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Ppt for Product misrepresentation and Caveat Emptor
Typology: Assignments
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Misrepresentation is observed when there is a transformation of information to misinformation. Two types of misrepresentation:
1. Intentional misrepresentation โ a scenario whereby the person is fully aware of deliberately misrepresents things, commonly known as lying. 2. Unintentional misrepresentation โ a scenario whereby the person is not aware and does not deliberately act on misrepresenting things.
However, lying can be morally justified when it is:
Business Practices Involving Misrepresentation and Lying Classified into other types:
1. Direct misrepresentation is characterized by actively misrepresenting something about the product or service. a. Deceptive packaging - In deceptive packaging the product is so packed that it misleads the customer on various fronts (in terms of quantity, size, shapes, content etc.).
d. Short Weighing โ It can be easily spotted in wet and dry markets. It is practiced in selling products by different quantities. e. Shortchanging โ Is taken directly from a situation where the seller gives the customer less than the change he should get. It covers all situations from quality to quantity of goods the buyer should get in exchange for money. f. Short Measuring- Is a unethical practice observed in products that depend on length and/or volume. g. Short Numbering โ The seller gives the consumer the quantity by piece of the product less than the number he has paid for. It is often practiced when the product being sold comes or is packed in a manner that would make counting difficult or inconvenient for the consumer.
h. Misleading Advertising - Materially false or misleading representations concerning a product or service. Any representation or symbol that would cause s significant number of the general or relevant public to misunderstand or make incorrect decisions, regardless of whether such representation or symbol is consistent with facts.
b. Deliberately withholding information in any business transaction is also an unethical practice. All parties involved in all business transactions must know exactly what they are giving away or receiving in return, in order to be fair. c. Business Ignorance is a form of passive deception because the businessman is unable to provide the customer with the complete information he needs to make a fair decision. Ignorance of costs โ the cost of manufacture, the cost to sell, and the attendant administrative costs, is another form of business ignorance which is just as harmful and inexcusable as ignorance of the product one is selling.