(a)Explain five reasons why consumers need protection. (b) State five government legislation aimed at consumer protection.

Answer Details

(a) Five reasons why consumers need protection

1. Sale of adulterated or unsafe goods: Some traders sell impure, contaminated or expired products that endanger the health and lives of consumers.
2. Ignorance of consumers: Many consumers lack the technical knowledge to judge the quality, weight or content of goods and can easily be cheated.
3. Short weights and measures: Dishonest sellers use faulty scales and measures to give consumers less than they pay for.
4. Misleading advertising and labelling: False claims about the qualities of a product mislead consumers into buying goods that do not perform as promised.
5. Exploitation through high prices: Monopolists and hoarders create artificial scarcity and charge exorbitant prices, exploiting helpless consumers.

(b) Five government legislation aimed at consumer protection

1. Sale of Goods Act: Requires that goods sold must be of merchantable quality and fit for their intended purpose.
2. Weights and Measures Act: Ensures the use of accurate and standard weighing and measuring instruments.
3. Food and Drugs Act: Prohibits the sale of adulterated, contaminated or harmful food and drugs.
4. Standards Organisation of Nigeria (SON) Act: Sets and enforces quality standards for manufactured goods.
5. NAFDAC Act: Establishes the agency that regulates and controls food, drugs, cosmetics and bottled water to protect public health.