Q.

Possible causes of exploitation of consumers are


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a

Limited information

b

Low awareness

c

Limited competition

d

All of the above 

answer is D.

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Detailed Solution

Traders and sellers exploit consumers in the marketplace when the consumers are unaware of their rights and duties. Most consumers have little or no awareness about malpractices, hence facing exploitation. Traders sell adulterated goods that are less costly to them. Consumers not being able to judge adulteration and other malpractices pay higher prices for goods. Without the knowledge of consumer protection rights and COPRA, it is easy for traders to exploit the consumers. Limited competition in the market can be another reason for the exploitation of consumers. When there are only a few producers in the marketplace, the consumers have no other option than to buy the goods.
 
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