Consumer, Market and Society - JSS1 Business studies Past Questions and Answers - page 2
What risks arise from lack of awareness about product safety?
Health and safety risks
Financial risks
Social risks
What can happen when consumers make uninformed choices?
Market efficiency increases
Market dynamics become distorted
Competition decreases
Overall, what is the importance of consumer education?
It promotes exploitation
It fosters ignorance
It supports informed decision-making
What is the role of consumer education in protecting consumers?
Consumer education plays a crucial role in protecting consumers by empowering them with knowledge about their rights, enabling them to make informed decisions, and equipping them to recognize and avoid deceptive practices and exploitation in the marketplace.
How does consumer education contribute to economic development?
Consumer education contributes to economic development by fostering a competitive and efficient marketplace. Informed consumers drive demand for quality products and services, encourage innovation and fair competition among businesses, and ultimately contribute to the growth and stability of the economy.
What are some examples of consumer rights that consumer education enhances awareness of?
Consumer education enhances awareness of various rights, including the right to safety (e.g., product safety standards), the right to information (e.g., truthful advertising), the right to choose (e.g., freedom to select products or services), and the right to redress (e.g., avenues for resolving complaints or seeking compensation).
How does lack of consumer education impact individuals' financial well-being?
Lack of consumer education can lead to financial hardship for individuals. Without understanding concepts like interest rates, budgeting, and financial planning, consumers may overspend, accumulate debt, fall victim to scams or predatory lending practices, and fail to make sound investment decisions, ultimately jeopardizing their financial stability.
What role does consumer education play in promoting responsible consumption habits?
Consumer education promotes responsible consumption habits by raising awareness about sustainable purchasing practices, encouraging mindful consumption, emphasizing the importance of budgeting and financial literacy, and educating consumers about the environmental, social, and economic impacts of their purchasing decisions.
What are some consequences of consumers making uninformed choices?
Some consequences of consumers making uninformed choices include wasting money on products or services that do not meet their needs or expectations, exposing themselves to health and safety risks from unsafe or counterfeit goods, and inadvertently supporting unethical or exploitative businesses that prioritize profit over consumer well-being.
How can consumer education empower individuals to assert their rights in the marketplace?
Consumer education empowers individuals by providing them with the knowledge and skills necessary to assert their rights in the marketplace. This includes knowing how to identify and report deceptive practices, understanding the steps to take when dissatisfied with a product or service, and being aware of available legal protections and consumer advocacy resources.