Task 0 Effects of Globalization on national economies by pestle approach 2


Organizations for the consumer’s protection



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2.1 Organizations for the consumer’s protection

The Trade Commission was created on September 26, 1914, when President Woodrow Wilson signed the Federal Trade Commission legislation. The FTC opened its doors on March 16, 1915. The FTC's mission was to protect consumers and promote competition. As the FTC celebrates its 100th anniversary, our thoughts turn to its unique mission, significant events in the history of the Commission, and its staff, stakeholders and constituents - present and past. The FTC deals with foreign competition and consumer protection authorities, and works with foreign authorities on matters of enforcement and policy through formal and informal agreements. In Europe there are many consumer organizations (Donoghue, 2009). Consumer Protection Cooperation (CPC) regulations are applicable in the European Economic Area. The consumer authorities of Norway, Iceland and Liechtenstein are therefore the authorities of the CPC Network. The International Consumer Protection and Enforcement Network is a global organization involving more than 40 countries, most of which are members of the Organization for Economic Cooperation and Development (OECD). The purpose of the Network is to share information on cross-border commercial activities that may affect consumer interests, and to encourage international cooperation with law enforcement agencies (Rodwin ,1996).


 The Organization for Economic Cooperation and Development addresses a wide range of issues related to consumers. The three main CCP workplaces are:


  • Consumers trust in building the digital economy;

  • Impact of new technologies and emerging business practices on consumers;

  • Examines consumer policy regimes, including the economic development of consumer policy and its relation to competition policy.

The United Nations Guidelines for Consumer Protection, adopted in 1985 and amended in 1999, suggest a list of goals described as "legitimate needs": worth hearing; correct information; right to safety; right to choose; consumer education rights; promoting the economic interests of consumers. Many of these goals appear to have their origins in human rights such as the right to salvation for example, which boasts the Universal Declaration of Human Rights (Corodeanu , 2015).


The Southern Africa Development Community (SADC) is a Regional Economic Community comprised of 15 Member States: Angola, Botswana, Democratic Republic of the Congo, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, Seychelles, South Africa, Swaziland, Tanzania, Zambia and Zimbabwe. Established in 1992, the SADC is committed to regional integration and poverty alleviation within South Africa through economic development and ensuring peace and security. The SADC has set specific challenges for consumers and, just as in other regions of Africa, increased liberalization of exchanges and opening trade boundaries puts SADC markets under particular stress. The SADC region has another challenge; of limited access to justice, making it long, difficult, costly and sometimes impossible for consumers to exercise their rights in the event of abuse (Milne , 2004)


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