Weiss5thEd-ch05.pptxVIP

Chapter Five Corporate Responsibilities, Consumer Stakeholders, and the Environment Consumer Rights The right to safety The right to be informed The right to choose The right to be heard The right to satisfaction of basic needs The right to redress The right to consumer education The right to a healthy environment Responsibility toward Consumers Duty to inform fully and truthfully Duty to not misrepresent or withhold information Duty to not force or take undue advantage of through fear or stress Duty to take ‘due care’ to prevent foreseeable injuries “Buyer beware vs. Seller take care” Five Goals of Government Policy Makers toward Consumers Providing consumers with reliable information about purchases Providing legislation to protect consumers against hazardous products Providing laws to encourage competitive pricing Providing laws to promote consumer choice Protecting consumers’ privacy U.S. Consumer Protection Agencies The Federal Trade Commission (FTC) deals with online privacy, deceptive trade practices, and competitive pricing The Food and Drug Administration (FDA) regulates and enforces the safety of drugs, foods, and food additives, and sets standards for toxic chemical research The National Highway Traffic Safety Administration (NHTSA) deals with motor vehicle safety standards The National Transportation Safety Board (NTSB) handles airline safety The Consumer Product Safety Commission sets and enforces safety standards for consumer products The Department of Justice (DOJ) enforces consumer civil rights and fair competition External Corporate Responsibility Areas Advertising Product Safety and Liability Environmental concerns Ethics and Advertising Is the consumer being treated as a means to an end or as an end? What and whose end? Whose rights are being protected or violated intentionally and inadvertently? At what and whose cost? Are consumers being justly and fairly treated? Are the public welfare and good taken into consideration for the effects as