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Sunday, 29 July 2012

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Consumer, the king no more!

Many consumer activists say that we are a complacent nation. I, for one, fully endorse this view. Though the consumer movement in Sri Lanka is well spread, we are often hesitant to fight against exploitation by manufacturers and sellers because of our lethargic attitude. This in turn has helped the seller or the manufacturer to exploit us more, and unfortunately, we do not seem to understand this simple truth.

The “educated” urbanites say it is the lack of time that is keeping them away from seeking legal remedies, and on many occasions, the value of the transactions is so small that they tend to ignore it.

This attitude has to be viewed in the light of the practice in developed countries where the seller declares, “In case you are not fully satisfied with our product, you can bring it to us and we will return your money immediately”. This clearly indicates what level our consumer consciousness should stand.

In theory, all business units consider consumer satisfaction as their objective. A consumer is said to be the king and the businessmen are supposed to serve and satisfy him/her.

However, in reality, consumers are cheated and exploited in many ways. To name a few: (a) selling at a higher price (b) product risk (c) adulteration (d) duplication (e) selling substandard products (f) artificial scarcity (g) false claims and (h) service problems during guarantee period.

Awareness

To start with, how many of us have really understood our rights as customers? In the minimum, we have five basic rights:

* The right to safely be protected against products, product processes and services which are hazardous to health or life;

* The right to be informed: To be given the facts needed to make informed choices, and to be protected against dishonest or misleading advertising and labelling;

* The right to choose: To be able to select from a range of products and services, offered at competitive prices with an assurance of satisfactory quality;

* The right to be heard: To have consumer interests represented in the “making and execution” of government policy, and in the development of products and services.

* The right to redress: To receive a fair settlement of just claims including compensation for misrepresentation, shoddy goods or unsatisfactory services.

The Consumer Affairs Authority (CAA), the apex government organisation mandated to protect consumers’ interests and ensure fair market competition in Sri Lanka, fully endorses these rights. The CAA is empowered to take action to safeguard the interests of consumers while maintaining effective competition among suppliers of goods and services.

Consumer choice is vital and final

In a complicated marketplace, we need to develop consumer awareness to protect them from fraud and poor purchasing decisions. The anonymity of Internet transactions and the prevalence of misleading advertisements make consumer awareness especially important. It is essential that consumers understand how to make knowledgeable purchases and avoid obvious scams. By understanding the techniques needed to develop your consumer awareness, you can protect your money and make smart purchasing decisions.

Raise awareness

How do we raise consumer awareness? The meaning of the old Latin phrase “caveat emptor” is “Let the buyer beware”. However, as a consumer advocate, you probably prefer the motto, “Let the buyer be more aware”. A responsible consumer has a healthy concern for the quality of goods and services he/she considers buying and does proper research. There are a number of ways that you can contribute to the education and awareness of consumers.

* Start a consumer awareness blog. Post news and information as well as reviews of products, services and companies. Begin to network with other blogs and websites that are committed to consumer awareness. Create alliances so you can share links and blog articles back and forth so that more people will have this important information.

* Start consumer awareness groups on social networking and popular portal websites, such as Facebook, Yahoo and Twitter. Post information on your profile related to your mission of raising consumer awareness, including links to informational websites and recent stories, to attract people to join your groups.

* Start an online newsletter to promote consumer awareness. Send information about consumer advocacy groups, ways to complain about troublesome companies and product recall information to your email contacts regularly (weekly or monthly).

None of these will cost you money, but they will help in the long run.

Role of NGOs

With the younger generations taking control of the economy, maybe the next decade will witness a high degree of consumer awareness and the concepts of “consumer preference or resistance” and “consumer choice” might eventually become vital aspects of the economy. Until such time, is there anything we can do?

Or, maybe one might ask first, what can the Government do to improve the position? Generally, the role of a central government in consumer protection is to promote legislative policy, oversee the implementation of legislation and oversee the work of various government agencies. Very often, the actual enforcement of legislation is left to local authorities.

However, voluntary organisations can play a better role. They can build consumer awareness through periodical exhibitions, meetings, demonstrations, and through television, radio and such other mass media. They can address students, women’s groups and social organisations. They can bring out journals to educate consumers.

Are we getting our money’s worth?

Trained social workers can educate lower income groups through various programs. The tricks and sharp practice of unscrupulous traders could be exposed. Consumers’ buying power, credit and satisfaction can be improved. These voluntary societies can ideally represent consumers in advisory bodies on behalf of the consumers.

In short, these voluntary bodies can act as the listening board for consumer grievances. They can follow complaints against shopkeepers, leaders and manufacturers and file public interest litigation in courts. We can take a lesson from India’s Swadeshi Movement where goods are boycotted when exploitation is proven beyond doubt and they are listed and circulated among the members. These Indian voluntary bodies have achieved spectacular results. Hundreds of cases have been won in various consumer courts on behalf of the consumers.

With the liberalisation of our economy, many multinational corporations entered Sri Lanka. Some of them adopt unfair trade practices and try to exploit the consumer. So, an alert consumer is the need of the hour. The consumer must be made aware of his/her rights. The success of consumerism is a strong function of consumer awareness and the assistance given by the government.

Organisations and social leaders too have a serious role to play. They should take up an advisory role and guide the consumers and make way for the realisation of the objectives of the Consumer Protection Policy.

Consumer empowerment

In the next few years, consumers in their own interest have to realise their role and importance in the right perspective. In a competitive economic environment, consumers have to exercise their choice either in favour of or against the goods and services. Their choice is going to be vital and final.

They should realise their importance and prepare themselves to exercise their rights with responsibility. It is very often said that the “Customer is sovereign and consumer is the King.” If that is really so, why do we have the Consumer Protection Act? Why is there a need for protecting the King? Should it not be rightly called “Consumer Sovereignty Act”?

The dictum in democracy is that citizens get a government they deserve. Similarly, consumers in society get a position in the market depending on what they do or do not do. It is agreed on all hands that “consumer empowerment” in Sri Lanka has a long way to go.

This is the right time to begin to act.

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