Chapter 13 Introducing the Consumer Learning Outcomes Upon

Chapter 13

Introducing the Consumer

Learning Outcomes Upon completion of this chapter you should be able to: • Explain what a consumer is • Distinguish between goods and services • Behave like a wise consumer • Outline the responsibilities of a consumer

What Is A Consumer? A consumer is a person who buys goods or services for their own use. Every time you buy a bar of chocolate, go to the hairdresser or barber to get a haircut, purchase a magazine or pay to download a song from the internet, you are a consumer.

What is a Good? A good is something you buy that you can touch or see, e. g. phone, book, shirt.

What is a Service? A service is something you buy that is done for you, e. g. bus ride, haircut, car wash.

Consumers’ Needs and Wants Most consumers’ requirements when buying products are: • • Value for money High-quality products Finding out information about the product before they buy it Getting a good after-sales service if there is a fault or problem with the good.

The Wise Consumer As money is scarce, wise consumers ask themselves the following questions before they buy something: • Do I really need it? • Can I afford it? • Will there be further costs once I have bought the item? • Do I have space for it in my home? • Is it a safe product? • Are there any hidden charges? • Has it been produced ethically? • Will I be creating jobs in Ireland by buying this product?

Information About Products Many products have labels on them which list: • Contents of the package • Technology requirements • Safety details

Possible Information On Food Labels • • • Name of the product Name and address of producer/seller The weight of the product Price of the product Best before/sell by/use by date Ingredients, listed in descending weight order Country of origin Nutritional information Cooking/storage instructions Barcode

Value For Money • A larger size is often better value for money, but if you don’t use all of it, it will be a false economy. • Consider buying own-label branded products, i. e. the supermarket’s own products as they are usually cheaper than well-known brands.

The Consumers’ Association of Ireland (CAI) • The CAI is an independent organisation founded in 1966. • It represents Irish consumers and seeks to protect their rights. • Their website http: //www. thecai. ie contains podcasts of common consumer questions and answers as well as information on your rights as a consumer.

Consumer Responsibilities Caveat emptor is a Latin phrase that means ‘let the buyer beware’. Consumers need to use common sense when buying goods and services. Consumers have the following responsibilities: • To behave wisely when buying goods and services • To avoid impulse buying and false economies • To shop around for the best value for money • To use products carefully to avoid damaging them • To dispose of packaging responsibly, recycling where possible • To know their legal rights

Review and Recap Can you do the following? • Explain what a consumer is • Distinguish between goods and services • Behave like a wise consumer • Outline the responsibilities of a consumer