Impact of consumerism
Indifference Curve assumptions
Complete- The completeness assumption is also known as trichotomy assumption. The reason for the same is listed below.
Combination of goods
The consumer must state which good he prefers. The product is the same but produced by different companies. Which companies product a consumer prefers more. This kind of preference differs from one consumer to another consumer. He either prefers product produced by A or B or C, etc.
Consistency also known as transitivity, it is predicted that a consumer’s preference is never self-contradictory or conflicting with each product. He/she may choose a different product other what he/she usually buys. But they are content with whatever they have bought, for instance, A is preferred to B, B is preferred to C, A is preferred over C.
It is always assumed consumers prefer to buy more goods and they are never satisfied with some products they have bought with their own money. They are mentally affected by it which in turn affects their overall physical strength.
The goods which a consumer buys can always be substitutable. For example, take tooth paste. The tooth paste I am currently using right now can be changed to another tooth paste if I like the features of that tooth paste. Is it not?
The consumer tries utilize more products with a hard earned income and always wants to buy a good at market price. Here, I am not talking about the rich or the upper middle class people.
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In my POV
If you are a consumer, what do you think about a particular good? Do you think it meets your needs and wants in your daily life? I am talking about Pen, Pencil, Notebook, Sketches, marker pens?
I am sure, you can buy these goods blindly and choose any company’s produce? Do you agree with whatever I am saying?
Tooth paste, Soap, toilet cleaner, Gas stove, water filter, refrigerator, washing machine, Dish washer, Vacuum cleaner, etc are goods which you try hard to purchase the right product but not always.
You often feel dissatisfied with some of these products. So you change/replace the product after a given period. Am I wrong?
There is no proper research and development centers in Companies. If there was, why would they produce a product that has an expiry date? All living beings have an expiry date except plants, trees and a few more.
If the company wants to make loyal customers they have to understand the mindset of a common man. There is a bad culture in the society. Which is if the product is costlier, it is a good product. This kind of mentality of the consumers must be changed. The companies, if they earn huge profits, in their corporate social responsibility, they must give few of the products to the poor people. This will gain them more loyal customers. First impression is the best impression. Try to impress the poor people, the whole world will look at your company.