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Published on: 25/10/2025
Download CBSE Class 12th Standard CBSE Business Studies question papers, sample papers, important questions, and previous year solved papers in PDF format. Get free study materials, NCERT solutions, and exam preparation resources for Class 12th Standard CBSE Business Studies
Questions + Answers key
Take MCQ Business Studies Test

1.
Why is consumer protection necessary?
2.
Why has the earlier approach of 'caveat emptor' changed?
3.
Which right of consumer protection provides safety of consumers against deficient services?
4.
What is BIS?
5.
Which cases can be filled in the National Commission under Consumer Protection Act,1986?
6.
Identify the location of the following consumers organisations.
(i) VOICE
(II) CERC
(III) CUTS
7.
Explain the importance of consumer protection from the point of view of a business.
8.
Explain briefly the machinery for the redressal of consumer grievances under the Consumer Protection Act,1986.
9.
State any six functions of consumer organisations and NGOs for protecting and promoting the interest of consumers.
10.
Explain the role of consumer organisations and NGOs in protecting and promoting consumers interest.
11.
Explain the following rights of a customer.
(i) Right to be heard.
(ii) Right to seek redressal.
12.
Who can file a complaint in a consumer court.
13.
When can a complaint be filed under the Consumer Protection Act,1986?
14.
Explain in brief the procedure for filing a complaint under the Consumer Protection Act,1986.
1.
( )
Consumer protection is necessary because most of the consumers are not aware of their rights, responsibilities and remedies available to them.
2.
( )
Due to increase in competition, it is the duty of seller to sell quality products. Thus, the approach has now been changed to 'caveat venditor ' which implies 'let the seller beware'.
3.
( )
Right to safety.
4.
( )
BIS stands for Bureau of Indians Standards.It is a seal certifying that the goods conform to the prescribed quality standard.
5.
( )
When the goods and services along with the compensation claimed exceeds Rs 1 crore, such cases are filed at the National Commission.Also,the appeals against the orders of a State Commission can be filed before the National Commission.
6.
( )
(i) VOICE - New Delhi
(ii) CERC - Ahmedabad
(iii) CUTS - Jaipur
7.
From business point of view, consumer protection is important because of the following reasons:
(a) Long-term interest of business. Without getting goods of the right quality, quantity and price, how can a customer be satisfied. And without satisfying customers, no business can survive for long. The customer is the foundation of any business and keeps it in existence.
(b) Business uses society's resources. Business organisations use the resources which belong to the society, thus, they have a responsibility to provide such goods and services which are in public interest. Businessman are merely trustees of resources. They must use these resources for the sake of consumers.
(c) Social responsibilities. A business organisation has many social responsibilities towards various interest groups and customer is one of the important group. So, it is the prime responsibility of a business to provide goods and services at a fair and reasonable price along with good quality. The interest of customers should be well taken care of by the business as it does with, shareholders or shakeholder.
(d) Moral justification. It is the moral duty of any business to take care of consumer's interest. It should avoid all forms of exploitation of consumers like defective and unsafe products, adulteration, false and misleading information, black marketing etc.
(e) Government intervention. Business organisations should not involved in any unfair trade practices and interests of consumers should be taken care of, then there is no need of intervention by the government because Government intervention spoils the image of the business organisation.
8.
Redressal Agencies
For the redressal of consumer grievances, the Consumer Protection Act,1986 provides for setting up of a three-tier machinery at the district, state and the national levels.These agencies are:
1.District Forum or District Consumer Dispute Redressal Forum
(i) The state Governments are required to establish District Forums in each district.
(ii ) Each District Forum consists of a chairman and two members appointed by the State Government, one of whom should be a woman
(iii) A District Forum can receive consumer complaints,where the value of goods or services and the compensation claimed is not more than Rs 20 lakh.
(iv) The complaint can be filed by a consumer to whom goods are sold or services rendered or any recognised consumer association.
(v) On receiving the complaint, the District Forum shall refer the complaint to the opposite party concerned and send the sample of goods for testing in a laboratory.The opposite party is the seller,manufacture or any organisation aginst whom the complaint has been filed.
(vi) The District Forum, after being satisfied that the goods are defective or there is some unfair trade practice, replace can issue an order to the opposite party directing him to either resolve the ireplace the goods, or return the price paid, or pay compensation to the consumer for loss or injury,etc.
2.State Commission or state Consumers Disputes Redressal Commission.
(i) State Commission is set-up by the Stae Government and its jurisdiction is restricted to the boundaries of the state concerned.
(ii) The state Commission shall consist of a President, who is or has been a judge of a High Court and two other members, one of whom is a woman.All the three shall be appointed by the State Government.
(iii) Only those complaints can be filed, where the value of goods or services and compensation claimed is more than rs 20 lakh but or more than rs 100 lakh.The appeals against the orders of any District Forum can also be filed before the state commission, days of days of passing of the order.
(iv) The State Commission, after being satisfied that the goods were defective,can issue an order directing the opposite party to either remove the defect or replace the goods or return the price paid or pay compensation to the consumer for loss or injury, etc.
3. National Commission or National Consumer Disputes Redressal Commission
(i) The national Commission is set-up by the Central Government.
(ii) It shall consist of a President, who is or has been a judge of the Supreme Court and four other members appointed by the Central Government, one of whom shall be a woman.
(iii) All complaints pertaining to those goods or services and compensation whose value is more than rs 100 lakh can be filed.Appeals against the order of any State Commission can also be filed before the National Commission, within 30 days of passing of the order.
(v) The National Commission has the power to issue orders for recall of defective or unsafe products for replacement or removal of deficiency in service, It can make the manufacture comply with safety provision and pay compensation for loss or injury caused.
(v) An order passed by the National Commission is appealable before the Supreme Court.
9.
Consumer organisations NGOs are established or formed to protect and promote the consumer interest.They perform following functions:
Role of NGOs/Consumer organisations
Consumer organisations and NGOs perform several functions for the protection and promotion of interest of consumers.These include:
(i) Creating awareness about consumer rights by organising training programmes, seminars and workshops.
(ii) Imparting knowledge about consumer problems,legal reporting and reliefs available by publishing periodicals and publications.
(iii) Carrying our comparative testing of consumer products in accredited laboratories and publishing the results for the general benefit.
(iv) Encourage consumers legal assistance by providing aid, advice, etc to seek legal remedy.
(vi) Filing complaints in appropriate courts on behalf of consumers.
(vii) Taking initiative for filing cases in the interest of general public.
10.
Consumer organisations NGOs are established or formed to protect and promote the consumer interest.They perform following functions:
Role of NGOs/Consumer organisations
Consumer organisations and NGOs perform several functions for the protection and promotion of interest of consumers.These include:
(i) Creating awareness about consumer rights by organising training programmes, seminars and workshops.
(ii) Imparting knowledge about consumer problems,legal reporting and reliefs available by publishing periodicals and publications.
(iii) Carrying our comparative testing of consumer products in accredited laboratories and publishing the results for the general benefit.
(iv) Encourage consumers legal assistance by providing aid, advice, etc to seek legal remedy.
(vi) Filing complaints in appropriate courts on behalf of consumers.
(vii) Taking initiative for filing cases in the interest of general public.
11.
(i) Right to be heard The consumer has a right to file a complaint and to be heard in case of dissatisfaction with a good or service It is because.of this reason, many enlightened business firms have set-up their own consumer service and grievance cells, and help consumers in redressal of their grievances
(ii) Right to seek redressal This right assures justice to consumers against exploitation and includes compensation for any loss or injury suffered by the consumers, replacement of goods or repair of defects in the goods.in order to provide satisfaction to consumers.Thus, the consumer has a right to get relief in case the product fails short of his expectation.
12.
Under the consumer protection Act,1986,the following can file a complaint:
(i) A consumer
(ii) Any voluntary consumer association registered under the Companies Act,1956 or any other law for the time being enforced.
(iii) The Central Government.
(iv) Any State Government.
(v) A legal heir or representative of a deceased consumer.
13.
A complaint can be filed under the Consumer Protection Act,1986 within two years from the date on which the cause of action has arisen.However,a complaint may be entertained even after the expiry of the said two years,if the complainant satisfies the Consumer Courts that he has sufficient cause for not filing the complaint within such period.
14.
A complaint may be filed by the complainant or his authorised agent in person or by the post.There is no fee filing a complaint.
A complaint should be in writing and it should contain the following information:
(i) The name,description and address of the complainant.
(ii) The name,description and address of the opposite party or parties,as far as they can be ascertained.
(iii)The facts relating to complaint and when and where it arose.
(iv) Documents if any,in support of the allegations contained in the complaint.
(v) Details of the relief which a complainant is seeking
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