Read the given below two statements and mark the correct answer.
Assertion (A): The principle of caveat venditor (or let the seller beware) has been substituted by the principle of ‘seller is king’.
Reason (R) : Development of education and mass media and increasing competition in the market have made the consumer conscious of his right and power in determining market forces.
Answer & explanation
Correct answer: option 4
The correct answer is option 4- Assertion (A) is false but Reason (R) is true.
Assertion (A): The principle of caveat venditor (or let the seller beware) has been substituted by the principle of ‘seller is king’. THIS IS INCORRECT because Principle of caveat emptor (or let the buyer beware) has been substituted by the principle of ‘customer is king’.
Reason (R) : Development of education and mass media and increasing competition in the market have made the consumer conscious of his right and power in determining market forces. THIS IS CORRECT. Business enterprises have started following customer-oriented policies due to increasing social responsibility towards the consumers.