Key Concepts in Commerce and Consumer Protection

Consumer

A person or group who buys goods and services to meet needs and wants.

Needs

Things needed to survive: food, water, shelter, clothing.

Wants

Things we like but don't need: phones, books, jewellery.

Individual Wants

Wants by one person (e.g., car, pen).

Collective Wants

Wants by a group (e.g., hospitals, roads).

Goods

Things you can touch (e.g., clothes, food, phone).

Services

Things people do for you (e.g., haircut, teaching).

Non-Durable Goods

Used up quickly (e.g., fruit, milk).

Durable Goods

Last a long time (e.g., car, fridge).

Resources

Things used to make goods/services: Land (natural), Labour (workers), Capital (tools, machines), Enterprise (entrepreneur's skills).

Scarcity

We have limited resources but unlimited wants. So we must choose carefully.

Opportunity Cost

The thing you give up when you choose something else.

Consumer Decision

What to buy and where.

Business Decision

How to run a business.

Legal Decision

Solving disputes and rights.

Financial Decision

How to use money.

Employment Decision

Job and career choices.

Income

Money you earn or receive.

Budget

Plan to manage money.

Saving Types

Transactionary: Save for big items. Precautionary: Save for emergencies. Speculative: Save to invest.

Smart Consumers

Compare price, quality, brand.

Impulse Buying

Buying without thinking.

Generic Products

Cheaper but still good.

Luxury Products

Cost more but not always better.

Comparison Shopping

Look around for best deal.

Manufacturer Price

Cost to make it.

Wholesale Price

Bulk selling price.

Retail Price

Price in shops.

Discount Price

Sale price.

Mail Order

From catalogues, sent by mail.

Online Shopping

Buy using the internet.

Convenience Store

Quick, but expensive.

Specialty Store

One type of product.

Discount Variety Store

Cheap, basic service.

Factory Outlet

Cheap, near factories.

Department Store

Big store, many products.

Supermarket

Self-service, wide range.

Hypermarket

Supermarket + department store.

Local Shopping

Nearby small stores.

Regional Shopping

Large shopping centre.

Global Shopping

Buying from other countries.

Legal Tender

Official money that must be accepted.

Payment Method

A method used to pay for goods or services.

Cash

No fees, easy.

Credit Card

Buy now, pay later.

Debit Card

Own money.

Online EFT

Fast, secure.

Store Credit

Discounts, rewards.

Lay-by

No interest.

Book-up

No interest.

BNPL

Pay later, no interest.

Digital Payments

You can pay easily with EFTPOS, debit/credit cards, and mobile wallets (like Apple Pay).

Contactless Payments

Tap-and-go is fast and means less cash is needed.

Security Risks

Online payments can be hacked. You need to protect your info.

Global Access

You can shop from anywhere, but returning items can be hard.

Cryptocurrencies

Digital money (like Bitcoin) is growing, but it's risky and not used everywhere.

Bait and Switch

Ad lies, they push expensive product.

Misleading Ads

False claims.

Referral Selling

Promise rewards, don't give them.

Unordered Goods

Sent things you didn't ask for.

Hidden Conditions

Tricks in offers.

Get-Rich-Quick Scams

Try to steal your info/money.

Pyramid Schemes

Illegal; earn by recruiting others.

Consumer Protection Bodies

Organizations that help enforce consumer rights.

ACCC

Enforces fair business rules.

NSW Fair Trading

Solves complaints in NSW.

Ombudsman

Solves disputes (e.g., phone, energy).

CHOICE

Gives reviews and advice.

Consumer Redress Process

Steps to resolve issues with a seller.

Legal Capacity

The ability to understand your actions and their consequences.

Age of Criminal Responsibility (NSW)

Under 10: Cannot be charged with a crime; 10-13 years: Can be charged only if the prosecution proves they knew their actions were wrong; 14+: Presumed to have full criminal responsibility.

Elements of a Crime

1. Actus Reus (Guilty Act); 2. Mens Rea (Guilty Mind); 3. Causation.

At what age can you apply for a learner's licence in Australia?

16

At what age can you work in Australia, with some job restrictions?

16

At what age can you leave school in Australia if going to TAFE or work?

17

At what age can you vote in Australia?

18

At what age are you legally considered an adult in Australia?

18

At what age can you buy and drink alcohol in Australia?

18

What age range do alcohol laws apply in most states in Australia?

18-21