business chapter 4
What steps you should take before you shop and with your alternative?
Identity your needs, gather information, be aware of the market, compare prices, comparison shop
What three economic factors that influence what people but?
Prices, interest, and product quality
____: a process whereby a conflict between a customer and a business is resolved by an impartial third party whose decision is legally binding
arbitration
_____: a written guarantee from the manufacturer or distributor that states the conditions under which the product can be returned, replaced, or repaired
warranty
____: a network of community law offices that provide free or low-cost legal assistance
legal aid society
How to resolve consumer complaints?
Return item to its place of purchase, contact company headquarters, get consumer agency assistance
___: a legal action on behalf of all the people who have suffered the same injustice
class-action suit
____: a nonprofit organization owned and operated by its members for the purpose of saving money on the purchase of goods and services
cooperative
____: a portion of the total cost of an item that must be paid at the time of purchase
down payment
___: the attempt by a neutral third party to resolve a conflict between a customer and a business through discussion and negotiation
mediation
____: a labeling method that indicates the freshness, or shelf life, of a perishable product, such as milk or bread
open dating
____: a partial refund of the price of a product
rebates
_____: a separately purchased agreement by the manufacturer or distributor to cover the costs of repairing the item
service contract
___: a court that deals with legal disputes that involve amounts below a certain limit
small claims court
_____: the use of a standard unit of measurement to compare the prices of packages that are different sizes
unit pricing
What are advantages of a small claims court?
Cheap cost, short period of time, often rules in your favor, no lawyers or juries
What are some typical consumer complaints?
Defective Of poor quality Unexpected costs Deceptive pricing Unsatisfying repair service
Disadvantages of a small claims court?
The judge decision is final, have to present your own case, the reward is pre determined
5 strategies followed by smart shoppers?
Time purchases, store section, compare brands, look at label information, and compare prices between object
____: dishonest business practices that are meant to deceive, trick, or gain an unfair advantage.
fraud
____: purchasing items on the spur of the moment
impulse buying
