Goods vs. Services, Wants vs. Needs

• Goods are tangible products that can be owned and used for personal or business needs.
• Goods can be durable (long-lasting) or non-durable (quickly consumed).
• Examples of goods include clothes, food, cars, electronics, and furniture.
• Services are intangible activities provided to satisfy consumer needs without resulting in ownership.
• Examples of services include haircuts, education, medical treatments, transportation, and banking services.

Wants vs. Needs

• Wants are non-essential for survival.
• Needs are essential for survival.
• Examples of wants are designer clothes, gaming consoles, vacations, smartphones, and luxury cars.
• Examples of needs are water, food, shelter, healthcare, and basic clothing.

Debit vs. Credit Cards

• A debit card is directly linked to a bank account, deducting money immediately upon use.
• A credit card allows users to borrow money up to a credit limit, to be repaid later.
• Credit cards often accrue interest if balances are not paid on time.

Types of Retail Outlets

• Department Stores (e.g., Myer, David Jones): Large stores with a wide range of products.
• Supermarkets (e.g., Woolworths, Coles): Sell groceries and household items.
• Specialty Stores (e.g., Foot Locker, Apple Store): Focus on specific product categories.
• Discount Stores (e.g., Kmart, Big W): Offer low prices on general merchandise.
• Convenience Stores (e.g., 7-Eleven): Small stores open for extended hours, offering essential products.
• Online Retailers (e.g., Amazon, eBay): Sell goods over the internet.

EFTPOS

• EFTPOS stands for Electronic Funds Transfer at Point Of Sale.
• EFTPOS is a system that allows electronic payments using debit or credit cards.

Elements of a Simple Contract

• Offer: One party proposes an agreement.
• Acceptance: The other party agrees to the offer.
• Consideration: Something of value is exchanged.
• Intention to Create Legal Relations: Both parties intend to be legally bound by the contract.
• Legal Capacity: Both parties must be legally able to enter into the contract.

Advantages of Keeping Purchase Records

• Helps track spending and manages budgets.
• Avoids overdrafts and financial issues.
• Essential as proof of purchase for warranties or refunds.
• Ensures that bill and debts are paid on time.
• Helps detect fraudulent transactions.

How Specialty Stores Compete

• They offer unique, high-quality, or specialized products.
• Specialty stores provide expert customer service and advice.
• They create niche market with loyal customers.
• Focusing on superior shopping experiences.
• Using online platforms and social media to attract buyers.

Consumer Laws

• Australian Fair Price Law (AFPL): Ensures fair pricing practices and prevents price gouging.
• Australian Consumer Law (ACL): Protects consumers from misleading practices, faulty goods, and unfair contracts.
• Australian Goods and Services Law (AGSL): Regulates quality and safety of goods and services in Australia.
• Australian Fair-Trading Law (AFTL): Ensures businesses follow ethical trading practices and do not mislead consumers.

Key Terms

• Comparison Shopping: Checking prices and quality across different stores before a purchase.
• Compulsive Buying: Uncontrolled and repeated shopping due to emotional factors.
• Impulse Buying: Unplanned purchasing driven by sudden desire.
• Instinct Buying: Purchasing based on natural preference or immediate need.
• Fixed Expense: A regular and consistent cost.

Organizations Assisting Consumers

• CHOICE: Provides consumer advice, reviews, and product testing.
• NSW Fair Trading: Resolves consumer disputes and enforces trading laws.
• Australian Securities & Investment Commission (ASIC): Regulates financial markets and protects consumers from fraud.
• Australian Competition and Consumer Commission (ACCC): Enforces competition laws and protects consumer rights.