Business Revision Guide: 4.4

• Fit for purpose means that goods must do what they are meant to do
• As described means that goods must be as the business described them
• Consumer law is the area of law that protects the customers of a business. This is mainly through the Consumer Rights Act 2015
• Satisfactory quality of goods means that how the goods are made will reflect the price. A high quality product must be of high quality
• Reputation of a business is what customers say and feel about a business
• A business using {...} means:

  Of satisfactory quality - goods must not be damaged or faulty when you buy them. Cheaper 'bargains' should be expected to have a lower quality
• A business using {...} means:

  Fit for purpose - goods must do what they are meant to do
• A business using {...} means:

  As described - goods must be as you described them
• The impact of consumer law on the business (advantages):

  • improves business' reputation which could increase sales
  • help to reduce recalls / returns which will lower costs
• The impact of consumer law on the business (disadvantages):

  • can be expensive to provide training for employees
  • if a business doesn't provide "OSG", customers may demand a refund
  • they may also lose their reputation