“Exploitation takes place in the market in various ways.” Explain.
i) Exploitation in the marketplace happens in various ways. For example, sometimes traders indulge in unfair trade practices such as when shopkeepers weigh less than what they should or when traders add charges that were not mentioned before, or when adulterated/defective goods are sold.
ii) Markets do not work in a fair manner when producers are few and powerful whereas consumers purchase in small amounts and are scattered. This happens especially when large companies are producing these goods.
iii) These companies with huge wealth, power and reach can manipulate the market in various ways. At times false information is passed on through the media, and other sources to attract consumers.
iv) For example, a company for years sold powder milk for babies all over the world as the most scientific product claiming this to be better than mother’s milk. It took years of struggle before the company was forced to accept that it had been making false claims.
v) Similarly, a long battle had to be fought with court cases to make cigarettemanufacturing companies accept that their product could cause cancer. Hence, there is a need for rules and regulations to ensure protection for consumers.n