Question

Consumers might be exploited by unscrupulous, exploitative and unfair trade practice. Give a few examples of such practices adopted by sellers.

Answer 1

Explanation:

a. Hoarding

Hoarding is an example of consumer exploitation. Consumer exploitation is taking advantage of consumers. The term "hoarding" may include the practice of obtaining and holding resources to create artificial scarcity, thus reducing the supply, to increase the price, so that they can be sold to customers for profit.

b. Adulteration

It is the process of mixing or substituting identical and undesirable materials in the food items. This will cause heavy loss to the consumers and also leads to many diseases while consuming undesirable commodities. For example Mixing of bricks powder in chilli powder, because both are identical and the consumer cannot differentiate it.

Answer 2

Consumer exploitation

Explanation:

Consumers who purchase commodities can be exploited by the sellers in several ways like:

1. Hoarding - manipulate pricing by creating false scarcity
2. Adulteration - mixing or substituting the identical and undesirable materials in the food items.
3. Under measurement - pack lesser quantity than the weight mentioned on the package.
4. Substandard goods - provide inferior quality for the same price and not getting governmental standards approval like ISI, Agmark, BIS Hallmark.