Business Responsibilities Towards Customers

An exhaustive note on important business responsibility and are the various responsibility which a business have towards customer

Business Responsibilities Towards Customers
    The basic business responsibility towards customer is to make available the products that they want at the right time, in right quantity, at the right place, of the right quality and at the right price. Important business responsibility towards consumer may be summarized as under:

  • To produce those goods that meet the needs of the customers of different classes, tastes and with different purchasing power.
  • To establish lowest possible price, consistent with quality, efficiency and reasonable profits to the enterprises.
  • To provide prompt, adequate, courteous and friendly service to customer.
  • To ensure a fairly wide distribution of product among all sections of the customers. 
  • To make the product more satisfactory to consumers thought product research and study of customer needs. The idea is that management should offer a product that the customer wants by finding out his desires and not on the basis of what management thinks the customer needs. Besides this, responsibility should be viewed in its long-term perspective. Businessmen should meet not only the immediate demand for products, but also look ahead and make provision for producing goods to be required by the customer in the future. Businessman should make efforts to constantly improve product. Produce development, therefore, becomes a continuing in particular. There is, however, a conflict of interest in this regard which need to be carefully resolved. Customers in general, prefer a large variety of styles of products, whereas the manager desires a few varieties of products that he can produce more cheaply. In general, standardization, simplification and specialization should form an integral part of a sound programmer of product development.
  • To handle customer complaints more carefully, and analyses them properly to determine what causes them and how they can be corrected.
  • To disseminate information about the product, service and company, organization and its policies and to enquiries relating to company, organizations and its policies and to ensure that statements made to customer regarding prices, quality or service facilities are truthful, and Nir exaggerated.
  • To answer customer enquiries relating to company, its product either specific datum in understandable terms and thus help the customer understand quality and other characteristic of the product.
  • To co-operate with groups and associations representing customers. Thus, where consumer have launched a co-operative movement for the distribution of good quality goods at reasonable process. Business executives should seriously think of providing useful suggestions and rendering necessary help to them.
  • To carry on consumer research for better understanding and helping the customers.

    This list may not be called a complete or exhaustive, because a fundamental aspect of responsibility to consumers is that the enterprise must have a firm foundation of sound customer policy and standards, and the basic attitudes and philosophy of management towards the consuming public must be spiffiness in alienable terms. Responsibility to the customer should not be relaxed  even when goods are distributed thought the middlemen. Consumer criticism of the business community is often echoed in respect of factory like prices, quality, service, production and distribution. Business executives are often charged with supplying substandard quality of goods, fixing Higher process offering inadequate services. Ensuring fair standard with respect to these matters will go a long way to protect and effectively safeguard the interests if consumer. However, social responsibility of business towards consumers should not be viewed as one sided affair. Consumer’s cooperation and actions in right direction she also very useful for proper discharge of this responsibility by the business community. Some of the important variables involves in this kind of interaction are considered firm ten point of view of prices and on the other hand, the consumers association.  

    Businessmen’s responsibility towards price is an important factor in the direction of social responsibility of business should be fair and reflect the purchasing power of the consuming public. At the same time prices should be fix so as to allow recovery of list with average efficiency, and ails enable management to earn reasonable rate of return on capital employed. However, standards with reference to which fairness of price is to be judge are by no meaning easy to apply and they do not remain static.

    Consumers’ protection can also be assured by the stability in process. It can also provide degree of certainty to the business community. Although rose in process apart from the business factor is also an inevitable factor, yet still worse is the fact that rising process are generally followed by anti-social activities like hoarding, cornering, and artificial-scarcity which led to victimization and exploitation of consumers. 

    In many cases, the consumers have also contributed to creating situations of hoarding and black marketing. Thus, consumers are found indulging in the purchased of goods much above their normal requitements and actively participating in purchase of goods in the black market without significant resistance or disapproval, consumer need to desist from resorting to such acts, which are likely to contribute to their victimization and they should themselves take necessary steps to achieve protection for the consumers as a whole.

Consumer Association:

    Every sufferer is expected to convey his grievances to his fellow suffers. Similarly, the consumers should convey the need for social responsibility to them fellow consumers. They should organize consumers’ associations or councils at district. Region and state levels, and if possible also at nations level. They should organize consumers’ resistance movement and refuse to purchase in black market, and also report cases of adulteration, profiteering, cornering and hoarding to the concerned state agencies for legal actions and discouraged.

    Attempts by the business community to standardize their product should be responded favorably by them. Consumers should also be educated not to buy substandard articles. Another important step on this direction can be, to study periodically the problem of consumers and take them up with retailers’ organizations., trade associations, chambers of commerce and whatever, necessary with Governmental agencies. Consumers’ grievances regarding process, quality etc. should be duly checked and reported to the concerned business community, as a form of consumers’ self-help, consumers co-operate societies should also be encouraged at a wider level in the country.

    On the other side, the management of business undertakings should also encourage the establishment of consumers’ associations, so as to represent the grievances and complain of the customers, to be resolves at the business levels. Law is not always well equipped to effectively combat social irresponsiveness, Disciplined committee of businessmen themselves should be formed so as to take note of any economic offences such as hoarding, cornering, adulteration etc. and punish those found guilty of this offence by black listing of boycotting them, the suggestion of George Goodier regarding including a clause of social responsibilities in the memorandum of education is also being talked about the business houses, however. It will take its own time to implement this programmer.

Whole of state or the central government:

    The state had to play a positive role to make the business community more conscious of its social responsibility to consumers.

    The Government can set a buffer stock particularly for essential commodities and thus stabilize process and at the same timer counteract any economic maneuvering by businessman to artificially manipulate the process to can also promote both economic and legal measures to deter and prevent the business community from indulging in undesirable activities like the hoarding, black marketing and the like, minimum and maximum process for certain specified goods can also be fixed by the different rules (being subject to revision due to the changing circumstances), keeping in view the primary idea that the due protection is to be provided to the consumers.

    Government can also enforce some sort of legal requirements for ensuring compulsory quality control. Because maintaining high quality standard is an important aspect of social responsibility of business toward of customers. Many difficulties and problems may arouse by all the parties, because the quality by all the parties , because the quality council cannot be ensured in every type of manufactured goods or in the services, quality consciousness can be promoted through state agencies like bureau of Indian standards (ISI), among the consumers and entrepreneurs, the consumer should be impressed upon the purchased the quality goods bearing quality mark or Agmark (for food products) are gaining momentum but a decisive impression in the minds of the consumers had not the quality or standard are yet improved. The primary cause of this shortcoming is that firstly, they is not apply to many essential goods and article of necessary and secondly, thy have had not the backing of public i.e., consumer and producer and inculcating a high spirit of quality consciousness among producers and consumers will also result in promoting better quality standards, of consumers are fuse to purchase substandard goods and third indignation get poor quality it will have a remarkable influence upon the management to be quality conscious and produce goods conforming to some acceptable standards. When consumers associated can be very effective in foreign countries to safeguard consumers’ interests through social and economic resistance there is no fundamental reason why they should not succeed in other countries including India. Although this process remains slow bat continuous generation of the consciousness should be prevailed upon.

    Business executives should organize a quality control section in every year unit of production; trade association should lay down quality specifications and urge upon members to produce goods according to prescribed standards. Attempts should also be made to create voluntary agencies if business man themselves to exercise effective checks on members over quality of goods produces by them.

    Business ethics is another important aspect of social responsibility of business toward customer. Advertising has come to be accepted as a power in the business world. And firms are convincing that it pays to advertise, but there is also the wider problem of misuse of this weapon. It is not infrequent when consumers are misled by false advertisements. Produce are sometimes able to use advertising as a tool for creating demand for undesirable products o for products not actually required for the consumers, sale of adulterated medicines and spurious food with the help of advertisements ethics make the consumers suffer in terms of money, quality and health and danger to the morale of the business undertaking as well as of the business undertaking as well.

    Ethics in business, along with the social responsibilities of the business has been often discussed. Ethics is a system of morale, a rule of behaviors professional standard of conduct, as human beings have generally accepted way to behave, businessmen also must have a code of conduct, business created goods and services and satisfied needs of the society. It always indulges in malpractices which is harmful to the society, businessmen indulge in hoarding ( where a shortage exists or is feared), and sell their products at Highter price and make bigger profits and make bigger profits. These business houses charge a price good quality material and sell substandard material. They weigh less and indulge in adulteration even in the food stuffs on a large scale. Their indulgence in foreign exchange racketeering and supply of poor-quality material in the public construction corks ( dams, bridges, building. Etc.) has become a common feature of corrupt practices subsequently making the Government machinery corrupt and harming the morale of the society in general.

    As all this is going on since ages, there is a need to evolve some kind of checks. State has also tried many checks and control through enactment of rales and regulations, even the religious and moral forces could not work. However, some marginal and temporary remedies could be noticed.

    In modern times, attempts have been made to male businessman conscious of their social responsibilities, there has been a lot of coaxing and cajoling, a central minister of a cabinet rank. While speaking at the golden jubilee celebration of federation of Indian chambers of commerce and industries lashed out at businessman accusing them of began cheats. Realizing that the practices and image of the businessmen are not complimentary, bodies like federation of Indian chamber of commerce and industries have tried to impress upon their member, the need to be ethical. A fair-trade practices association has been impressing upon its members to behave ethically. A code of conduct has been drawn along with the less of dos and don’ts. but is difficult to say as to how far these will leave its impact on the ethics of the business men.

    Although the primary purpose of the business is to earn profits, but the problem becomes precarious when the profit making overtakes all sense of prosperity and making quick money as the sole object. One cannot say as to where these practices will stop. Therefore, the question of ethics shall always be questioning mark in the business.

    There is a widespread feeling in the society that advertisements need to be fairer and constitutes high advertising ethics. The business community should display a greater sense of self-disciplined and social consciousness. It would be better if social and economic resistances and disciplined with regard to advertising ethics is supplemented by law.

Consumer’ protection:

    The common laws of most of the countries say consumers beware of bareness of the buyer. Of the businessmen can be so unethical. The need to protect the consumer becomes of paramount importance. The consumer may not always be careful and get hood winked inspire of caution the law has given the protection (from time to time ) to the consumer, but it has been found usually inadequate. Exemplary punishment used to be given to dishonest businessmen. The fear of an unhappy life may work as deterrent.

    Suring these days, the attempts to provide protection of consumers have been made at the level of businessmen, consumers themselves and at the government level.

    Bodies like FICCI., and fair-trade practices along with the strict provision of the different rules and regulation of the government, consumers are also being made more conscious of their rights, and they have been encouraged to form consumers’ co-operative societies, with active government aid and encouragement. Government has also opened fair price shops, but at the level of consumer, the most patent weapons has been consumer resistance to exploitation by businessmen./ consumers and general publics’ dissatisfaction with business foul practices find the expression through the consumer movement.

Consumerism is the reaction and an increasing organized reaction of consumer to their dissatisfaction and unrealized expectation and they effort the gave these perceived injustices remedied.

    The demand for consumer protection has been more marked and vocal in the industrialized societies. Ralph Manar a leading crusader fir consumer protection achieved nationwide news coverage in publicizing several products deficiencies and abuses, not enough research has been conducted on how far these efforts do influence business activity activities through the power of public opinion, but the awakening of the consumers as it will result in quality-oriented production activities of the business/ thus, the business community should. thus, in to consideration consumer interest and evolve sound management policies to serve those interests. 

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