Which of the following constitutes a breach under consumer law?

Prepare for the New Zealand Consumer Law Exam. Enhance your knowledge with multiple choice questions, detailed explanations, and study resources. Get ready to ace your test!

Providing false claims about a product’s effectiveness constitutes a breach under consumer law because it directly violates the principles of fair trading and consumer protection. Under New Zealand’s Consumer Guarantees Act and the Fair Trading Act, businesses are required to provide accurate information about their products and not engage in misleading or deceptive conduct. When a company makes false claims about how effective a product is, it misleads consumers into making purchasing decisions based on incorrect information, which can cause financial loss or harm to consumers. This is considered an unfair trading practice and can lead to legal consequences for the business involved.

The other options do not represent breaches of consumer law. Offering discounts on bulk purchases is generally a legitimate business practice, focusing on customer service enhances the consumer experience, and maintaining product quality is essential for compliance with consumer guarantees. These actions contribute positively to consumer relationships and do not infringe upon legal obligations in the same way that false claims do.

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