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List and explain factors that affect consumer sovereignty

      

List and explain factors that affect consumer sovereignty

  

Answers


John
1. Provision of standard goods - It is cheaper for manufacturer to provide standardized goods but producing these commodities, consumer freedom is limited since there is no regard for consumer taste and preference.
2. Nature of economic system - A consumer is more sovereign in a free market oriented system where commodities more in line with consumer preferences.
3. Size of consumer income- The larger the consumer's income the greater the sovereignty since he can choose from wide range of goods and services.
4. Power of advertising - Advertising entices the consumer to use the products and also creates new wants.
5. Existence of monopolies - Monopoly often limits consumer sovereignty by providing goods which are highly priced and of low quality.
6. Range of goods available - Different consumers have different tastes and it is difficult for the available range of goods and services in the market to satisfy all their desire and hence the more the range of goods available Intl the market the more sovereign the consumers are.
7. Consumer habit - Consumers have different habits and are often reluctant to change from this habit. This means that the consumer can get attached to particular supplier or product and reluctant to change from it.
Jonmhumble answered the question on October 18, 2017 at 05:56


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