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Economics Project

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Case Studies – Page 5

Case Study 1: Nestle Maggi Noodles Controversy (2015)


In 2015, a major controversy erupted in India surrounding Nestle's popular instant noodle brand, Maggi. The Food Safety and
Standards Authority of India (FSSAI) found excessive levels of lead and monosodium glutamate (MSG) in the product, which
posed a potential health risk to consumers. As a result, the product was banned in several states across the country.
Consumer rights activists and organizations filed complaints with consumer courts, seeking compensation for the harm caused and
alleging that Nestle had violated their rights to safe and quality food. The cases were heard by various consumer courts in diff
states.
After extensive legal proceedings, the consumer courts ruled in favour of the consumers, holding Nestle responsible for the lapses
in quality and safety standards. The courts ordered Nestle to pay compensation to the affected consumers. The company was also
directed to recall and destroy millions of packets of Maggi noodles.

This case highlighted the importance of consumer rights in India and demonstrated that consumer courts can effectively protect
the rights of consumers against companies that compromise on product safety.

Case Study 2: Unfair Billing Practices by Telecom Companies (Ongoing)


Telecom companies in India have been notorious for unfair billing practices, such as charging consumers for unauthorized value-
added services or wrongly applying tariffs. In response, consumers have taken legal action by filing complaints with consumer
courts across the country.
Consumer courts have been actively involved in addressing these issues and protecting the rights of consumers. In many cases,
consumers have successfully challenged unfair billing practices and obtained favourable judgments.
For instance, consumer courts have ordered telecom companies to refund excess charges, compensate consumers for the
inconvenience caused, and revise their billing practices to ensure transparency and fairness.

These ongoing cases serve as a reminder that consumers have the right to fair treatment and accurate billing, and consumer courts
play a crucial role in safeguarding these rights.
Survey Page 6

Survey 1
Jaydip Dewanji
49
Male
×

Y
Y
Y
Y
Y
N
Y
N

Survey 2
Maitreyi Dewanji
48
Female
×

Y
Y
Y
N
N
N
Y
N

Survey 3
Sajal Kanti Guha
91
Thakurta
Male
×

Y
Y
Y
Y
Y
Y
Y
Y

Survey 4
Kajari Dewanjee
68
Female
×

N
N
Y
Y
Y
N
Y
Y
Survey 5
Partha Basuray
44
Male
×

Y
Y
Y
Y
Y
N
Y
N

Survey 6
Joyeeta Basuray
45
Female
×

Y
Y
Y
N
Y
N
Y
N

Survey 7
Aaronyak
20
Dewanji
Male
×

N
N
Y
Y
Y
N
Y
Y

Survey 8
Ankan Guharoy
26
Male
×

Y
Y
Y
Y
Y
N
Y
N
Survey 9
Chirodeep
30
Dewanjee
Male
×

Y
Y
Y
Y
Y
N
Y
N

Survey 10
Pragyaparomita
31
Banerjee
Female
×

Y
Y
N
N
Y
N
Y
N
Data Analysis - Page 9
Conclusion from Data Analysis – Page 10

Overall Consumer Rights Awareness Analysis

Out of the 10 consumer surveyed – 80% of the respondents were aware of their Consumer Rights, which is a healthy trend. But
then again, the 20% of respondents who are unaware of their Consumer rights were all well educated which is not a desirable
outcome.

Consumer Rights Awareness by Age Analysis

The analysis shows that 100% of the respondents in the middle age category were aware of their Consumer Rights. 50% of
respondents in the high age category were aware which is somewhat expected as with age the awareness, zeal to fight for such
matters goes down. The concerning factor is the awareness of Consumer Rights in the lower age category. Over 60% of the
respondents were unaware of their Consumer Rights. We should have some focussed drive to increase the awareness of Consumer
rights in the lower age category.

General Awareness Analysis

Most of the survey questions shows healthy trends of awareness for all categories of respondents. The only two factors that shows
a low awareness are – Standardization Awareness & Practice of Comparing price with others. We should look at increasing
campaigns to increase Standardization Awareness and have strict laws enforcing standardizations.

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