Describe the reasons of consumer exploitation.

1.	Describe the reasons of consumer exploitation.
Answer» Besides the selfish attitude of the traders and the manufacturers to exploit the consumers to earn extra profit. The following factors are responsible for the exploitation of the consumers: Consumers: Most consumers are ignorant about the prevailing market conditions. They are unaware of their rights and are unwilling to organize themselves to fight against exploitation. Limited information: The consumers have very little information about products and their quality and utility. They are not aware of the guarantee and warranty. Moreover, the salesmen do not provide such information. Limited supply: The traders create artificial scarcity of popular products. The traders take undue advantage of scarcity. Limited competition: The manufacturers/traders form cartels and create monopolistic situations. The consumers find themselves in market where there is limited or no competition and get themselves exploited.

Answer»

Besides the selfish attitude of the traders and the manufacturers to exploit the consumers to earn extra profit.

The following factors are responsible for the exploitation of the consumers:

Consumers: Most consumers are ignorant about the prevailing market conditions. They are unaware of their rights and are unwilling to organize themselves to fight against exploitation.
Limited information: The consumers have very little information about products and their quality and utility. They are not aware of the guarantee and warranty. Moreover, the salesmen do not provide such information.
Limited supply: The traders create artificial scarcity of popular products. The traders take undue advantage of scarcity.
Limited competition: The manufacturers/traders form cartels and create monopolistic situations. The consumers find themselves in market where there is limited or no competition and get themselves exploited.

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