Commerce Accountancy · General Awareness

Consumer Protection and Commerce

1,192 Questions

Consumer Protection and Commerce encompasses consumer rights, unfair trade practices, retail operations, and e-commerce strategies. It details how goods and services are regulated, sold, and managed within various markets. Questions from this area are common in commerce, economics, and general awareness exam sections.

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Consumer Protection and Commerce Questions

Multiple choice organization of commerce and management grievance redressal mechanism grievance and need for redressal mechanism consumer protection commerce

Which of the following are outside the scope of the Consumer Protection Act 1986?

  1. Newspaper industry

  2. Services provided under contract of personal service

  3. Banking industry

  4. Both (A) and (B)

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Services rendered free of charge or under a contract of personal service are explicitly excluded from the definition of 'service' under the Consumer Protection Act.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

Consumer protection has a moral justification for business.

  1. True

  2. False

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

True, consumer protection has a moral justification for business. It is the moral duty of every business to protect the interests of its customers. Business organisations must follow ethical values and any form of exploitation of the consumers such as unfair trade practices, adulteration, etc. must be avoided.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

The desirable method of consumer protection is ___________.

  1. imposition of self regulation and discipline by the manufacturers and traders on themselves

  2. voluntary organisation of consumers

  3. spreading information and awareness regarding different products

  4. government legislation

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The desirable method of consumer protection is imposition of self regulation and discipline by the manufacturers and traders on themselves. It helps to prevent fraudulent practices in the market place. It also promotes fair trade and accurate information in the market.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

The Consumer Welfare Fund is created in _______.

  1. 1991

  2. 1992

  3. 1999

  4. 1994

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Consumer Welfare Fund is created in 1992.Consumer Welfare Fund is created by The Government of India. This welfare fund is created in order to promote the uphold the consumer's interest. It also addresses unfair practices prevalent in the market place.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

As per the _____________ the consumer has right to acquire knowledge and to be a well informed consumer through life.

  1. Right to be heard

  2. Right to be informed

  3. Right to consumer education

  4. Right to choose

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The consumer has a right to acquire knowledge and to be a well informed consumer throughout life.
He should be aware about his rights and the reliefs available to him in case of a product or service falling short of his expectations. Many consumer organisations and some enlightened businesses are taking an active part in educating consumers in this respect.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

___________ play an important role in educating consumers about their rights and providing protection to them.

  1. Consumer awareness

  2. Consumer organisations

  3. Government

  4. Business associations

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Consumer organization play an important role in educating consumers about their rights and providing protection to them. These consumer organization also promote consumer awareness about the fraudulent practices in the market place.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

The _________ can protect the interests of the consumers by enacting various legislations.

  1. government

  2. business

  3. individual

  4. company

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The government can protect the interests of the consumers by enacting various legislations. Government make policies in order to protect the rights of the consumers. It also helps to prevent the fraudulent practices in the market place.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

Under __________, a consumer is well informed about his rights and the reliefs available to him, is in a a position to raise his voice against any unfair trade practices or unscrupulous exploitation.

  1. business associations

  2. consumer awareness

  3. consumer organisations

  4. government

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Under consumer awareness, a consumer is well informed about his rights and the reliefs available to him, is in a a position to raise his voice against any unfair trade practices or unscrupulous exploitation. Consumer awareness is of utmost necessary to uphold the rights of the consumers.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

The Consumer Protection Act, 1986 provides for _______-tier machinery at the district, state and national levels for redressal of consumer grievances.

  1. one

  2. two

  3. three

  4. four

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The Consumer Protection Act, 1986 provides for three- tier machinery at the district, state and national levels for redressal of consumer grievances. The most important regulation which provide protection to consumers is the Consumer Protection Act. This Act helps to protect the interests and rights of the consumers. It also helps to prevent the fraudulent practices in the market place.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

Which of the following is not a way of consumer protection?

  1. Self Regulation by Business

  2. Business Associations

  3. Consumer Awareness

  4. Business

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Business is not a way of consumer protection. It is not a way to uphold the interests and rights of the consumers. Business can be defined as an activity where buying and selling take place on a daily basis.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

Consumer's market is a type of __________ market.

  1. buyer's

  2. sellers

  3. distributor's

  4. none of the above

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Consumer's market is a type of buyer' market as in this market people buys goods mainly for the consumption purpose. Consumer refers to a person who consumes goods with his given income and prices of the goods and buyer is a person who buys the goods.

Multiple choice organization of commerce and management consumerism the consumer protection act, 1986 consumer protection commerce

Distribution channel aims of moving products from producer to ___________.

  1. ultimate consumer

  2. retailers

  3. stockists

  4. brokers

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Distribution channel aims of moving products from producer to ultimate consumer. Distribution channel refers to the pathway of several persons by which the finished goods get transferred to the final consumer. Wholesaler is an agent of the distribution channel of the products.

Multiple choice organisation of commerce and management marketing and marketing mix distinction between marketing and sales meaning, elements and factors influencing marketing mix evolution of marketing

Handloom societies like APPCO, Bayanika, Haryana handloom etc are examples of

  1. Producers' co-operative societies

  2. Co-operative marketing societies

  3. Co-operative credit societies

  4. Consumers's co-operative societies

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Handloom societies are formed by weavers who pool their resources to produce and sell goods collectively, making them producers' co-operative societies. These organizations help individual artisans compete more effectively in the market.