INDIAN LAWS IN MARKETING
The legal environment in the country greatly influenced the marketing decision of business organization. The marketing manager must adjust and organize marketing mix to cope with the laws of the land.
The recent ban on marketing of ‘ GUTKA’ in maharastra is a classic example of legal power exhibited by the state to protect the public health from bad effect on the health of the consumer. Similarly ban on selling ‘LOTTERY’ ticket in the state of madhyapradesh shows how business can be influenced overnight through the legislation.
In other case the Maharastra government under Drug and Cosmetic, Act 1940 has made it compulsory to store and display of pharmaceuticle product in temperature controlled shop in class A and B town from January 01,2003.
ISSUES OF CONSUMER RIGHTS
CONSUMER RITHTS IN INDIA :
Every citizen in the country become a consumer in one way or the other while purchasing and using various goods and services. A consumer is anyone who buys or agrees to buy any goods or servies for a price, which has been paid or promised to be paid. Under any system of defferd poayment.
A consumer also includes any user of such goods other than the person who actually buys goods and such use is made with the approval of purchaser.
However, a person is not a consumer if he purchase goods for commercial or resale purchase. There are four basic consumer right as the consumer consume the product and service as a part of the social; process and consequence and these rights are…
The right to be protected.
The right to be informed.
The right to choose.
The right to be heard.
The right to redress
The right to consumer education.
The right to healthy environment.
The right to satisfaction of basic needs.
Case: Consumer court fines Coca Cola:
Naresh Thakkar v/s Hindustan Coca Cola Beverage Private Limited.
Naresh Thakkar complained that the bottle of coke , sold to him by the company’s agent, contained some thing more than he just drink and that the “foreign particle” upset his stomach. The company rebuttle that Thakkar had not come with clear hands as he never had a proper receipt of the transaction.
Though it would not be determined whether contents of the bottle were injurious to health as neither party went ahead with the test, the district forum noted that foreign partiles were indeed present in the bottle , adding there was deficiency in service to that extent.
Coca Cola further appealed before the state commission, which dismissed it saying there was a 133 days delay. It did not accept the ground sought for condonation of delay that the clerk had lost the certified copy.The company then approached the Naional Commission which also turned down the petition saying that there was no ground to interfere with the order of the state commission.
Coca Cola finaly approached to National Consumer Dispute Redressal Commission which dismissed a revision fited by Hindustan coca cola Beverage Private Limited for not filing it within the stipulated time.
Further, National Consumer Dispute Redressal Commission uphels a district forum order directing the company to pay the compensal amount of Rs 2500/- and litigation of Rs. 500/- to an aggrieved person for setting him a battle of soft drink containing “foreign particles”.
LEGAL ISSUSE IN PRODUCT DEVELOPMENT
In today’s era of mega competition wherein technology plays a major role the most of the leading firtms adiopt the strategy of differentiation through new product development . the classic example is INTELL and SONI wherein the major strategy focus is on new product development . The product life cycle is deliberately compressed and old product are killed and replaced with the new and innovative products.
In today’s context , the product must be competitate with the environment standards and should be harmless for usage and human consunption the key question include…
Do the manufacturing process avoid pollutin the environment?
Dothe packaging is not adding to waste generation and creatin environmental problems?
Do the product and its packaging after being used have recycling potential?
Do the product approval by the appropriate agency and certified for usage?
Do the product harmless for usage and consumption by hauman beings?
The government and the consumer group are the wqatchdog for the new product in the market. There is host of legislation for arresting the introduction of harmful products in the market. The classic example is government regulations banning the use of CFC( chloroflourocarbons )as refrigerant or as ingredient in acrosal containers.
To look in to the setting of standard for product commodities ,materials and process at national and international level Bureau of Indian Standard came in to force. Bureau of Indian Standard is a statutory organization established under the Bureau of Indiuan standard Act,1986.
IPR An Intellectual Capital
The term ‘Intellectual Property Rights, cannot that there is a value attached to the intellectual cintribution as a whole IPR ia a mixture of industrial property and copyrights
Indian IPR scenario
Intellectual property in India is well established at all level statutory adminstration and Indicial and cover four lkey areas mentioned below.
1. Patent :
India is progressively tightening the protection available to make its patent laws and is compatible with the Trade Related Aspacts of Intellectual Property and service(TRIPS) agreement under WTO by 2005 . Existing patent laws the patent Act of 1990.
2. Copyright :
A new copyright Act of 1999 replaced the copyright Act of 1957 The Act vests copyright in the authores on creation of their works and require no registration . The Act covers computer programmes, satellite broadcasting and digital technologhy.
3 . Design :
On May 25,2000 the new Design Act was publictly notified. The international classification will now take effect and may now be claimed from application filled in World Trade Organisation and paris Convention countries the Design registration in India is in tended to protect designes which have an industial or cmmercial use and protect only for the appearance of the article and not how it works.
PRICING DECISIONS – LEGAL ASPACTS
The product pricing decisions are very sensitive in nature and the firms always want to keep secrecy about it. In today’s competitive environment, for survival and growth they pricing tool to make volume sales, increase market share dispose of the accumulated out dates stocks or to click a deal with the customer.
Former price comparison
In a ‘Bargaining Price’ the marketer offers relocation on the marketer’s earlier or former price of the product in this.
The former price is actual price at which product was offer to the public on the regular basis. If the former price is genuine the bargain price advertised is true one. However, if former price is fictious the bargain price advertised is false and buyer is not getting usually low price as expected
Price Discrimination : For same grade or quality of difference purchased or group of purchase if resulting in to lessening of the competition focus under the unfair trade practices In such cases law prohibits the price discrimination.
Quantity Discount: This is commonly used for motivating customer to purchase is large quantity so that landed units price of the product for the buyer is reduced resulting in to his economy.
Functional Discount : Normaly the functional discount structure evolved by the firm is based on the difference in the distribution functions of each of the channel member such as distributing retailer C&F agent ,stockiest etc.
The legal environment in the country greatly influenced the marketing decision of business organization. The marketing manager must adjust and organize marketing mix to cope with the laws of the land.
The recent ban on marketing of ‘ GUTKA’ in maharastra is a classic example of legal power exhibited by the state to protect the public health from bad effect on the health of the consumer. Similarly ban on selling ‘LOTTERY’ ticket in the state of madhyapradesh shows how business can be influenced overnight through the legislation.
In other case the Maharastra government under Drug and Cosmetic, Act 1940 has made it compulsory to store and display of pharmaceuticle product in temperature controlled shop in class A and B town from January 01,2003.
ISSUES OF CONSUMER RIGHTS
CONSUMER RITHTS IN INDIA :
Every citizen in the country become a consumer in one way or the other while purchasing and using various goods and services. A consumer is anyone who buys or agrees to buy any goods or servies for a price, which has been paid or promised to be paid. Under any system of defferd poayment.
A consumer also includes any user of such goods other than the person who actually buys goods and such use is made with the approval of purchaser.
However, a person is not a consumer if he purchase goods for commercial or resale purchase. There are four basic consumer right as the consumer consume the product and service as a part of the social; process and consequence and these rights are…
The right to be protected.
The right to be informed.
The right to choose.
The right to be heard.
The right to redress
The right to consumer education.
The right to healthy environment.
The right to satisfaction of basic needs.
Case: Consumer court fines Coca Cola:
Naresh Thakkar v/s Hindustan Coca Cola Beverage Private Limited.
Naresh Thakkar complained that the bottle of coke , sold to him by the company’s agent, contained some thing more than he just drink and that the “foreign particle” upset his stomach. The company rebuttle that Thakkar had not come with clear hands as he never had a proper receipt of the transaction.
Though it would not be determined whether contents of the bottle were injurious to health as neither party went ahead with the test, the district forum noted that foreign partiles were indeed present in the bottle , adding there was deficiency in service to that extent.
Coca Cola further appealed before the state commission, which dismissed it saying there was a 133 days delay. It did not accept the ground sought for condonation of delay that the clerk had lost the certified copy.The company then approached the Naional Commission which also turned down the petition saying that there was no ground to interfere with the order of the state commission.
Coca Cola finaly approached to National Consumer Dispute Redressal Commission which dismissed a revision fited by Hindustan coca cola Beverage Private Limited for not filing it within the stipulated time.
Further, National Consumer Dispute Redressal Commission uphels a district forum order directing the company to pay the compensal amount of Rs 2500/- and litigation of Rs. 500/- to an aggrieved person for setting him a battle of soft drink containing “foreign particles”.
LEGAL ISSUSE IN PRODUCT DEVELOPMENT
In today’s era of mega competition wherein technology plays a major role the most of the leading firtms adiopt the strategy of differentiation through new product development . the classic example is INTELL and SONI wherein the major strategy focus is on new product development . The product life cycle is deliberately compressed and old product are killed and replaced with the new and innovative products.
In today’s context , the product must be competitate with the environment standards and should be harmless for usage and human consunption the key question include…
Do the manufacturing process avoid pollutin the environment?
Dothe packaging is not adding to waste generation and creatin environmental problems?
Do the product and its packaging after being used have recycling potential?
Do the product approval by the appropriate agency and certified for usage?
Do the product harmless for usage and consumption by hauman beings?
The government and the consumer group are the wqatchdog for the new product in the market. There is host of legislation for arresting the introduction of harmful products in the market. The classic example is government regulations banning the use of CFC( chloroflourocarbons )as refrigerant or as ingredient in acrosal containers.
To look in to the setting of standard for product commodities ,materials and process at national and international level Bureau of Indian Standard came in to force. Bureau of Indian Standard is a statutory organization established under the Bureau of Indiuan standard Act,1986.
IPR An Intellectual Capital
The term ‘Intellectual Property Rights, cannot that there is a value attached to the intellectual cintribution as a whole IPR ia a mixture of industrial property and copyrights
Indian IPR scenario
Intellectual property in India is well established at all level statutory adminstration and Indicial and cover four lkey areas mentioned below.
1. Patent :
India is progressively tightening the protection available to make its patent laws and is compatible with the Trade Related Aspacts of Intellectual Property and service(TRIPS) agreement under WTO by 2005 . Existing patent laws the patent Act of 1990.
2. Copyright :
A new copyright Act of 1999 replaced the copyright Act of 1957 The Act vests copyright in the authores on creation of their works and require no registration . The Act covers computer programmes, satellite broadcasting and digital technologhy.
3 . Design :
On May 25,2000 the new Design Act was publictly notified. The international classification will now take effect and may now be claimed from application filled in World Trade Organisation and paris Convention countries the Design registration in India is in tended to protect designes which have an industial or cmmercial use and protect only for the appearance of the article and not how it works.
PRICING DECISIONS – LEGAL ASPACTS
The product pricing decisions are very sensitive in nature and the firms always want to keep secrecy about it. In today’s competitive environment, for survival and growth they pricing tool to make volume sales, increase market share dispose of the accumulated out dates stocks or to click a deal with the customer.
Former price comparison
In a ‘Bargaining Price’ the marketer offers relocation on the marketer’s earlier or former price of the product in this.
The former price is actual price at which product was offer to the public on the regular basis. If the former price is genuine the bargain price advertised is true one. However, if former price is fictious the bargain price advertised is false and buyer is not getting usually low price as expected
Price Discrimination : For same grade or quality of difference purchased or group of purchase if resulting in to lessening of the competition focus under the unfair trade practices In such cases law prohibits the price discrimination.
Quantity Discount: This is commonly used for motivating customer to purchase is large quantity so that landed units price of the product for the buyer is reduced resulting in to his economy.
Functional Discount : Normaly the functional discount structure evolved by the firm is based on the difference in the distribution functions of each of the channel member such as distributing retailer C&F agent ,stockiest etc.