What is the primary goal of the Fair Trading Act?

The Fair Trading Act is essential in promoting fair competition and consumer rights in New Zealand. Its primary goal is to prohibit misleading and deceptive conduct in trade. This means that businesses must not engage in practices that could mislead consumers about the nature, characteristics, or benefits of a product or service. By enforcing this principle, the Act aims to foster a fair marketplace where consumers can make informed decisions based on accurate information.

In essence, the Fair Trading Act helps to protect consumers from dishonest trade practices, ensuring that their rights are upheld and that they are not taken advantage of by misleading advertising or representations. This focus on preventing misleading and deceptive conduct is critical in building trust within the market and ensuring that competition remains fair.

Other options do not capture the comprehensive aim of the Fair Trading Act. While pricing strategies and consumer discounts are relevant, they do not represent the Act's core purpose of protecting consumers from misinformation and ensuring a level playing field for businesses. Similarly, making goods optional or setting arbitrary controls on pricing diverges from the Act's goal of promoting honest trading practices.