In the new millennium, with the change of nature of the Indian economy from physical to the digital economy, consumers have entered into a brand new online (digital) economy. With the ‘e’-revolution and data Technology, electronic commerce has emerged because of the potential emblem of a brand new worldwide virtual economy. In online shopping, on the one hand, consumers are offered convenience, quickness, and global choice in services, goods, and, more importantly, in prices, however, on the opposite hand, the web implies new hazards for consumers within the environment of e-marketing. the results of shopping, within the borderless world of the net, function differently from the offline world in various ways. The position of the patron in an electronic environment is primarily weaker when it involves issues concerning quality, privacy, payments, and e-transactions. this text profiles the importance of consumer rights as a backbone of the on-line Indian economy and sketches out the main threats to consumers in e-Banking and online shopping.

Keywords: Online Shopping, e-Banking Crimes, Online Consumers, Cyber Frauds

Introduction

Before the historic period, the wants of folks were only a few and these were met through the exchange of products. There existed a barter system that’s an exchange of possession of products of 1 kind with the opposite catering to their mutual requirements. There was no competition because the concept of the market wasn’t vague in any respect. the needs of individuals weren’t many. However, the economic Revolution has caused radical changes within the lives of men as regards the products and articles consumed by them within day-to-day life. the buyer goods flooded the market and also the traders started adopting various devices to sell the products manufactured by them. The concept of the market was also brought into existence. As more and more inventions – more and more goods and articles were manufactured and therefore the creature started relying upon them more often. The untrained consumer is extremely often cheated within the quality, quantity, and price of products or services.

About the marketing, as already mentioned in Chapter-I it’s rightly commented that it’s more complex to review and there may never be any stable scientific laws during this. The developed countries like u. s. of America and the UK were first to understand the necessity to shield the interest of consumers who became a strong and intelligent class within the society. As in other countries of the planet in our country also the concept of consumer came into existence and consumer protection became one among the first duties of the State.

Despite varied efforts, both legislative and administrative to forestall the Commission and repetition have eroded the majority vitals of society. While this in mind, this short chapter is meant to focus on concepts of Consumer, Consumerism and entails the issues which also are known by the opposite name that’s socio-economic crimes. These problems, crimes are accountable for preventing the expansion and development of Consumer Protection. Lastly, some measures to curb the patron exploitation are suggested.

What is Consumerism?

The phenomenon of ‘Consumerism’ is popular in physical commerce that depicts that consumer is that the nucleus around whom all business activities revolve because the planets do around the sun.  ‘Consumerism’ may be a movement designed to enhance the rights and powers of consumers about the sellers of products and services. It’s a protest movement of consumers against what they or their advocates see as unfair, discriminatory, and arbitrary treatment. Consumerism is as old as a business but has taken a replacement dimension and thrust in recent years. Consumerism doesn’t mean that Caveat Emptor- Let the customer Beware- it’s now replaced by Caveat Venditor- Let the vendor Beware. within the new digital economy; the potential of the Internet, transmission, digital information-gathering, and electronic shopping are numerous, and several other within the new digital economy; the potential of the Internet, transmission, digital military operation, and electronic shopping are numerous, and several other years ago many folks who would have thought to possess been excluded from the unprecedented opportunities, With this ‘e’- revolution electronic commerce has emerged because of the potential emblem of a replacement worldwide virtual economy.4 during this online shopping, on one hand, consumers are offered convenience, quickness, and global choice in services, goods, and, more importantly, in prices, however, on the opposite hand, the web implies new hazards for consumers within the environment of e-marketing. The results of shopping, within the borderless Concept of E-Consumerism: A the position of the buyer in an electronic environment is primarily weaker when it involves issues concerning quality, privacy, payments, and e-transactions.

It is need of the time to put this phenomenon of ‘Consumerism’ into an actionable matrix in ‘e-market’ in India. This research work has come up with a straightforward tool of the ‘e-Consumerism Policy Matrix6 that attempts to evolve standards for providing a shield to the rights of consumers in web shopping. This text highlights the ignorance of the application of the concept of ‘Consumerism’ in a web marketplace for the protection of consumers. The trail of the evolution of the latest millennium reveals the fact that over a previous couple of centuries, mortals have experienced two major revolutions: the commercial Revolution and also the Electronic Revolution. 

The economic Revolution transformed our society from being agriculturally based on industrial-based, whereas the Electronic Revolution transformed our society from being mechanical based on electronically based. Within the new millennium, a replacement revolution has opened its eyes namely Network Revolution. It interconnects different parts of the planet, enabling the seamless flow of data. The web is that the engine of this revolution and Electronic Commerce (E-Commerce) is its fuel. Information Technology has opened vistas for developing completely new business modules to facilitate and expedite modern-day business transactions. The leading edge for business today is E-Commerce. Digital technology provides an effective communication platform to speak to consumers directly or through online marketing. E-Commerce means the application of electronics in commerce. ‘e’ may be a question of technical capability and commerce is that the way within which that capability is applicable.

Any sort of business transaction during which the parties interact electronically instead of through physical exchanges or direct physical contact is termed as E-Commerce. the very fact is that the origin of E-Commerce dates back some 30 years and exist Electronic Data Interchange (EDI), a typical way of exchanging data between companies. Internet E-Commerce is, however, only 1 a part of the general sphere of E-Commerce. Ecommerce involves advertising, marketing, stock market, payment mechanism, banking, taxation, supply chain mechanism, cyber law, and therefore the WTO regarding Electronic dealings. E-Commerce includes:

 (1) Electronic Data Interchange (EDI),

 (2) Electronic Mail (e-mail),

(3) World Wide Web (www.),

 (4) Electronic Bulletin Boards (EBB)

(5) Electronic Fund Transfer (EFT).

E-Commerce requires communication networks like (1) Value Added Network (VAN), (2) Local Area Network (LAN), and (3) Internet.10 Therefore, the dot com (.com) and ‘e’ version companies have confiscated the old brick-and-mortar business industries. The ‘e-Revolution’ has placed virtually the whole trading universe in cyberspace wherein the connection of consumers with sellers has also transformed to an excellent extent. Consumers in New Paradigm of E-Commerce: Shoppers in Borderless E-Market: – Traditionally, a ‘market’ could be a physical place where buyers and sellers gather to exchange their goods and services. Presently, E-marketing in additional general terms is the buying and selling process that’s supported by electronic means.

The core focus of Internet-business or e-marketing is on the creation of a brand new online market, customer satisfaction, opening new vistas for consumers, and then on. Internet business strategy has not much concern with hardware and software. Within the field of law, the stress is on the newly emerging threats of Internet e-commerce to the consumers. Since consumers determine the success of a product or service, therefore, the success of an online business strategy hinges on the anticipation of customer choice, tastes, needs, likings, decision-making patterns, and expectations.

The Internet provides the power to migrate from one website to a different almost without realizing the complicity of software tools that produce this possible. However, this aspect of e-commerce comes within the sphere of pure management of e-commerce. During this article, the complete focus is on the rights of consumers, violations of their rights, and legal ramifications for the protection of rights of online consumers.

Impact of E-Market on Consumer Index:-

Digital technologies are termed because of the engine for ‘Consumer- Empowerment’ in India 61 P.E.Society’s. buying patterns and private characteristics. E-Marketing serves such a lot of benefits to consumers like

● with the digital revolution consumers became stronger, enlightened, and more powerful. Consumer sovereignty has increased manifold under the e-marketing system. The consumer enjoys wide choice and best services with an entire range of products and services across the worldwide economy with a click of the mouse on the pc screen.

● Digital technologies have provided access to more information than ever before to consumers. They will easily find reviews for products they’re considering to shop for. These reviews are posted by previous buyers on websites.

● because the market shoots up in electronic trading, the middlemen intermediaries and salesmen start disappearing. This has benefited the consumers in terms of commissions and costs, which was earlier given to intermediaries.

● E-Marketing facilitates quick and convenient shopping to consumers. It can make products and services available wherever and whenever the buyer demands. One can shop within the dead of night and from any a part of the globe.

● E-marketing is probably going to supply employment to immeasurable people and generate sources of income and revenue via the export of software and BPO services. In e-marketing, women can hope to undertake different varieties of business activities without leaving their homes.
Impact of E-Marketing on Consumer Behavior in Online Shopping:-
From a consumerism perspective, the net may be considered as quite a communication mechanism. The term consumer behavior is defined because the behavior that customers display in looking for, purchasing, using, evaluating, and putting off products and services that they expect will satisfy their needs. Consumer behavior focuses on how individuals make decisions to spend their available resources (time, money, effort) on consumption-related items.

Consumers’ mercantile activities are often classified into different steps-

Violation of Rights of Consumers in Online or Digital Economy
during this online shopping, on one hand, consumers are tendered convenience, quicken, and global choices also as a comparison in services, goods, and, more importantly, in prices. However, on the opposite hand, the web implies new hazards for consumers within the environment of e-marketing. The results of shopping within the borderless world of the net functions differently from the offline world in various ways. Consumers usually lack the chance to get sufficient information about the identity of the supplier; the terms and conditions of any transaction (including the value of the products and services); details of delivery costs; the standard of the products or services, timely, affordable and fair dispute resolution. Consumers using the web are usually obliged to pay entire purchase amounts before.

For transactions involving small purchases, there is also an absence of any practical means of redress within the event of a dispute. This problem is accentuated further on the web as a consequence of the possible cross-border dimension of the transaction. The Internet has provided transparency in prices and brand selection, but not adequate transparency within the quality of products and services.

The e-consumer is additionally more manipulated as results of polished marketing strategies and fewer up to the mark of what exactly happens with data, information, and communication process. Some of the important violations are highlighted as under Polished E-Advertisements: E-advertisements are the roots for the generation of online shopping frauds. Online shopping frauds refers generally to any variety of fraud scheme that uses one or more components of the web like chat rooms, e-mail, message boards, or web-sites-to present fraudulent solicitations to prospective victims, to conduct fraudulent transactions or to transmit the proceeds of fraud to financial institutions or others connected with the schemes. There are various fraudulent schemes envisaged over the web from which the criminals benefit financially.

Various Internet frauds include online auctions, Internet access services, work-at-home plans, information/ adult service, travel/vacation plans, advance free loans, prizes, and win lottery portals. Fraudulent schemes often use the net to advertise purported business opportunities that may allow individuals to earn thousands of rupees through work-at-home ventures. These schemes typically require the individuals to pay anywhere but fail to deliver the materials or information that may be needed to form the work-at-home opportunity a potentially viable business.21In online advertisements goods are shown in a very very tempting way, however, they’re not actually as they’re shown in advertisements.

Flaws within the Validity of e-contracts:

The essential ingredients of a sound consent physical world have a definite connotation within the context of an online contract. There are some issues to ponder upon very gravely. one of the essentials of a sound contract is that the parties should enter into the contract with their free consent. Two or more persons are said to consent after they agree upon the identical thing within the same sense i.e. consensus ad idem. A Contract is unenforceable on the bottom of the flaw in consent. T

he flaw in consent takes place in five ways- (1) Coercion (2) Undue Influence (3) Fraud (4) Misrepresentation and (5) Mistake.

In an online contract, the consent is alleged not free when it’s dominated by three factors, namely: (1) Fraud (2) Misrepresentation, and (3) Mistake. An agreement to which the consent is caused by fraud is voidable at the choice of the party whose consent was so caused. In an internet contract, it’s very difficult to circumscribe all different acts of fraud with the bounds of an easy and precise definition of ‘online-fraud’.

The offenses of ‘Spamming’, ‘Spoofing’ are originated to cheat innocent customers, and contract concluded under the duvet of spamming and spoofing can never be considered as a legal contract. A contract, the consent to which is induced by misrepresentation, is voidable at the choice of the deceived party. On the internet, shopping misrepresentation is that the trend. Mistake or error makes the contract void i.e., it’s not enforceable at the choice of either party.

The mistake may operate upon a consent two ways: it should defeat the consent altogether or it should P.E.Society’s. misleads the parties on the aim which they contemplated. because the formation of a legitimate contract forms the cornerstone of e-commerce, sufficient attention must be paid to the formation of a sound online contract before finalizing transactions within the click-world.

Frauds in e-Banking:

In the Indian physical banking system, the classification of banking frauds wont to be like: misappropriation and criminal breach of trust, fraudulent encashment through forged instruments, manipulation of books of account or through fictitious accounts and conversion of property, unauthorized credit facilities extended for reward or illegal gratification, negligence and cash shortages, cheating and forgery and irregularities in exchange transactions.

Till today, frauds are committed to consumers in markets, however, modes of cheatings became very refined and complicated. On one hand, technological advancements have provided a bundle of facilities to consumers in the cyber world, however, on the opposite hand, novice modes of committing frauds have also get existence which is very difficult to acknowledge and investigate. The frauds in e-transactions will be categorized as Cyber hiding or e-Money Laundering, MasterCard Frauds, Phishing, ATM Frauds, Unwanted Programs (Adware, Spyware, and Browser Parasites), Hacking, Cyber vandalism, and Malicious Code (Worms, computer program and Bots).

Defective Delivery of Goods: With E-Commerce, shopping will be done at any time by using our “fingertips” rather than our “feet”. The geographical barriers became a blur. a store located in another country and a store next to your house is both on “one finger-click” away. within the physical planet, a consumer goes into a shop, selects a commodity, and hands over profit return for the products which he/ she carries away. The risks are very small, and whether or not things fail, the consumer can usually exchange faulty goods. One knows where to travel back to buy because bricks and mortar rarely move overnights.

However, when trading over the web, things don’t seem to be simple: The dream of a virtual trader can suddenly become a nightmare. The exploitation of the rights of e consumers under the veil of data technology has grown from a cesspool into a large iceberg. The safety, security, and protection of consumers are an enormous challenge in India. ‘Consumer is sovereign’ and ‘Customer is that the king’ is nothing quite myths within the present scenario particularly within the developing societies.

Therefore, in the light of the above-mentioned threats to consumers in online shopping, it’s very crucial to ponder upon the new concept of ‘e- Consumerism’ in the Indian digital economy.

The Relevance of the Concept of ‘E-Consumerism’ in India

In India, the concept of ‘E-Consumerism’ is of recent origin. it’s an ignored phenomenon; however, it’s need of the time to stick to the concept of e- Consumerism. e- Consumerism may be a movement of the buyer, by the buyer, and for the consumers for the protection of their rights in the online market. e- Consumerism is often defined as all aspects and activities connected, concerned, and related to the protection of rights of consumers in the online market or digital economy.

E-consumerism is deemed as an apparatus, a brand new social dimension, and a protest which aims at unveiling the evil practices of manufactures and repair providers and giving necessary strength to consumers seeking to redress, restitute and remedy for the dissatisfaction caused by products and services and restoring the balance within the buyer-seller relationship. The tool of ‘e-Consumerism Policy Matrix’ has evolved an easy and customary reference that will put the concept of ‘Consumerism’ in an actionable matrix in the e-market.

This tool of ‘e-Consumerism Policy Matrix’ is evolved on the bottom that’s deeply embedded in one of all the golden rule of public policy research. within the area of public policy research E-Commerce and Consumerism is one such phenomenon. Its better understanding would cause useful results that might be used for public policy formulation. In this article it’s submitted that the tool of ‘e-Consumerism Policy Matrix’ involves three fundamental doctrines:

● Balancing of Interests between e-Commerce profits and e-Consumer satisfaction;
● Public Policy to supply platform for ‘Consumerism’ and ‘e-Marketing’ into an Actionable matrix;
● Structured, Systematic, and Adequate Indian Legal Mechanism for listening to the voice of aggrieved consumers in online shopping.

Conclusion

To sum up it’d suffice to mention that buyers are offered convenience, speed, and global choices yet as a comparison in services, goods, and costs. Modern technological developments have made an excellent impact on the standard, availability, and safety of products and services. But the fact of life is that the consumers are still victims of unscrupulous and exploitative practices. The identification of consumers is code words furthermore because the identification of sellers also is their internet site address (IP Addresses) only. within the business world, there have always been fraudulent activities happening within the past, are occurring within the present, and can be there within the future.

That’s why the planet of the Internet and cyberspace has become a haven for these frauds with consumers in internet shopping. it’s hereby submitted that it’s vital to present attention to public policy deliberations on ‘e-Consumerism’ as people of India have accepted the new change of knowledge technology. There’s little question that more and more of the world’s consumers want to shop for at any time, through any channel—and, increasingly, from anywhere.

For the rich class of individuals, online shopping may be a hobby, however, for socio-economic class people still there are such a lot of fears regarding the privacy and security of their online transactions that hinder the expansion of e-Commerce in India.

Therefore, in India, it’s ripe time towards a movement of ‘e-consumerism’ on the trail of protection of rights of consumers in an internet world. a powerful platform for the flourishment of e-commerce can only be provided when consumers are safe in e-commerce. This consumer education can provide a secure likewise as fertile ground for the expansion of ‘e-Consumerism’ in India. The destination of consumer education is to supply all people the knowledge, mechanisms, and confidence that will give them a way of control over their individual and collective consumer decisions in the online economy.

In the light of the above-mentioned threats to consumers in online shopping, it’s very crucial to ponder upon the new concept of ‘e- Consumerism’ in the Indian digital economy and to revamp a movement toward ‘e-Consumerism’ in India.

References

1. “Ethical Consumerism: A Guide for Trade Unions”, Congress of Trade Unions, Global Solidarity, Irish Aid Department of Foreign Affairs, Retrieved from visited on 30 June 2012.
2. For Instance: Vendors of adulterated milk in Australia were required to drink the entire product. Similarly, French Consumers were allowed to throw rotten eggs at those who sold them.
3.  G.B. Reddy, Law of Consumer Protection, Gogia Law Agency, Hyderabad, 1997, p. 3.
4.  An economic theory from the 18th century that is strongly opposed to any government intervention in business affairs. People who support a laissez-faire system are against minimum wages, duties, and any other trade restrictions. Laissez-faire in French terms means “Leave alone”. Sometimes it is referred to as “Let it be Economics”. Retrieved from visited on 1 July 2012.
5.  G.N. Shau, “Consumer Problems in India”, Indian Journal of Marketing, Vol. XI, May 1981, pp. 3-4.
6. L.N. Dahiya and Seema, 2007, p. 91.
7. Section 2(1) (d) of the Consumer Protection Act 1986 defines the word ‘Consumer’.
8.  Sukhdev Aggarwal, Praveen Aggarwal, and Sanjay Lohia, Commentary on the Consumer Protection Act, 1986, The Bright Law House, Delhi, 1999, pp. 12-13.

Frequently asked questions

• What is consumerism?

The phenomenon of ‘Consumerism’ is popular in physical commerce that depicts that consumer is that the nucleus around whom all business activities revolve because the planets do around the sun.  ‘Consumerism’ may be a movement designed to enhance the rights and powers of consumers about the sellers of products and services.

• Impact of E-Market on Consumer Index?

Digital technologies are termed because of the engine for ‘Consumer- Empowerment’ in India 61 P.E.Society’s. buying patterns and private characteristics. E-Marketing serves such a lot of benefits to consumers like with the digital revolution consumers became stronger, enlightened, and more powerful. Consumer sovereignty has increased manifold under the e-marketing system. The consumer enjoys wide choice and best services with an entire range of products and services across the worldwide economy with a click of the mouse on the pc screen.

• Consumers’ mercantile activities are often classified into seven steps, all of which require being satisfied?

Preliminary requirement determination; 2. rummage around for the available items that may meet the requirement; 3. Compare the chosen items with multiple perspectives concerning specification, price, delivery, date, and other terms or conditions; 4. Place an order; 5. Pay the bill; 6. Receive the delivered items and inspect them; and seven. Contact the seller to urge after service and support, or to return if disappointed.

• The relevance of the Concept of ‘E-Consumerism’ In India

In India, the concept of ‘E-Consumerism’ is of recent origin. it’s an ignored phenomenon; however, it’s need of the time to stick to the concept of e- Consumerism. e- Consumerism may be a movement of the buyer, by the buyer, and for the consumers for the protection of their rights in the online market. e- Consumerism is often defined as all aspects and activities connected, concerned, and related to the protection of rights of consumers in the online market or digital economy.