Police are probing allegations claiming that a famed bakery named Mimi Cookie bought cookies from Costco and sold them as homemade, organic products at higher prices. Mimi Cookie mostly sold its goods through e-commerce and social networks. In addition, it was not a licensed e-commerce business operator. It only registered its offline store in Eumseong, Chungcheongbuk-do according to the authorities. The cookie scandal is only the tip of the iceberg. False advertising and unlicensed businesses have an effect on Korean consumers. Korean consumers filed 498 complaints regarding online transactions to the Seoul Electronic Commerce Center. The total number of complaints grew by 18% compared to last year. Consumer complaints regarding purchases made through social media platforms - Naver Band and Instagram rose twofold in one year. The majority of the complaints were regarding sellers who refused to accept changes or cancellation of orders. Other complaints included sellers not responding to calls and delayed deliveries.

As consumers are unable to view and assess products before purchase, online shopping is risky. In addition, before buying goods from an online business, it is important for consumers to check whether the business is complying with the government’s e-commerce regulations. “If a business claims to be selling organic goods, consumers have no way to know whether it is telling the truth. Concerned authorities need to be attentive in supervision and increase the magnitude of punishment for false advertising,” said Lee Seung-sin, a professor of consumer information science at Konkuk University. As tconsumers cannot be protected due to insufficient protection policy, more care and alertness is required.