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Pooja Purchased a Packet of Juice from the Local Grocery Shop. the Information Provided on the Packet Was Not Clear. She Fell Sick on Consuming It. She Filed a Case in the District Forum Under Consumer Protection Act and Got the Relief. - Business Studies

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Pooja purchased a packet of juice from the local grocery shop. The information provided on the packet was not clear. She fell sick on consuming it. She filed a case in the District Forum under Consumer Protection Act and got the relief.

a. Identify the important aspect which has been neglected by the marketer in the above case.

b. Explain briefly the functions of the aspect identified in (a) above.

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Solution

‘labelling’ is the important aspect that is being ignored by the marketer in the given scenario.

Functions of labelling are as follows.
i. Providing information about product – Label of a product provides targeted consumers with all the relevant information regarding the ingriedients used in the project. It also informs consumers about the procedure to use the product in its best manner. Various safety guidelines are also provided on a label to make sure consumers do not end up hurting themselves or damaging their health.

ii. Brand building – A well designed label assists In building a positive brand value of the product in the minds of consumers. Consumers can recognize their desired product from its label in the supermarket and be assured about the quality standards.

iii. Legal compliance – label mentions relevant information that is required to be displayed as per various consumer laws. This makes a company socially responsible in the eyes of law. It also saves the company from being sued under various consumer laws.

iv. Increasing sales – A product with an attractive label catches attention of a higher number of consumers that a product with a a poorly designed label. This implies that labelling also helps in increasing sales by increasing the market reach of the product.

v. Monitoring quality – Labels assigned to different products allow an organization to check quality standards and hence, to rectify any variations from the standard quality thereof. Rating the products is also an option if quality of different units of same product varies substantially in production.

Concept: Product - Labelling
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