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By Stephen Loke President, Centre for Corporate Social Responsibility and Partner, Loke & Seah

Presentation on Government Policies on Consumer Protection at the Asian Symposium on Direct Selling, 29-30 Sep 2003. By Stephen Loke President, Centre for Corporate Social Responsibility and Partner, Loke & Seah. Direct Selling/ Door-to-door sales. Advantages An age old industry

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By Stephen Loke President, Centre for Corporate Social Responsibility and Partner, Loke & Seah

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  1. Presentation onGovernment Policies on Consumer Protectionat the Asian Symposium on Direct Selling, 29-30 Sep 2003 By Stephen Loke President, Centre for Corporate Social Responsibility and Partner, Loke & Seah

  2. Direct Selling/Door-to-door sales • Advantages • An age old industry • Bringing choice to consumers • Save time and travelling costs • Convenient as “doorstep” service

  3. Problems with direct selling • Impersonation of government officials of utilities board, housing board, etc to gain sales • Pushing sales of water heaters, rubbish cute, doors, iron grilles, stainless steel pots and pans, vacuum cleaners when consumers cannot make brand or price comparison on the spot.

  4. High-pressure selling tactics • “Hard sell” sales pitch • Aggressive and intimidating sales techniques • Undue harassment or coercion • Persistent, pushing salesmen, refuses to leave • Consumers fickle • The final act – the sympathy card

  5. Consumer protection legislation in Singapore • Existing • The Consumer Protection (Trade Description and safety Requirements) Act, 1975 • Unfair Contract Terms Act • The Misrepresentation Act • The Sale of Goods Act • The Penal Code • The Miscellaneous Offences (Public Order and Nuisance) Act • Impending • The Consumer Protection (Fair Trading) Act, 2003

  6. Voluntary Aspects/ self regulation • Public commitments by firms which extend beyond those obligations found in law • Commitments are embodied in voluntary codes: • Cooling off period • Disclosure of information • HIT • Honesty • Integrity • Transparency • Direct Selling Associations working with consumer groups • White listing

  7. Business Excellence Fair Trading Competition Law CSR Public Relations

  8. Business Excellence Consumer Confidence

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