical and unfair trade practices. Rampant
food shortages, hoarding, black marketing, adulteration of food
and edible oil gave birth to the consumer movement in an
organized form in the 1960s. The movement succeeded in bringing
pressure. A major step was taken in 1986 by the Indian
government was the enactment of the Consumer Protection Act
1986 (COPRA).4 In India the main function/role of consumer court
is to provide some extra privilege to the consumers and to
maintain the fair practice by the seller or the service provider
towards the consumer. Submitting complaint is very simple and
consumer has no need to hire any lawyer.

Consumer Awareness and Education:


Consumer awareness plays a key role in customer decision
making. By increasing potential or current customer’s knowledge
about a product, service or business, a healthy economic
environment is established in which customers are informed and
protected and businesses are accountable. It benefits both
individuals and society as a whole. From individual point of view it
enhances critical thinking, improved life skills and increased self-

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confidence. Consumer awareness benefits the society by promoting


satisfaction, increasing economic stability and creating realistic
customer expectations. Within India, the level of consumer
awareness varies from State to State depending upon the level of
literacy and the social awareness of the people.

Consumer education should help to open the consumer eye


of the consumers. The consumer eye concept means that an
informed consumer looks at a product critically and analytically,
first from his own point of view as an individual consumer, then
with the interest of the community at large in mind. Consumer
education must inculcate the responsibilities of consumers.
Responsibilities always precede rights. If consumers want their
rights recognized, they must first exercise their responsibilities. In
a country like ours, given the scenario of economic disparity and
level of education and ignorance, educating the consumers,
remains a gigantic task. This calls for concerted efforts from every
one. Government has taken up number of initiatives for creating
consumer awareness in the country. The slogan
‘Jago Grahak Jago’ has now become a household name as a
result of the publicity campaign. Through the increased thrust on
consumer awareness in the XIth Five Year Plan, the Government
has endeavored to inform the common man of his rights as a
consumer.5 As part of the consumer awareness scheme, the rural
and remote areas have been given top priority.

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Key Issues and Challenges in Consumer Education:


Basically consumer education faces the following challenges-

1. Lacks of overall strategies: Most countries do not have an


overall consumer education strategy. Even in countries where
lifelong consumer education has been endorsed, little appears
to have been done to implement programmes to support such
learning.

2. Need to enhance the quality of education: According to


the country responses, the quality of consumer education
could be enhanced in terms not only of content, but also of
delivery.

3. Limited opportunities for education in school:


Because of the limited time available in the school curriculum,
it is not easy to find a place for consumer education. In
addition, responses indicate that the relevant governmental
institutions do not always fully see the importance of
consumer education and that school teachers hesitate to
include consumer education in their classes.

4. Lack of coherence in education initiatives: Although


consumer education in taught, there is a general lack of
cohesiveness with other relevant education policies, and it is
implemented in a fragmented way.

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5. Lack of sufficient self-motivation for both the


educated and the educator: Some responses suggest that
it is difficult for policy – makers to promote consumer
education because both the educators and the educated are not
very motivated to find and profit from the relevant educational
opportunities and information.

6. Limited resources: All of these challenges require


additional resources but these are limited in many countries.

Role of Media in Consumer Awareness and Education:


It can play an important role to promote general awareness
of the rights of the consumers by providing information to them. It
can publish periodical and product specific booklets, pamphlets,
cassettes, CDs, slides, documentary films and other devices of mass
communication for promoting consumer awareness in English and
regional languages, highlighting the problems in specific areas like
real estate, public utilities, non-banking financial agencies etc.6
Enlighten the business community on its ethical and legal
obligations to maintain quality of the products or services and to
be transparent in dealing with consumers. Conduct motivational
campaign for groups of potential customers both in urban and
rural areas. The role of media to promote consumer awareness
cannot be undermined and mass media is required to play a more
rigorous and positive role.

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Role of Government in Consumer Awareness:


Government will have to play more effective role in
promoting consumer awareness and protecting the interest of the
consumers. Government should make and implement rules of
punishment more harsh so that manufacturers and traders think
twice before adopting fraudulent practices. A campaign should be
set in motion to involve each and every consumer for making them
more conscious and aware of their rights and responsibilities. To
involve each and every consumer seminars, conferences, talks,
street plays etc. should be made a part of the campaign.
Government and other consumer activist agencies should make
efforts in the direction of propaganda and publicity of District
Forum, State and National Judiciary established for consumer
protection so as to make more and more consumer aware about the
machinery for their greater involvement and to seek justice in case
of grievances. Redress procedure should be made more logical,
easy enough to be understood by a large number of consumers.
Further, procedures should be designed as to have easy handling
and quick disposal of cases.

Involvement of People At Large:


The policies, schemes and programmes of the Government of
India through the Department of Consumer Affairs are no doubt
useful but their effectiveness finally depends on the involvement of
the institutions and the people at large. A number of schemes have
already been in operation such as, Grahak Jagran, consumer clubs
is schools, promoting involvement of research institutions,
universities, colleges etc., in consumer protection and welfare.

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Similar programmes and schemes are needed at the State


Government level also to provide further impetus to consumer
movement in the country. Organisations of civil societies are
having special responsibility in this regard. However, as
consumers, all of us should join our hands and remember the bold
words of Shri. Swami Vivekananda, a famous saint and
philosopher of India- “Arise! Awake! Stop not till the goal is
reached”.

Consumer Court:
Consumer Court is the name given to special purpose courts,
mainly in India, that deal with cases regarding consumer disputes
and grievances. These are judiciary set ups by the government to
protect the consumer rights. If any consumer is cheated by the
seller he/she can approach the redressal forum to seek justice.
Their main function is to maintain the fair practices by the sellers
towards consumers. Following are the different types of Consumer
Courts -7
1. A national level court works for the whole country and deals
with amount more than 1 crore.
2. A state level court works at the state level with case valuing
less than Rs.1 crore.
3. A district level court works at the district level with cases
valuing up to Rs.20 lacks.
4. In India the main function of consumer court is to provide
some extra privilege to the consumers and to maintain the
fair practice by the seller or the service provider towards the
consumer. Submitting complaint is very simple and

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consumer has no need to hire any lawyer. The government of


India has made approaching a consumer court very simple
and extremely cheap as the consumer can represent them
without having to hire a lawyer and the court fee is just Rs.
100.

Study Area Profile:


Maharashtra is located in the western part of India. The
capital of the state of Maharashtra is Mumbai. The state also has a
winter capital Nagpur. Maharashtra is the richest state in India
and contributes the highest share in the country’s GDP. Mumbai is
the financial capital of the country. The official language of
Maharashtra is Marathi. Maharashtra is one the leading states of
India.

Population of Maharashtra 2011 Census:


As per the census carried out by the government of India in
2011, the population totals of Maharashtra are mentioned below:8

 Total Population: The population of Maharashtra as per


the 2011 census is 112,372,972 compared to 96,878,627 in the
2001 census. In this decade the state of Maharashtra has
registered a growth of 15.99 per cent in total population.
Maharashtra accounts for 9.29 per cent of the total population
of India.

 Sex Ratio: There are a total of 58,361,397 males and


54,011,575 females in Maharashtra. As per the 2011 census, the

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sex ratio in Maharashtra stands at 946 compared to 922 in the


2001 census. As mentioned in the table below, the Child sex
ratio for the state has dipped significantly compared to 2001.

 Total Child Population: The total child population (0-6


years) in Maharashtra in 2011 is 12,848,375 compared to
13,671,126 in 2001. This has been a significant decline in child
population when compared to the child population in 2001.

 Urban & Rural Population: Close to half of the population


of Maharashtra resides in rural areas. The rural population
makes up 54.77 per cent whereas the urban population makes
up 45.23 per cent of the total population. The total rural and
urban population as per the 2011 census is 61,545,441 and
50,827,531 respectively. The urban population has increased
by 23.67 per cent whereas the rural population has increased
by 10.34 per cent over the last decade.

 Population Density: The total area of Maharashtra is


307,713 Km2. As per the 2011 census, population density is
calculated at 365 persons per Km2, which is almost equal to the
national average of 382 per Km2. As per the 2001 census
population density was calculated at 315 persons per Km2
which shows that there has been an increase of close to 15 per
cent in population density over the last decade.

 Literacy Rate: As per the census study of 2011, Maharashtra


has a literacy rate of 82.91 per cent. The male literacy is 89.82

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per cent whereas the female literacy is 75.48 per cent. There is
a slight improvement in literacy rate as compared to 2001
when the literacy rate in Maharashtra was 76.88 per cent.

Table No. 2.01:


Population Status of Maharashtra as per Census. ('000)
Particulars. 1961 1971 1981 1991 2001 2011
Total
Population 39,554 50,412 62,784 78,937 96,879 1,12,373
Male 20,429 26,116 32,415 40,826 50,401 58,361
Female 19,125 24,296 30,369 38,111 46,478 54,012
Rural 28,391 34,701 40,791 48,395 55,778 61,545
Urban 11,163 15,711 21,993 30,542 41,101 50,828
Schedule Caste 2,227 3,177 4,480 8,758 9,882 -
S.T. 2,397 3,841 5m772 7,318 8,577 --
Density of
Pupulation.
(Per Sq. Km._ 129 164 204 257 3,158 365
Literacy Rate
(%) 35 46 57 65 77 83
Sex Ratio (per
thousand) 936 930 937 934 922 925
% of Urban
Population. 28 31 35 39 42 45
Source: http://censusindia.gov.in

The total population growth in this decade was 15.99 percent


while in previous decade it was 22.57 percent. The population of
Maharashtra forms 9.28 percent of India in 2011. In 2001, the
figure was 9.42 percent.

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Importance of Study:
The efficient and effective programs of consumer protection
are of special significance to all of us because we all are consumers.
Even a manufacturer or provider of service is a consumer of some
other goods or services. If both the producers/providers and
consumers realize the need of coexistence, adulterated products
and spurious goods and other deficiencies in the services would
becomes thing of past. The active involvement and participation
from all quarters i.e. the Central and State Governments, the
educational institutions, the NGO’s, the print and electronic media
and the adoption and observance of a voluntary code of conduct by
the trade and industry and the citizen’s charter by the service
providers are necessary to see that the consumers get their due.
The need of the hour is for total commitment to the consumer
cause and social responsiveness to consumer needs. This should,
however, be proceeded in a harmonious manner so that our society
becomes a better place for all of us to live in.

Any individual who buys goods and services for personal


consumption and not for commercial purpose are called
consumers. Consumers form the largest economic group in any
country. They are the pivots of all economic activities. The
advancement of technology and the advent of sophisticated gadgets
in the markets and the aggressive marketing strategies in the era of
Globalization have not only thrown open a wide choice for the
consumers but also rendered the consumer vulnerable to a
plethora of problems associated with such rapid changes. There is
an urgent and increasing necessity to educate consumers so that

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they can be protected against the exploitation of the manufacturers


and sellers.

The present study has been conducted in Aurangabad, Latur,


Nagpur, Akola, Jalgaon, Pune, Raigad & Thane districts of
Maharashtra State of India. The study attempts to evaluate the
changing profile of the consumers, assess the level of awareness
consumers on various consumer protection measures initiated by
the Government of India, Maharashtra and other agencies, assess
the consumers’ current knowledge, attitudes, behaviour and
practices while purchasing goods or availing services, examine the
nature of unfair trade practices in the rural areas, assess the level
of satisfaction of the consumers on various products and services
available and to draw conclusions from the study and suggest
remedial measures for better protection of the rural consumers.

Objectives of Study:
The following objectives are selected for the present study:
1. To know the status of consumer education, protection and
awareness among the people.
2. To study the role and importance of consumer movement in
India and Maharashtra.
3. To take review of the Consumer Protections Acts in India.
4. To study the consumer protection machineries for consumer
awareness, consumer protections and for solving the
consumer disputes and grievances.
5. To know the significant impact of consumer movement on
selected sample respondents in Maharashtra State.
6. To know the future challenges before consumer movement.

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Research Methodology:
The study is based on both the primary and secondary data
and information. The primary data is collected from the selected
sample respondents from the selected districts of Maharashtra
State. The sample respondents were selected on the basis of
purposive random sampling technique. The data is collected with
the help of a structured questionnaire and interview with the
respondents and experts in these fields. The secondary data is
collected mainly from Published Reports of Government of India
and Maharashtra, Research books and Journals and various
websites in this direction. The data collected from primary and
secondary sources displayed by Tables and Graphs. The statistical
devices and tools of data analysis are used.

The present study covered the selected districts i.e.


Aurangabad, Latur, Nagpur, Akola, Jalgaon, Pune, Raigad & Thane
of Maharashtra State. The selection of respondents covered urban
as well as rural area of Maharashtra State. Purposively designed
questionnaire is used for collection of primary data from the
selected sample respondents. Both primary and secondary data
will be processed with the help of computer based software. A
simple and appropriate statistical tool is used for the analysis of
data. The details of samples selection are as follows:

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Table No. 2.02:


No. of Sample Respondents.
No. of Cases % to
District. filed by the Total No. of
Sr. consumer during Samples
No. the study period. Selected
1 Aurangabad 9,995 27.93 100
2 Latur 3,044 8.5 30
3 Nagpur 2,322 6.49 23
4 Akola 3,237 9.04 32
5 Jalgaon 10,591 29.59 106
6 Pune 5,075 14.18 51
7 Raigad 662 1.85 8
8 Thane 865 2.42 10
Total 35,791 100.00 360

The sample areas were selected in a way that they can best
represent the entire geographical regions of the State. During the
study period 2003 to 2012; 35,791 consumers filed the cases with
the District Consumer Forum at selected district. Out of total cases
filed i.e. 35,791; only 1 per cent consumers (Sample respondents)
i.e. 360 (rounded off to nearest figures) consumers were selected
for the present study. The sample respondents were selected from
the list provided by district consumer forums. The purposive
random sample technique was used for the selection of sample.
The questionnaire was developed based on the learning of the
exploratory phase and consultation with expert in this field. The
questionnaire was designed in such a way that all the survey

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objectives were covered. The questionnaires were translated in


local (Marathi) language so that respondents as well as
investigators are at ease while responding and taking responses
respectively. The data collected from primary and secondary
sources is analyzed with the help of tables and graphs.

Survey Methodology:
Following methodology was used to survey the consumers
who filed the complaint with the District Forum:
During the survey residential and commercial consumers were
randomly selected.
 The consumers were covered through face-to-face interaction,
by visiting them personally.
 A structured questionnaire was used to record the feedback of
the consumers. The survey questionnaire was prepared in
consultation with experts.
 Men or women, who involved in purchasing the goods and
services, were surveyed.
 The survey was conducted among the consumers, who were 20
years of age or above.
 During the survey urban, semi-urban and rural areas were
covered in each of the selected district.

Hypothesis:
The following hypotheses are formulated for the study:
1. The consumers’ awareness level is very low among the
respondents.

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2. Consumer Protection Act 1986 is not the effective instrument


for consumer protections.
3. Judicial System of District Consumer Forum is user friendly.

Scope and Limitations of the Study:


The present study is an attempt of the critical evaluation of
Consumer movement in Maharashtra State. Geographical area is
restricted to eight selected districts i.e. Aurangabad, Latur,
Nagpur, Akola, Jalgaon, Pune, Raigad & Thane districts of
Maharashtra State. The study covers the rural and urban area of
the district. The Study also covers the analysis and interpretation
of statistical data for a period of ten years i.e. 2002-03 to 2011-12.
The primary data collected from selected sample respondent
through questionnaire are analyzed with the help of statistical
tools. The study is having the specific limitations of both financial
resources and time. It has covered only 360 samples which are a
very small size. The conclusions of the study are therefore drawing
in the background of the limitations and shortcoming. With the
above mentioned limitations and shortcomings; every possible
effort are made by researcher to maintain the quality of the
research work. Since the consumer protection movement is still in
its infancy in Maharashtra the number of research studies is very
limited and the researcher developed the study mainly on his
investigations and interviews with the persons concerned. Even
though the business enterprises can play an important role in
consumer protection through self-regulation they are not included
in the study.

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Chapters Scheme:
The study will be distributed in the following chapters.
1. Introduction,
2. Objectives, Research Methodology and Review of Literature.
3. Role and importance of consumer movements.
4. Consumer Protections Acts and Consumer protection
Machineries in India.
5. Progress of Consumer Movement in India and Maharashtra.
6. Consumer Problems, Awareness, Protection, Rights and
Challenges.
7. Conclusions and Suggestions.

Review of Literature:
To study the implications of different issues in the
implementation of the Consumer Protection Act and also to
identify the areas already investigated by other researchers, the
Researcher has referred to important studies already undertaken
on consumer movements, awareness, rights, protection, redressal,
grievances, etc.

1. P. S. Verma (2002)9 - This study surveys the major


developments in the field of consumer protection in India
since 1984, when the statutory provisions for regulating
unfair trade practices were incorporated for the first time.
Among the developments described in the paper is the
strengthening of provisions for consumer protection through
amendments to the Act regulating restrictive and

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monopolistic trade practices (MTRP Act). Public-sector


undertakings and co-operative societies have been brought
within the purview of the Act, and consumers have obtained
the right to participate in inquiry proceedings before the
MRTP Commission. Consumers and their associations have
been given the right to seek redress of grievances arising out
of the violation of certain pieces of legislation, including the
Drugs and Cosmetics Act. The Consumer Protection Act,
1986, was enacted in order to provide speedy and
inexpensive redress of consumers' grievances. Redress can
now be sought before any consumer court also for negligence
or deficiency in medical services. The Bureau of Indian
Standards Act, 1986, has strengthened the measures for the
standardization and quality control of manufactured goods.
A Consumer Welfare Fund has been set up to provide
financial assistance to voluntary consumer organisations and
for the general development of consumer movement in the
country. A spurt in voluntary consumer organisations in
different parts of the country can also be observed. Other
developments include the establishment of a separate
Department of Consumer Affairs in the Union Government
and the setting up of a Consumer Product Testing
Laboratory.

2. Gul Aygen (2005)10 - As for the business world,


“consumerism should be regarded as one of the
uncontrollable variables that constitute a firm’s
environment” and should be treated with care so as to yield

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profitable results both for business and the society.


Manufacturers may consider upgrading product quality and
performance standards, increasing research commitments to
better identify consumer wants and needs, developing
owners’ manuals on product use, care, and safety, modifying
products for greater safety, ease of use and repair,
establishing industry product standards, providing more
informative product labeling, and creating new
organizational positions to deal with consumer affairs in
contributing to flourishment of consumer protection efforts
in our country.

3. Chacko Nisha and Tripathi B. N. (2006)11 concluded in


their study that all customers are aware of adulteration and
various adulterants found in food. Even though they are
aware of adulteration 33 per cent of the consumers happened
to buy adulterated food. Further, it was also found that in
spite of consumers being aware of existing problems of
adulteration they hardly seek any opportunity to fight against
it.

4. Meenu Agrawal (2006)12 - The process of development


coupled with increasing liberalization and globalization
across the country has enabled consumers to realize their
increasingly important role in society and governance. The
consumer movement in India is as old as trade and
commerce. In Kautilya’s Arthashastra, there are references
to the concept of consumer protection against exploitation by

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the trade and industry, short weighment and measures,


adulteration and punishment for these offences. In a
developing country like India, where the incidence of poverty
and unemployment is very high and the level of literacy is
very low, the people face a volume of problems, particularly
in the context of consumer related issues. This study brings
into focus the role and status of Indian consumers and their
problems arising from the given socio-economic set up of our
society. A critical appraisal of governmental policies and
programmes has also been attempted.

5. Dwivedi and Shukla (2008)13 highlighted some


important aspects of CPA, the Magna-carta of consumers and
suggested that the enactment of the act is a right step in the
right direction for protecting the interests of the consumers
from exploitation.

6. Majumder Bhaskar (2008)14 explains the problem of


protecting consumer rights that requires in the first place's
existence of basic minimum rights as individuals. Secondly,
the basic minimum entitlements need institutional
acceptance as rights. In developing countries like India rights
based institutional approach is often lacking, either because
of non-existence or improper functioning of intuitions and
because of weak bargaining power of individuals.

7. Singh A. N. (2008)15 stated the concern for the direction of


consumers by participation because the participation solely

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will develop the power and ability to fight and attain


additional work. Overall, author advocated a holistic
approach that has the cultural, social, spiritual and legal
aspects of consumerism.

8. Khanna Rakesh (2008)16 focuses on the vital aspects of


medical negligence and realized that the accountant based on
negligence based remedy that has to be initially determined.
So as try to do this, one needs to visit the law of torts. Though
during this sense, it's not new because the accountant still
covers those doctors World Health Organization square
measure salaried directly or indirectly by the shoppers.

9. Joshi, L. M. (2008)17 - threw some insights from the


executive and coaching facet, from that the certified public
accountant is found to be terribly helpful. Hence, support of
the Act takes into account to be vital. Also, the current Act
will be created more practical by taking feedback from the
shoppers.

10. Passent Tantawi (2009)18 - The last three decades have


seen a progressive increase in worldwide environmental
consciousness due to rising evidence of environmental
problems. Environmental protection is increasingly
becoming a necessity and part of a bigger agenda in the
urbanizing world of developing countries. Given the
increasing deterioration of the environment, Egypt as in
most developing countries should prevent pollution and

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preserve its natural resources. Egyptian consumers are just


at the stage of green awakening. The Egyptian government
and companies should respond to the green challenge by
knowing whether or not Egyptian citizens are concerned
about green issues. Environmental attitudes constitute a
significant part of environmental consciousness. Therefore,
this paper empirically investigates the attitude of Egyptian
consumers towards the environment in general.

11. Rajendra Prasad (2009)19 - This article examines the


historical perspective of consumer protection in India from
the Vedic age to the modern period. It also briefly analyzes
the development of consumer law in India. Finally, an
attempt is made to discuss the legal framework of the Indian
Consumer Protection Act of 1986 which led to the evolution
of a new legal culture in India. Consumer Protection has its
deep roots in the rich soil of Indian civilization, which dates
back to 3200 B.C. In ancient India, human values were
cherished and ethical practices were considered of great
importance. However, the rulers felt that the welfare of their
subjects was the primary area of concern. They showed keen
interest in regulating not only the social conditions but also
the economic life of the people, establishing many trade
restrictions to protect the interests of buyers.

12. Matthew Hilton (2009)20 - The history of consumerism is


about much more than just shopping. Ever since the
eighteenth century, citizen-consumers have protested against

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the abuses of the market by boycotting products and


promoting fair instead of free trade. In recent decades,
consumer activism has responded to the challenges of
affluence by helping to guide consumers through an
increasingly complex and alien marketplace. In doing so, it
has challenged the very meaning of consumer society and
tackled some of the key economic, social, and political issues
associated with the era of globalization. Consumer activists
achieved many victories, from making cars safer to
highlighting the dangers of using baby formula instead of
breast milk in countries with no access to clean water. The
1980s saw a reversal in the consumer movement's fortunes,
thanks in large part to the rise of an antiregulatory agenda
both in the United States and internationally. In the process,
the definition of consumerism changed, focusing more on
choice than on access. As Hilton shows, this change reflects
more broadly on the dilemmas we all face as consumers: Do
we want more stuff and more prosperity for ourselves, or do
we want others less fortunate to be able to enjoy the same
opportunities and standard of living that we do? Prosperity
for All makes clear that by abandoning a more idealistic
vision for consumer society we reduce consumers to little
more than shoppers, and we deny the vast majority of the
world's population the fruits of affluence.

13. Suresh Misra and Sapna Chadah (2009)21 - The


consumers in India have been provided with various safety
measures against their exploitation, still the sellers and

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producers are hoarding and black marketing the essential


goods, resorting economic corruption and frequently
cheating the consumers. Rural markets are full of sub-
standard goods and duplicity of branded goods is another
major problem in rural areas. As there is no check on
production and sale of such products in the rural markets,
many of these products have become health hazards. The
expansion of service sector has added to the problem.
Services like insurance, banking, electricity, medical have
expanded in the rural areas without any checks and balances
and the rural consumers continue to be exploited by the
service providers. Deficiency in services is a major area of
concern. Spurious drugs are causing major health hazards.
The vulnerable sections are mainly women, children and
farmers. It is common to find that farmers are supplied
defective seeds, adulterated pesticides and other sub
standard commodities. In the rural markets and hats
spurious goods are very common. The expansion of mass
media has further given impetus to consumerism in the rural
areas. Therefore, now it is widely believed that the fate of the
consumers cannot be left to the market forces. In view of this
the Government of India has taken a number of legal
measures to protect the consumers by enlarging the scope of
consumer protection.

14. A guide to developing consumer protection law


(2011)22 - Consumer protection can also be treated as an
extension of criminal law, considering commercial torts such

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as the manufacture and marketing of inherently dangerous


products, which can inherently damage the social order.
Consumer protection is also implied in the contract process,
and in how the parties to a contract frame their agreements.
In common law countries, for example, there is an implied
obligation of ‘good faith and fair dealing’ in every contract.
This means that it is assumed that each party to the contract
will do everything in its power to honour the terms of the
agreement and respect the other party’s rights. CP can also
be thought of as a civil or human rights issue: the right for
consumers to organize themselves, to have access to
information and public services, such as water, sanitation
and electricity, and to defend their interests. Consumer
protection, finally, might also be a political objective, a
framework for public policies in favour of the consumer. This
section briefly discusses the social objective of a strong
consumer protection regulatory framework.

15. Suresh Misra (2010)23 - The study ‘Role of Consumer


Clubs in Promoting Consumer Awareness and Education: An
Evaluative Study” analyses the various facets of consumer
clubs scheme highlighting their working, activities carried
out and various difficulties faced by the clubs. The focus of
the present research work is to evaluate the working of
consumer clubs and their role in promoting consumer
awareness and education. Consumer movement in India has
moved forward over the last 25 years, yet it has a long way to
go. In a country like India, where the demographic changes

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of the past decades are showing that it is moving towards a


younger population, educating the consumers remains a
gigantic task. Young Consumers, particularly between the 6-
18 age groups, have a vital role in the economic system of a
nation because they are the future of our country and
economy.

16. Kottapalle Aparna N. (2010)24 - In the 20th century the


world has witnessed the paradigm shift in the rights and
prospects of consumers with the origin and rise of
consumerism. In India also consumer movement began
during 1970s. Three tire systems for the redress of the
consumer grievances established under the consumer
protection Act, 1986 and today we find vigilance amongst
consumers to a great extent in Indian Cities. However, the
situations at village level are different. Though with the
liberalization the global market has reached to villages
consumer movement has not yet reached there. Problems of
rural consumers are alarming. Poor rural consumers are
exploited due to the surrounding darkness of illiteracy,
unawareness of consumer rights and redress mechanism
they are left to blame their destiny. In this research paper the
researcher has made an attempt to investigate and study the
status of rural consumers and difficulties faced by them and
also the technicalities followed by the District Consumer
Forums in Maharashtra due to which the basic object of
establishing separate mechanism for consumer grievances
redress is getting frustrated. The researcher also provides the
remedial measure to cure the situation.
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17. Chatterjee, A. and Sahoo, S. (2011)25 -The


contemporary era is marked as the era of consumers. No
country can knowingly or unknowingly disregard the interest
of the consumers. This can be argued on the basis of fast
enactment of consumer protection laws in almost all part of
the world. Apart from the consumer protection laws in
developed world, we could find the accelerated rate of
lawmaking for consumers in developing countries like
Thailand, Sri Lanka, Korea, Mongolia, Philippines,
Mauritius, China, Taiwan, Nepal, Indonesia, Malaysia and
other countries. India is not an exception to this rule. The
Consumer Protection Act, 1986, is one of the examples that is
to be treated as a milestone in the history of socio-economic
legislation to protect the interests of the consumers in India.
The main objective of the Consumer Protection Act is to
ensure the better protection of consumers. Unlike existing
laws which are punitive or preventive in nature, the
provisions of this Act are compensatory in nature. The Act is
also intended to provide simple, speedy and inexpensive
redressal to the consumers' grievances, and relief of a specific
nature and award of compensation wherever appropriate to
the consumer. The act has been amended in 1993 both to
extend its coverage and scope and to enhance the powers of
the redressal machinery.

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18. Kiran Chaudhry, Tanu Chandhiok and Parveen


Dewan (2011)26 - The process of development coupled with
increasing liberalization and globalization across the country
has enabled consumers to realize their increasingly
important role in society and governance. However,
concentration of the market power in the hands of a select
few has affected consumers’ behaviour over time. In a
developing country like India where the incidence of poverty
and unemployment is very high and the level of literacy is
very low, the people face a volume of problems, particularly
in the context of consumer related issues. Unlike in the
developed world, consumers in these countries have not been
able to play a greater role in the development process. In this
paper an analysis has been to explore the consumer
protection and consumerism in India.

19. Rishikant Agnihotri, Beenu Singh and Arti Singh


(2011)27 -The reach of mass media extends the vast
heterogeneous masses of the population of the country at the
same time. With the help of mass media messages can be
sent and received in any part of the world may be rural or
urban. Role of media - print media as well as electronic
media can be viewed as awareness of people. The media and
non government organizations have an important role to play
in the civil society. The media are the among the most
important allies to the NGO’s community some way in which
the media can be important to the NGO’s include writing
articles / Telecast - Broadcast Programs that - Create an

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environment of political pressure, Convey general


information, serving as a public education, Counter popular
misconception, Comment on an issue providing an
alternative view point. In this paper more emphasis is given
on how media can promote awareness about NGO’s activities
and also how NGO’s need media to convey their message to
society and government and also to form public opinion
about various policies and lastly media and NGO’s can work
for betterment of society continuously.

20. P. Jayasubramanian and A, Vaideke (2012)28 - The


study concludes that consumer protection measures are not
aware to general public because of lack of proper
communications. So in this context it is necessary to say that
information should reach that each and every individual
consumer. It further reveals that government brings out lot
of measures to protect consumer, but the consumer are not
using it properly. On the part of the sellers they still remain
as dominators of the market even though many laws come to
protect consumers. So it could be said as co-operative efforts
on the part of consumers, business and the government is
necessary to protect consumers. A well organized
consumerism makes the government responsive and effective
and also for a sincere and dynamic business enterprise.
Consumerism is not going to be a threat but only a better
opportunity for better business. However consumer
awareness through consumer education and actions by the
government, consumer activists, and association are needed

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the most to make consumer movement a success in the


country.

21. Vishal Sharma and Sunil Giri (2012)29 - Today, the role
of packaging is more than just helping customers to carry
their packages to home; now-a-days, packaging not only tells
them about the product, but also acts as an advertising
media. Packaging is a very good communication medium as
it gets the attention of consumers & they can relate to the
product easily. Different organizations use different
packaging attributes like designs, symbols, messages, shapes
& combining colours. So the importance of packaging as a
vehicle of consumer communication and branding is
necessarily growing. To have knowledge about consumer
psychology is important; so that manufacturers understand
how the consumers respond to their packages. Due to change
in the life styles of consumers, the interest in packaging is
growing among organizations; so packaging performs an
important role in marketing communications, especially at
the point of sale and could be treated as one of the most
important factors influencing consumer’s purchase decision.
This paper explores the different factors of packaging, which
influences the consumer to go for the purchase of particular
snacks in Jammu region in the current scenario.

22. Sharma Vijaykumar Ramcha (2012)30 - According to


the constitution of India justice is an important part in which
a consumer justice and protection is one subpart. There are

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number of legislations were passed by the Indian Parliament


but they fail to protect the interest of small consumers. In the
Consumer Protection Act, 1986 was passed, to protect the
interest of the consumers. Analysis of the various judgments
of the Consumer Courts reveals that they have not only been
awarding the value of the goods or services for the defect and
deficiency in service but also the compensation for the
mental agony and harassment. It is seen that in these cases
against the injustice consumers are in problem against the
bank. But the justice seems to have prevailed under the aegis
of the Consumer Protection Act. It has been found that there
is a positive justice to the consumers against the faulty
banking services.

23. Indira Nair (2012)31 - Any individual who buys goods and
services for personal consumption and not for commercial
purpose are called consumers. Consumers form the largest
economic group in any country. They are the pivots of all
economic activities. The advancement of technology and the
advent of sophisticated gadgets in the markets and the
aggressive marketing strategies in the era of Globalization
have not only thrown open a wide choice for the consumers
but also rendered the consumer vulnerable to a plethora of
problems associated with such rapid changes. There is an
urgent and increasing necessity to educate consumers so that
they can be protected against the exploitation of the
manufacturers and sellers. In spite of the various initiatives
undertaken by the Government to educate and promote

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welfare to the consumers, the analysis of the primary data


collected from 758 undergraduates’ students from six
different colleges located in six different talukas of Thane
District revealed that the level of consumer awareness is
limited. This paper tries to suggest some measures that
should be undertaken by the Government, business houses
and consumer themselves to protect the interest of the
consumers. An enlightened consumer is an empowered
consumer. An aware consumer not only protects himself
from exploitation but induces efficiency, transparency and
accountability in the entire manufacturing and services
sector.

24. Sewanand (2012)32 - The study has been written to study


the general awareness among consumer for consumer
protection and specially awareness of provisions of
Consumer Protection Act. It specifically studies the level of
awareness with regard to procedural formalities to be
completed while filing a complaint in consumer forum. It
also explains the important theoretical points related to
protection of consumer’s interest. For this purpose a sample
of 50 respondents has been taken. Data has been collected
through well structured questionnaire. Analysis and
interpretation of data have shown very interesting, alarming
and informative results and findings. At the end some
recommendations have been given for strengthening the
present setup more effective.

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25. Report Of The Working Group On Consumer


Protection - Twelfth Plan (2012-17)33 - The growing
interdependence of the world economy and international
character of many business practices coupled with the
change in the concept of State from welfare to contracting
have contributed to emergence of universal emphasis on
consumer rights promotion and protection. Consumers,
clients and customers’ world over, are on the move and
demanding value for money in the form of quality goods and
better services. Modern technological developments have no
doubt made a great impact on the quality, availability and
safety of goods and services but the fact of life is that the
consumers are still victims of unscrupulous and exploitative
trade practices. In view of this fact the Planning Commission
has selected ‘Consumer Protection’ as one of the subjects to
be included as priority areas for the Twelfth Plan and
constituted a Working Group to formulate a comprehensive
set of policies, programmes and strategies to launch a strong
policy paradigm for consumer protection.

26. Partap Singh (2013)34 - Indian market today is dominated


by the consumerism, particularly after a decade from
economic reforms process. It is gradually being transformed
from a predominantly sellers market to a buyers’ market
where exercised choice by the consumers depends on their
awareness level. Consumer rights could be protected in a
competitive economy only when right standards for goods
and services for which one makes payment are ensured by
evolving a network of institutions and legal protection
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system. Ensuring consumer welfare is the responsibility of


the government as every citizen of the country is a consumer
in one way or the other.

27. Manoj S. Kulkarni and M. B. Mehta (2013)35 - The


consumer is cheated in different ways by middlemen like
adulteration, under-weight of goods, selling goods of inferior
quality & duplicated goods, charging higher prices,
misleading advertisement in the media, etc. The consumer is
not sure of getting qualitative goods manufactured &
preserved in hygienic condition and at competitive prices.
The need for consumer protection arises because of the
exploitation of consumer & the denial of consumer' rights in
the absence of protective measures. This research focuses on
the awareness of consumer rights amongst management
students & study of buying patterns of them. Survey method
and the random sampling technique are employed to collect
the data. The Major findings of the research are that most of
the management students are aware of consumer rights but
they never lodge the complaints against traffickers. Therefore
they need to be educated by consumer organizations &
government more about the procedure of registering
complaints and seeking redressal.

28. Amarjit Lal (2013)36 - In the evolution of life human race


has emerged as the most dominating creature on this earth.
The story starts with the apes turning into homosapians
giving birth to human civilization. Any civilization requires a

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setup giving space and generating place for everything .With


the passage of time human has been generating commodities
providing comforts to his life. With the immense
development man has tried his hands in every sector. In the
present time human has made his life more and more
comfortable creating more pressure on the modes of
production. Earlier it was nature based but now it is demand
based. Population explosion has created more pressure on
the production. As a result the whole system has been
affected with the overflow of money and consumerism.
Whether it is a need or greed these production plants are
enduring the demands of the society. It has been become
essential to put a check on the movement of all the
commodities to check consumerism and make consumer
protection laws. The role of Government and Non
Government organizations (NGO’s) to execute these laws is
mandatory. Against this backdrop the present paper is an
attempt to examine the role of NGO’s in protecting and
executing consumer laws in district Hamirpur of Himachal
Pradesh.

29. S. Jamuna (2014)37 - Consumers need protection from


different kinds of exploitation at the market place. Rural
respondents are lacking with their rights and responsibility.
They should be educated and trained towards their own
welfare. Every consumer in own interest has to realize the
role and importance in the right perspective. In a competitive
economic environment, the consumer has to exercise the

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choice either in favor of or against the goods and services.


The choice is going to be vital and final. One would have to
realize the importance and prepare to exercise their rights
with responsibility. The consumers in society get a position
in the market depending upon what they do or do not do.
Consumers are cheated in the market because they do not get
proper consumer education. The government, voluntary
organization and educational institutions should come
forward to educate the rural respondents towards
importance of their rights and responsibilities. It helps the
consumers to develop the ability to decide and choose things
intelligently. The government should take immediate action
on the unscrupulous traders by cancelling their licenses
when the alleged change on them is proved and criminal
action should be taken against them.

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Chapter No. 02: Objectives, Research Methodology and Review 2014
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A Study of Consumer Movement in Selected Districts of Maharashtra. Page 98

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