WHAT IS CONSUMERISM?

• Consumerism means, Organized-efforts by

individuals, groups, and governments to help
protect consumers from policies and practices that
infringe consumer rights to fair business
practices.
• A modern movement for the protection of the
consumer against useless, inferior, or dangerous
products, misleading advertising, unfair pricing,
etc.
 Since 1986 consumerism in India is diverted to more of
just than limited to needs .
 Stuffing plenty of nice things which we really do not need
deprive the other consumers from the things they
require for their survival .
 Keeping four cars for four persons in the family is
ultimately going to affect others and also more
consumption of nation’s resources like petrol etc.
 Our sense of entitlement can muddy the waters when it
comes to what you want and what you really need.
 The sizes of our houses are expanding as per our income
and resources irrespective of the fact what we had in
olden days .
EFFECTS OF CONSUMERISM
• Positive Consumerism Effects:
Positive consumerism effects are:
• More industrial production.
• A higher growth rate economy.
• More goods and services available.
• More advertising since goods manufactured
have to be sold.
• Increased production will result in more
employment opportunities.
• A variety of choice for goods and services
• More comforts for a better living style.
• Negative Consumerism Effects:

• The negative effects of consumerism include...

• the depletion of natural resources and
pollution of the Earth.
• The wants and desires of the people changes
according to the time. The more their income,
the better their purchasing power. But in case,
they are not able to do so, then they feel
dissatisfied.
• India is also progressing towards
materialism, although this goes against its
ancient philosophical approach towards
materialism, which favors a simple, non-
materialistic life.
1. Our ethical and spiritual values are left unimportant under
the circumstances .
2. Over-dependence on labor saving devices.
3. A car for each individual would mean gradual erosion of
public transport.
4. Crime rate also increases as the wants of the people possess
them to buy expensive gadgets.
5. Personal relationships also get affected as people are busy
trying to earn more to maintain their standard of living.
6. Cheaper goods are Today’s consumption which also
affect environmental resource
7. Consumerism has also resulted in ecological imbalances. The
natural habitat is being destroyed to create more goods and
build more buildings affecting the weather. Global warming
will eventually result in health problems. Industrial pollution
is affecting people rather than focusing on simplicity.
8. .One is in a rat race to earn more and is forced to cope up
with stress and other work related tensions.
• Consumerism essentially means the growing wants
and needs of an individual for goods and services.
India is one of the largest and fastest growing
economies in the world. The consumer’s standard of
life is going higher and hence his needs are escalating
as well. Consumerism in India, is in a new high, and
refuses to show signs of budging anymore. The Indian
consumer, due to his exposure, of the global market,
strives to get the best of the goods in his home land.
• Consumer tastes and preferences are definitely
changing. Even children have their own
preferences. The retail sector- both organized
and unorganized, strive hard to cater to the vast
range of the Indian consumers. The retail sector
in India, with its present pace, is expected to
grow at a rate of 25%- 30% annually.
• Being the fifth largest retail industry in the world, the
trends of the retail industry in India is quite remarkable.
The consumer group can literally be divided into three clear
groups:
• The first group comprises of consumers who are extremely
brand conscious and depend upon the high end retail stores
to satisfy their needs;
• The second group is another extreme who satisfy their
consumer needs from outlets that do not hold popular
brands and are also much cheaper;
• The third group however follows the middle path- they
satisfy their consumer needs either from high end retail
outlets or the less popular retail outlets, as and when
necessary.
• Food is one of the most in demand need in the Indian
market. Simple things like groceries, fruits and vegetables
are sold in both organized as well as unorganized retail
outlets. Therefore, at one end we have the comfortable air
conditioned super markets while at the other hand the
typical ‘sabzi mandi’ too serves the Indian consumer.
The next item on demand is clothing. With the advent of
international and national brands and easy accessibility to
designer wear, the very face of the retail clothing industry
has changed.
A need to be street smart and fashionable is another
requirement that has revolutionized this industry.
Here too, we find the high end stores displaying international
brands and designer wear, climb the success ladder with
great gusto, as well as the stalls on the street side selling
cheap clothes too making a niche for themselves. It is the
same story with accessories, shoes and cosmetics,
electronics, sporting goods as well.
 The Indian retail industry gives an opportunity
to everybody to shine- whether they are family
stores, or departmental stores, or convenience
stores, e-tailers, or malls or specialty stores-
such is the varied range of consumers in India.
 Despite challenges like the tax structure, lack
of infrastructure, shortage of trained
manpower, etc. the Indian retail industry is
expected to generate an expected turnover of
US$ 833 billion by the year 2013.
 The growth of India in the economic sector has
resulted in Indians willing to invest in a life of
luxury. Such a wish is the major cause behind
India’s growing consumerism and retail trends.
INTODUCTION TO THE ACT
• A person who buys any commodity or service ,or is a user of
such commodity or service.
• A person who satisfies the following conditions is considered
as a consumer ,
a)the service must have been rendered to him.
b)he must have paid or promised to pay for the same.
• If any person buy capital goods to provide service to other
individuals.
• If any person buys a commodity with an intention to resale.
• A person who obtains service without consideration.
• A person who obtains service for commercial purpose.
• Person who filed suits in the court.
• Provides for promotion and protection of consumer rights.
• Provide remedies for deceived consumers.
• Better protection against exploitation.
• Make provisions for establishment of consumer council and
other authorities for the settlement of consumer disputes and
for the matters connected with it.
 PECUNARY JURISDICTION:
Value of goods or services and compensation, if any, claimed below
Rs.20 Lakhs (section 11).
 COMPOSITION:
 President:
is a person who is, has been, or is qualified to be a district court judge
appointed by the State Government.
 Two Other Persons:
i. one who shall be a woman, who shall not be less than 35 years of
age, possess a bachelor’s degree from a recognized university.
ii. And shall be persons of ability, integrity and standing, have
adequate knowledge and experience of at least 10years in dealing
with problems relating to economic, law, accountancy, industry,
public affairs or administration (section 10).
 TERMS OF OFFICE:

 For 5years or up to the age of 65years

whichever is earlier.

 A member shall be eligible for reappointment

for another terms of 5 years within the
specified age limit [section 10(2)].
 PECUNIARY JURISDICTION:
Value of goods or services and compensation, if any,
above Rs.20 Lakhs and below Rs.1 crore (section 17).
 COMPOSITION:
 President:
is a person who is or has been a judge of a high court
appointed by the State Government.
 Two Other Persons
i. one who shall be a woman, who shall not be less than
35 years of age, possess a bachelor’s degree from a
recognized university.
• And shall be persons of ability, integrity and standing, have
adequate knowledge and experience of at least 10years in
dealing with problems relating to economic, law, accountancy,
industry, public affairs or administration (section 16).
 TERMS OF OFFICE:
 For 5years or up to the age of 67years whichever is earlier.
 A member shall be eligible for reappointment for another
terms of 5 years within the specified age limit [section 16(3)].
 CIRCUIT BENCHES:
 The State Commission shall ordinarily function in the state
capital but may perform its functions at such other places as
the State Government may consultation with State
Commission notify fro time to time[section17(B)].
 PECUNIARY JURISDICTION:
 Value of goods or services and compensation, if any,
above Rs.1 crore (section 21).
 COMPOSITION:
 President:
is a person who is, has been, or is qualified to be a
supreme court judge appointed by the Central Government.
 Four Other Persons:
i. one who shall be a woman, who shall not be less than 35
years of age, possess a bachelor’s degree from a
recognized university.
ii. And shall be persons of ability, integrity and standing,
have adequate knowledge and experience of at least
10years in dealing with problems relating to economic,
law, accountancy, industry, public affairs or
administration (section 20).
 TERMS OF OFFICE:
 For 5years or up to the age of 70years whichever is
earlier.
 A member shall be eligible for reappointment for
another terms of 5 years within the specified age
limit [section 20(3)].
 CIRCUIT BENCHES:
 The National Commission shall ordinarily function in
the NEW DELHI, but may perform its functions at
such other places as the Central Government may
consultation with National Commission notify from
time to time[section21 (B)].