Tamilnadu 12th Commerce Solutions Chapter 16 Consumerism. 12th standard students who want to get full marks in public examinations conducted by the Tamilnadu government must go through this guide. This is a book back answers all in one page. This guide is separated by chapter wise. One mark two mark and all brief questions are answered on this page

TN 12th 12th Commerce Solutions Chapter 16 Consumerism Textbook Exercise Questions and Answers

I. Choose the Correct Answer

Question 1.
The term ‘consumerism’ came into existence in the year ________
(a) 1960
(b) 1957
(c) 1954
(d) 1958
Answer:
(a) 1960

Question 2.
Who is the father of Consumer Movement?
(a) Mahatma Gandhi
(b) Mr. John F. Kennedy
(c) Ralph Nader
(d) Jawaharlal Nehru
Answer:
(c) Ralph Nader

Question 3.
Sale of Goods Act was passed in the year?
(a) 1962
(b) 1972
(c) 1982
(d) 1985
Answer:
(c) 1982

Question 4.
The main objective of all business enterprises is ________
(a) Providing service
(b) Providing better standard of life
(c) Providing necessities to the society
(d) Earn profit
Answer:
(d) Earn profit

Question 5.
The Consumer Protection Act came into force with effect from ________
(a) 1.1.1986
(6) 1.4.1986
(c) 15.4.1987
(d) 15.4.1990
Answer:
(c) 15.4.1987

Question 6.
________ of every year is declared as a Consumer Protection Day to educate the public about their rights and responsibilities.
(a) August 15
(b) April 15
(c) March 15
(d) September 15
Answer:
(c) March 15

Question 7.
Any person who buys any goods or avails services for personal use, for consideration is called as ________
(a) Customer
(b) Consumer
(c) Buyer
(d) User
Answer:
(b) Consumer

Question 8.
The General Assembly of United Nations passed a resolution of consumer protection guidelines on ________
(a) 1985
(b) 1958
(c) 1986
(d) 1988
Answer:
(a) 1985

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II. Very Short Answer Questions

Question 1.
Who is a consumer?
Answer:

• A consumer is one who consumes goods manufactured and sold by others (or)
• Created by nature [ Air, Water, Natural resources] and sold by others
• One who avails of services such as banking, transport, insurance, etc., is also called a consumer.

Question 2.
Define Consumerism.
Answer:
“Consumerism is an attempt to enhance the rights and powers by buyers in relation to sellers”

Question 3.
Give two examples of adulteration.
Answer:

•  Mixing of stone with rice.
•  Mixing of water with milk
•  Mixing of brick powder with chilii powder
• Papaya seeds added to black pepper.

Question 4.
What is Caveat Emptor?
Answer:
The principle of “caveat emptor” or “let the buyer Beware” serves as a warning to the buyers that they have no recourse with the seller if the product does not meet their expectations.

Question 5.
What is Caveat Venditor?
Answer:
Today, most sales in the U.S. fall under the principle of caveat venditor, which means “let the seller beware” by which goods are covered by an implied warranty of merchantability.

Question 6.
Write short notes on Consumer Protection Act, 1986.
Answer:

• The central Government enacted a comprehensive law called the “Consumer Protection Act” in the year 1986.
• This act came into force on 15.04.1987.
• It was amended in the year 1993.
• It is shortly known as “COPRA”

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III. Short Answer Questions

Question 1.
Which are the three constituent elements of business?
Answer:
The producer, the consumer and the government are the three constituent elements of business. The consumer is the most exploited constituent in the business world.

Question 2.
What are the important legislations related to consumerism in India?
Answer:

• Awakening and uniting consumers.
• Protecting against exploitation
• Providing the complete and latest information
• Discouraging unfair trade practices
• Effective implementation of consumer protection laws.
• Awakening the government
• Discouraging anti-social activities.

Question 3.
What is meant by artificial scarcity?
Answer:
There are certain situations where the shop-keepers put up the board “No Stock” in front of their shops, even though there is plenty of stock in the store. In such situations consumers who are desperate to buy such goods have to pay hefty price to buy those goods and thus earning more profit unconscientiously.

Question 4.
Write the importance of consumerism.
Answer:
The importance of consumerism lies in:

1. Awakening and uniting consumers
2. Discouraging unfair trade practices
3. Protecting against exploitation
4. Awakening the government
5. Effective implementation of consumer protection laws
6. Providing the complete and latest information
7. Discouraging anti-social activities

Question 5.
What is the role of Government in consumer protection?
Answer:
Since most of consumers including academically educated are illiterate about their rights and hence passive. Government should assure an active role in safeguarding the consumers. Government both the central and the state have brought out a number of legislations to protect the interest of consumers across the country. Law enforcement authorities should see that penal clause is not mere paper jaws-they should sting the offenders mercilessly.

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IV. Long Answer Questions

Question 1.
How consumers are exploited?
Consumer is one who consumes the goods manufactured or created. Consumers are exploited in many’ways in the business.
They are as follows:

1. Selling at Higher Price: The price charged by the seller for a product or service may not be higher compared to the quality.
2. Adulteration: It refers to mixing or substituting undesirable material in food. This leads to heavy loss to the consumer, (e.g.) Mixing of stones with grains.
3. Duplicate or Spurious goods: Duplicate products of popular products are illegally produced and sold
4. Artificial Scarcity: There are certain situations where the shop-keepers put up the board “No Stock” in front of their shops, even though there is plenty of stock in the store.
5. Sub-standard: On opening a packet or sealed container one may find the content to be of poor quality.

Question 2.
Explain the role of business in consumer protection.
Answer:
Guarantees for good quality:

•  Business concerns should not sell inferior goods and should not give false warranty for the products.
•  It should ensure the supply of good quality products.

Avoid price Hike [increase]

• Business concerns should not increase the price even in the acute shortage [less supply] of products.

Avoid Hoarding:

•  Business concerns should allow the flow of goods normally.
•  It should not indulge in hoarding and black marketing to earn more profit.

Truth in the advertisement: [No false advertisement]

•  Business concerns should not give false, untrue bogus information about the products in the media.
•  It should give real information about the products.

Product information:

•  Business concerns should disclose the correct, complete and accurate information about the product.
•  eg: Price, Weight, Size, Quality, Quantity, Use, Precautions etc.

Consumer Grievances:

•  Where the business concerns should have customer care department.
•  It should handle the grievances immediately or within a specific period.

Question 3.
What are the needs for consumer protection?
Answer:
Consumer is to be protected from the cheating business people. Though the consumer is said to be the king, his interests are neglected. Consumer protection is applicable to public sector, financial and co-operative enterprises. Recently even medical services have been brought under consumer-movement. Satisfaction and well being of the consumer should be the main objective of the business. But in real practice consumer is not protected and safeguarded. Thus there is a need for consumer protection or movement.

Question 4.
Explain the role of consumers in Consumer Protection.
Answer:
Consumers have to be vigilant and organize themselves into a movement for concerted action.
Activation of Consumer Action Councils:

1. Consumer action councils established at village levels should educate consumers.
2. Consumer protection agencies should take the necessary steps to investigate consumer complaints and grievances.
3. Voluntary consumer groups should provide information so as to educate consumers.
4. Consumer cooperatives need to be strengthened.
5. Consumer groups should contact the legislators to raise the consumer issue in Assembly and Parliament.
6. There should be testing laboratories at each district to test the purity of goods.

Question 5.
What are the objectives of the Consumer Protection Act, 1986?
Answer:

• Educating the consumers of their rights and duties.
• Empowering consumers to seek redressal against exploitation.
• Ensuring better standard of living for consumers by providing quality goods at fair price.
• Protecting consumers from unfair trade practices of traders.
• Protection of consumers against sale of goods which are hazardous and dangerous to the life and property of consumers.
• Providing correct and complete information about quality, quantity, purity, price of the goods to the consumers.

Question 6.
Write about five important consumer legislation.
Answer:

1. Sale of Goods Act -1930: This act protects consumers against sellers not complying with expressed and implied warranties in the sale contract.
2. The drugs and cosmetics Act -1940: This act ensures the safety of drugs and cosmetics sold in India.
3. The prevention of food adulteration Act -1954: This Act checks the Adulteration of food articles and ensures purity of goods supplied and thus protects the health of the consumer.
4. The Essential Commodities Act -1955: This act protects the consumers from Artificial scarcity [Hoardings, Price, Hike]
5. The weight and measures Act-1958: This act protects the consumer against malpractices of underweight or under measurement. Now this Act is known as the Legal metrology Act 2009.

Question 7.
What are the salient features of the Consumer Protection Act, 1986?
Answer:
Salient Features of The Indian Consumer Protection Act, 1986:

1. Protecting consumers against products and services which are harmful to the health of the consumers.
2. Ensuring consumers, with supply of goods at fair quality.
3. Ensuring the availability of goods in the correct quantity and the right size.
4. Protecting the consumers against pollution of various kinds.
5. Ensuring that consumers are charged a fair price.
6. Protecting the consumers against unfair trade practices of unscrupulous traders.

Question 8.
What are the objectives of United Nations guidelines for consumer protection?
Answer:
The General Assembly of the United Nations passed a Resolution on April 9,1985 adopting a set of guidelines for consumer protection to persuade the member countries.

Objectives of United Nations Guidelines for Consumer Protection:

1. To assist countries in achieving or maintaining protection to consumers.
2. To facilitate production and distribution patterns responsive to the needs and desires of consumers.
3. To encourage high levels of ethical conduct for production and distribution of goods and services to consumers.
4. To facilitate the developing of independent consumer groups.
5. To encourage the development of market conditions that provide consumers with greater choice at lower prices.

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TN 12th Commerce Recent Trends in Marketing Additional Questions and Answers

I. Choose the Correct Answer

Question 1.
Match List I with List-II and select the correct answer using the codes given below:

(a)	Prevention of Food Adulteration Act	–	(i)	1958
(b)	Weight and Measurement Act	–	(ii)	1982
(c)	Essential commodities Act	–	(iii)	1954
(d)	Sale of Goods Act	–	(iv)	1955

Codes:

Answer:
(c) (i) 3, (ii) 1, (iii) 4, (iv) 2.

Question 2.
On opening, a packet or sealed container one may find the content to be of poor quality is an example of …………………… exploitation.
a) Adulteration
b) Sub-standard
c) Product Risk
d) Warranty
Answer:
b) Sub-standard

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II. Very Short Answer Questions

Question 1.
What is meant by sub-standard according to the Consumer Protection Act?
Answer:
On opening a packet or sealed container one may find the content to be of poor quality. If defective or damaged items are found in a pack, a consumer finds it difficult to exchange the defective one for a good one.

Question 2.
What is meant by consumer protection?
Answer:
Consumer protection is a form of social action which is designed to attain the wellbeing of society namely consumers. A consumer is said to be a king in a free market economy.

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III. Short Answer Questions

Question 1.
Write a note on Artificial scarcity.
Answer:

•  One of the ways by which consumers are being exploited is Artificial security.
•  In milk books and in cinema house use find ‘No stock’ and ‘House full’ board outside.
•  But milk and cinema tickets are available at a higher price on the black market.

Case Study

Mr. Narasimachary bought a refrigerator of a familiar brand with a warranty for seven years. He uses the fridge as per the guidelines given by the manufacturer. After the completion of two years the fridge went out of order. He was shocked, and approached the dealer. But the dealer refused to service the fridge at free of cost.

Question 1.
What is your suggestion to Mr. Narasimachary to this grievance?
Answer:
Each and every consumer should know the rights and duties of consumers, according to the consumer protection Act – 1986. In this case, the manufacturer refused to repair and service the fridge, though there is a warranty period. So my suggestion is that the consumer Mr. Narasimachary can contact the manufacturer again to repair the fridge. If he refuses, Mr. Narasimachary can file a case in the consumer court according to the Act 1986. For proceeding to the case, the consumer has to make ready the cash bill, invoice and warranty card of the fridge.

TN 12th Commerce Guide Book Back Answers
TN 12th Commerce Book Back Answers

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Unit 1 Management Process

• Chapter 1 Principles of Management
• Chapter 2 Functions of Management
• Chapter 3 Management By Objectives (MBO) and Management By Exception (MBE)

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Unit 2 Financial Markets – I

• Chapter 4 Introduction to Financial Markets
• Chapter 5 Capital Market
• Chapter 6 Money Market

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Unit 3 Financial Markets – II

• Chapter 7 Stock Exchange
• Chapter 8 Securities Exchange Board of India (SEBI)

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Unit 4 Human Resource Management

• Chapter 9 Fundamentals of Human Resource Management
• Chapter 10 Recruitment Methods
• Chapter 11. Employee Selection Process
• Chapter 12 Employee Training Method

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Unit 5 Elements of Marketing

• Chapter 13 Concept of Market and Marketer
• Chapter 14 Marketing and Marketing Mix
• Chapter 15 Recent Trends in Marketing

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Unit 6 Consumer Protection

• Chapter 16 Consumerism
• Chapter 17 Consumer Protection
• Chapter 18 Grievance Redressal Mechanism

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Unit 7 Business Environment

• Chapter 19 Environmental Factors
• Chapter 20 Liberalization, Privatization, and Globalization

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Unit 8 The Sale of Goods Act, 1930 and The Negotiable Instruments Act, 1881

• Chapter 21 The Sale of Goods Act, 1930
• Chapter 22 The Negotiable Instruments Act, 1881

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Unit 9 Entrepreneurship Development

• Chapter 23 Elements of Entrepreneurship
• Chapter 24 Types of Entrepreneurs
• Chapter 25 Government Schemes for Entrepreneurial Development

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Unit 10 Company Law and Secretarial Practice

• Chapter 26 Companies Act, 2013
• Chapter 27 Company Management
• Chapter 28 Company Secretary