1. Vocabulary 6 rights of consumer Expressed Warranty Implied Warranty Guarantee As is FTC 6 rights of consumer Expressed Warranty Implied Warranty Guarantee As is FTC OCA CPSC USDA FDA Fraud Puffing

2. What is a brand?  A word or name that helps the consumers distinguish one product from another

3. What are the pros and cons of buying generic brands?

4. Being a wise consumer means making choices  What to buy  When to buy  Where to buy  What to pay (How to pay)  What to buy  When to buy  Where to buy  What to pay (How to pay)

5. Where to buy  Department store  Discount store  Off-Price and Outlet Stores  Limited-Line Retailers  Department store  Discount store  Off-Price and Outlet Stores  Limited-Line Retailers  Superstores and Hypermarkets  Warehouse Stores  Showroom Retailers  Shopping at Home

6. What to Buy  Brand Name  Generic Products  Avg 40% less cost  Little marketing or advertising  Same or similar quality

7. When to buy  Planning in advance can save money.  Save more when items are on clearance.  End of model year.  Out of season.  Planning in advance can save money.  Save more when items are on clearance.  End of model year.  Out of season.

8. What to Pay  Comparison Shopping  Is there more quality in a higher priced item?  Unit Price.  Years of use.  Comparison Shopping  Is there more quality in a higher priced item?  Unit Price.  Years of use.

9. How to be a smart consumer

10. 1 Study advertisements  Rational and Emotional Advertising  Rational attempts to convince you with facts and information  Emotional appeals to your feeling  Rational and Emotional Advertising  Rational attempts to convince you with facts and information  Emotional appeals to your feeling

11. 2 Read Consumer Publications  Consumer Reports  http://www.consumerreports.org/cro/index.htm http://www.consumerreports.org/cro/index.htm  Consumer Union is an expert, independent, nonprofit organization whose mission is to work for a fair, just and safe marketplace for all consumers and to empower consumers to protect themselves  Consumer Research Magazine  http://www.autosinfo.com/dir/Emissions/consumer-s- research-magazine-l536.html http://www.autosinfo.com/dir/Emissions/consumer-s- research-magazine-l536.html  Consumer Reports  http://www.consumerreports.org/cro/index.htm http://www.consumerreports.org/cro/index.htm  Consumer Union is an expert, independent, nonprofit organization whose mission is to work for a fair, just and safe marketplace for all consumers and to empower consumers to protect themselves  Consumer Research Magazine  http://www.autosinfo.com/dir/Emissions/consumer-s- research-magazine-l536.html http://www.autosinfo.com/dir/Emissions/consumer-s- research-magazine-l536.html

12. 3 Shop at sales  Experts say that an average customer can save up to 15% by taking advantage of sales  Promotional sales  Clearance sales  Experts say that an average customer can save up to 15% by taking advantage of sales  Promotional sales  Clearance sales

13. 4 Use Shopping Lists

14. 5. Resist Pressure and Gimmicks

15. 6. Read Labels and Warranties  A warranty is a legal document that states the rights and responsibilities agreed to by the consumer and the store or the manufacturer

16.  Express Warranty  Warranty is made orally or in writing and promises a specific quality of performance.  Guarantee  Promise by the manufacturer or dealer, usually in writing, that a product is of a certain quality.  Implied Warranty  Warranty is created by law.  As Is  Disclaimer against all warranties and can protect sellers of potentially faulty products.  Express Warranty  Warranty is made orally or in writing and promises a specific quality of performance.  Guarantee  Promise by the manufacturer or dealer, usually in writing, that a product is of a certain quality.  Implied Warranty  Warranty is created by law.  As Is  Disclaimer against all warranties and can protect sellers of potentially faulty products.

17.  Limited Warranty  A warranty with certain conditions and limitations on the parts covered, type of damage covered, and/or time period. It usually refers to just the item specified and not the extras or accessories included.  Full Warranty  a warranty that completely covers the repair or replacement of any defect in a consumer product.  Lifetime Warranty  guarantee on the lifetime of the product rather than the lifetime of the consumer  Limited Warranty  A warranty with certain conditions and limitations on the parts covered, type of damage covered, and/or time period. It usually refers to just the item specified and not the extras or accessories included.  Full Warranty  a warranty that completely covers the repair or replacement of any defect in a consumer product.  Lifetime Warranty  guarantee on the lifetime of the product rather than the lifetime of the consumer

18. Consumer Bill of Rights  Started in 1962 by President John F. Kennedy  Four Rights  Right to be informed  Right to Choose  Right to Safety  CPSC http://www.cpsc.gov/http://www.cpsc.gov/  Right to be Heard  Started in 1962 by President John F. Kennedy  Four Rights  Right to be informed  Right to Choose  Right to Safety  CPSC http://www.cpsc.gov/http://www.cpsc.gov/  Right to be Heard

19. Three more were added later  Right to a Remedy  Right to Consumer Education  Right to Service  Right to a Remedy  Right to Consumer Education  Right to Service

20. Consumer Organizations or consumer advocates  Consumer Federation of America  More than 50 million members in 260 group  National Consumers League  Consumer ’ s Union  Major Appliance Consumer Action Program  Radio and Television  Consumer Federation of America  More than 50 million members in 260 group  National Consumers League  Consumer ’ s Union  Major Appliance Consumer Action Program  Radio and Television

21. Federal Agencies  Federal Trade Commission – FTC  FTC created in 1914 - to prevent unfair competition. Against “ unfair and deceptive acts or practices. Administers consumer protection laws such as Telemarketing Sales Rule, the Pay-Per- Call Rule and the Equal Credit Opportunity Act.  US Department of Agriculture – USDA  Enhancing food safety by taking steps to reduce the prevalence of foodborne hazards. Sets grade labels.  Federal Trade Commission – FTC  FTC created in 1914 - to prevent unfair competition. Against “ unfair and deceptive acts or practices. Administers consumer protection laws such as Telemarketing Sales Rule, the Pay-Per- Call Rule and the Equal Credit Opportunity Act.  US Department of Agriculture – USDA  Enhancing food safety by taking steps to reduce the prevalence of foodborne hazards. Sets grade labels.

22. Fed Agencies continued  Food and Drug Administration – FDA  Responsible for protecting and promoting public health through the regulation and supervision of food safety, tobacco products, dietary supplements, prescription and over-the-counter pharmaceutical drugs (medications), vaccines, biopharmaceuticals, blood transfusions, medical devices, electromagnetic radiation emitting devices (ERED), veterinary products, and cosmetics.  Better Business Bureau – BBB  http://minnesota.bbb.org/ http://minnesota.bbb.org/  Food and Drug Administration – FDA  Responsible for protecting and promoting public health through the regulation and supervision of food safety, tobacco products, dietary supplements, prescription and over-the-counter pharmaceutical drugs (medications), vaccines, biopharmaceuticals, blood transfusions, medical devices, electromagnetic radiation emitting devices (ERED), veterinary products, and cosmetics.  Better Business Bureau – BBB  http://minnesota.bbb.org/ http://minnesota.bbb.org/

23. More...  OCA - Office of Consumer Advocates  CPSC - Consumer Product Safety Commission  OCA - Office of Consumer Advocates  CPSC - Consumer Product Safety Commission

24. Consumer Complaints  There are laws to protect you from unethical business practices  Fraud Bait and Switch  There are laws to protect you from unethical business practices  Fraud Bait and Switch

25. Your Responsibilities

26. 1 Be Informed

27. 2 Choose Carefully  Pollution  Conserving Resources  Recycling  Pollution  Conserving Resources  Recycling

28. 3 Use Products Safely

29. 4 Speak Out – Boycott

30. 5 Seek a Remedy

31. 6 Learn Consumer Skills