Consumer Organizations

Family Economics And Consumer Education 3 (2+1)

Lesson 20 : Consumer Welfare Organization

Consumer Organizations

Consumer organization is advocacy group It seeks to protect people from corporate abuse, Unsafe products, false advertising, food adulteration, pollution, deceptive weights and measures etc are all examples of corporate abuse.
A sound healthy and efficient consumer organization having support of the people as well as the government can be a powerful force in protecting and safe guarding the rights of the consumers (mutagi 1992).
Organizational set up of an organization

To set up an organization, the following details should be decided

  • Objectives
  • Membership
  • Emblem/logo
  • Registration

In addition to the above, other matters, like funds, premises, manpower etc may also be taken up.
Objectives of Consumer Organizations

Consumer organization has the following objectives

  • To provide consumer education
  • To share and exchange consumer related information
  • To promote cooperation and collaboration of all activities related to consumer protection and interests
  • To develop confidence among the consumers to represent their cases to environment against the private companies that exploit them.
  • To undertake research and product testing.
  • To ensure the rights of every consumer to basic needs such as food, housing, health care and clean environment.
  • To educate consumers to think critically to make their own decision and have the strength to resist hazardous trends and practices like smoking, drinking, gambling etc that make their lives mere deprived.

Membership
The organization shall become active and functional when consumers became its members. Membership gives collective strength to the organization. Each member may be asked to contribute a nominal membership fee at the time of entry and also. Periodically as monthly or annual fee, all members should be charged with uniform membership fee so the members feel equally treated in the organization. Membership fees thus collected shall be useful for meeting expenditure to carry out activities of the organization.
Emblem/Logo

With the setting up of the organization and after finalizing its name the next step is to adopt an emblem or logo for it. An emblem is a symbol or distinctive badge representing an organization. An emblem can attract the attention of those who are attached to the organization others too would be able to associate the message with emblem of the organization. Volunteers bearing the badge of the emblem could easily be identified in a large group with the organization and its goals. Some of the emblems adopted by some consumer organizations are given below

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Registration Procedure
The organization has to be registered and become a legal entity immediately after the membership objectives and the emblem are finalized. A registered organization can work more effectively

  • Registered organizations create more confidence among the citizen since their accounts are audited and their activities are transparent
  • Registered organization is subject to some discipline and it is recognized legally.
  • Registered organizations derive rights under law to represent their case in the consumer courts.
  • Registered organizations can utilize financial assistance given by government and other voluntary bodies.
  • Registration of a consumer organization can be done either under the companies’ act 1958 or under the Societies Registration Act 1860.

Organizational requirements for a consumer organization relates to

  • Office equipments
  • Funds
  • Premises
  • Man power
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Last modified: Wednesday, 4 April 2012, 12:01 PM