A consumer is a person or organization that purchases goods and services for personal use or for use in production.

Consumers play a key role in the economy because their demand determines what businesses produce.

Consumers have several rights to ensure they are protected in business transactions:

1. Right to Safety: Consumers have the right to be protected against goods and services that are hazardous to health or life.


2. Right to Choose: Consumers should have access to a variety of products at competitive prices.


3. Right to Information: Consumers should be informed about products, including quality, price, and usage.


4. Right to be Heard: Consumers have the right to express complaints or concerns to manufacturers or authorities.


5. Right to Redress: Consumers can claim compensation for defective goods or unsatisfactory services.


6. Right to Consumer Education: Consumers should be educated to make informed choices.

Consumers also have responsibilities to ensure fair business practices:

1. Buy goods and services legally and ethically.


2. Use products according to instructions.


3. Avoid misleading information or misrepresentation when dealing with sellers.


4. Protect the environment by disposing of goods and packaging responsibly.


5. Support local businesses and products.

A market is any place or system where buyers and sellers meet to exchange goods and services.

Markets can be physical (shops, markets, stalls) or virtual (online stores, e-commerce platforms).

1. Local Market: Buyers and sellers from a town or community; usually small-scale trade.


2. National Market: Buyers and sellers from across the country; may involve large-scale business.


3. International Market: Trade between businesses and consumers in different countries; involves imports and exports.


4. Specialized Market: Deals in specific goods or services, e.g., stock market, agricultural market.

1. Provides a place for buying and selling goods and services.


2. Determines prices through the interaction of supply and demand.


3. Encourages competition among businesses.


4. Facilitates distribution of goods from producers to consumers.


5. Stimulates economic growth by increasing trade.

1. Consumers create demand in the market, influencing what goods and services are produced.


2. Markets provide opportunities for producers to sell goods and earn profits.


3. Society benefits when goods and services are produced and distributed efficiently.


4. Ethical behavior in business ensures consumer protection, which strengthens social trust.

Meaning of Consumer Education

Consumer education is the process of teaching and informing consumers about their rights and responsibilities, the proper use of goods and services, and how to make informed and responsible choices in the marketplace.

It helps consumers understand products, prices, quality, and safety, so they can avoid being exploited or making poor decisions when buying goods or services.

In short, it equips consumers with knowledge and skills to participate effectively in the economy and protect their interests.

1. Helps consumers make informed choices about goods and services.


2. Equips consumers with knowledge to identify quality products and avoid exploitation.


3. Promotes awareness of consumer rights and responsibilities.

1. Protects consumers from fraud, substandard goods, and unethical business practices.


2. Encourages rational spending and budgeting.


3. Enhances consumer confidence in making purchases.


4. Promotes fair competition among businesses.

1. Consumers may buy inferior or unsafe products.


2. Susceptibility to fraud, deception, and exploitation.


3. Wastage of financial resources due to uninformed choices.


4. Weak consumer voice leading to poor business standards.

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Summary

• A consumer purchases goods and services for personal use or production.


• A market is where buyers and sellers meet to exchange goods and services.


• Consumers, markets, and society are interconnected; efficient markets serve consumers and support social and economic development.


• Consumer education ensures that consumers are informed, make responsible choices, and are protected from unethical business practices.

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Revision Questions

1. Define the term consumer.


2. List four rights of consumers.


3. Mention three responsibilities of consumers.


4. Explain the meaning of a market.


5. Give two examples each of local, national, and international markets.


6. Why is the relationship between consumers, markets, and society important?


7. Name one government agency in Nigeria that protects consumers.


8. Explain the need for consumer education.


9. State two importance of consumer education.


10. Mention two consequences of lack of consumer education.