Question

Pros and cons of consumer awareness

Answer 1

Answer:

Advantages for consumers

The Regulations Relating to the Labelling and Advertising of Foodstuffs, No R 146 of the Foodstuffs, Cosmetics and Disinfectants Act, 1972 (Act 54 of 1972) have the following advantages (among others) for consumers:

• They specify a standard method of conveying information about foodstuffs to the consumer. As of next year, all food labels and advertising will have to conform to the same format. After 1 March 2012, all the superlatives and often ludicrous claims used on food labels and in advertising will disappear.

• They will ensure a fair comparison between products.

• They enforce truthful descriptions and prevent the propagation of misleading and ambiguous messages regarding the characteristics of the foods and beverages that are on sale to the public in South Africa.

• If a food manufacturer includes a ‘Typical Nutritional Information Table’ on a food label, he will be allowed to state that the given food is ‘A source of’, or ‘High in’ or ‘Low in’ or ‘Virtually free of’ or ‘Free of’ a given nutrient or nutrients. This will enable consumers to check which foods they elect to purchase if they are, for example, looking for foods that are low in fat or high in vitamins, etc.

Disadvantages for consumers

Regulations No. R 146 do, however, have a number of weaknesses which may disadvantage consumers in this country. One of the most serious drawbacks is that fact that a whole range of food product label and advertising issues are not yet addressed in R. 146, and theoretically all the food properties listed below will not be able to be communicated to the public

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Answer 2

Answer:

Advantages

• it makes members feel a sense of belongingness to the society
• develops managerial ability amongst members
• this will ensure a fair comparison between products
• the consumers are easily able to get knowledge about their consumer rights
• manufacturers cannot mislead information which is provided to customers
• wicked traders don't get chance to fool people

Disadvantages

• it caters to the needs of small and medium income groups
• there is too much dependence on the honesty, integrity and loyalty of members and workers
• there is a lack of proper sales promotion dries by the sales force of these stores
• it involves many legal issues which sellers and spending too much time going through standards
• too much exposure may lead to an unbalanced supply and demand situation
• lack of business experience, lack of interest, granting of more credit leading to mounting bad debts etc

Explanation:

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