Business Entities, Laws, and Regulations - Case Study Example

Business Entities, Laws, and Regulations Introduction: Business is a structured entity where several facts work together to generate profits. Someof these factors are the business ethics, business laws and regulations. These are the facts which operate the business in a systematic manner. Whether it is a partnership business or the fully owned business these factors should be monitored properly to run a successful business. There is another factor which is very much important and that it the customer satisfaction and the customer satisfaction can be sustained by controlling these factors in a systematic manner. First case: Restaurant and Bar Briefing: Lou and Jose plan to open a sports bar and restaurant where customers socialize and watch sporting events on large-screen TVs that hang around the bar. They do not have much money, but they do have Miriam, a wealthy investor who does not have time to participate in the business, but wants to provide capital to start the business in return for a percentage ownership Structural entities in the business: This is a business which comes under the service industry. In this industry customer satisfaction plays a big role and to sustain and control that is a proper manner the laws and regulation plays a big and powerful role. The factors which are very much important in this section of business are Customer satisfaction, Laws and regulation, and Ethics, limited. This is basically the partnership business, where three parties are available. Restaurant cum Bar business is a business to customer (B To C) module business. In these kinds of businesses the main factor is how to get the customers who would come repeatedly in the business as the loyal customer Customer satisfaction and Ethics: It is very obvious that the so-called typical customers do no longer exist in this changing business environment, and that is the biggest lesson for most of the companies in the recent time. (Dyche. 2002. P 3). The hospitality industry consists of many categories, mainly in includes the service oriented organizations like restaurants. Business ethics is very much important to sustain the trust of the customers for the sustainable profit making business. The ability to recognize and to handle the complex business ethics has become one of the significant elements in the most of the business of twenty first century. (Rerrell, Fraedrich and Ferrell, 2006, p, 4). Business laws and regulations in the restaurant cum sports bar: The concept of having sports bar is definitely a promising and innovative idea. The structure of business laws depend on the country. However, most of the times the laws are almost same to protect the business. The law is of interest of all people related with the business. There are numerous laws and regulations are there for the control of the ethical businesses. (Miller and Jentz 2009, p, 2). Law should be applied while the breach of contract happens between the two parties and that is very much rare in the restaurant business but regulation happens every time. Regulating the employee’s behavior towards the customers in the bar is very much important. It should be remembered all the time that satisfying the customer is the ultimate goal to generate profit. Employment laws are very much important for the business. In the Bar for the excess consumption of alcoholic beverages might cause death, destructions, accident etc, and for all of these the consumer is guilty not the bartender. (James and Baldwin, p, 159). There are many others laws are associated like public health, employee safety law and many more. There should be a heavy penalty if these laws are violated. Second case: Extermination business: Briefing: Frank is a wealthy investor who plans to open a chain of exterminating businesses across the United States. Structural entities in the business: In this scenario the extermination business will be a fully owned (Sole proprietorship) business for Frank. In this picture the business is basically business to business (B to C) business module. Extermination business is mostly used in the companies for the pest control. For these kinds of business there would be many environmental factors which might be followed in an ethical manner. The environmental harms violate the rights of the individual and that way the business has an obligation to restrict them from causing those herms (Frederick, 2002, p, 282). There are many structural entities are involved in this kind of business and they are the customer and customer satisfactions, business ethics and business laws and regulations. Customer satisfaction and the business ethics. This is a business to business module where the business entities help each other to generate profit from the services provided. In these kinds of business to maintain the better customer relation, the trust and commitment is very much important and that is possible by running the business in an ethical manner with the help of the laws. Business Laws and Regulations: Pest control or the extermination business is related with many harmful factors which might be very much poisonous for the environment. The environmental Act plays a vital role in this context. It is true that these kinds of business is basically to keep the area clean and clear but sometimes for the leak of some chemicals the disaster in the environment can happen which would violate the rights of the individuals so it should be controlled properly. The employees safely and health related laws and regulations should be maintained. It should be remembered the public health safety is very much important here if it is not maintained then the organization would be penalized by the legal factors. The departments of pesticide regulation and country agricultural commissioners have the authority to enforce pesticide use law and regulations. (Oconner-marer, 2006, p, 74) Laws are to regulate the situation and they need while the conflicts happen between two parties, but regulation is must for any organization to keep the goodwill intact for the longer time. Third Case: Employment for Construction Scenario: In this case the requirement is the hiring of jackhammer operator. It is very important to execute the recruitment process in an ethical manner. Smart managers think differently than the ordinary managers. Recruitment laws and regulation plays a vital role in this case. In this typical scenario it is very important to follow the regulations ethically but the main criteria should be the experience in the field of jackhammer operating. Among the applicant Michelle is having experience and high school degree but as she is pregnant so it might create some health related issues the time of work and for this the employer would be legally penalized. In other hand Nick is epileptic, which might create the same situation like Michelle. Eric is fifty five year old so he must be having a good amount of experience and he can speak English to, but no degree. He might be the strong applicant as the degree won’t produce high quality of work in jackhammer operating and he speaks English too. For Felipe it would be bit hard as he is not meeting two criteria one is he doesn’t have degree and another one is he can’t speak English. So, ethically Eric should be taken to maintain the quality work with the help of employment laws and regulations Conclusion: From this study it has been cleared that in today’s business scenario mainly in the service industry, the loyalty programs are far more effective than that of expensive marketing and advertising campaigns and the business ethics is the supportive factor to sustain the customer satisfaction. Most of the hotels, café and restaurants are following the business ethics so the customers come back again. These good practice of business ethics and behavior act like a reminder effect to the customer about the service from the particular organization. However, the business laws are the main factor to regulate all the associated entities in the business. The mantra of the successful business is a good practice of ethical business with the support of the laws and regulations. ` References Dyche J. (2002). The CRM handbook: a business guide to customer relationship management. New Jersey: Addison-Wesley. Frederick. R. (2002) A companion to business ethics. New Jersey: Wiley-Blackwell James John R and Baldwin Dan (2003). Streetwise restaurant management: a comprehensive guide to successfully owning and running a restaurant. Massachusetts: Adams Media Miller and Jentz (2009). Fundamentals of Business Law: Summarized Cases. Andover: Cengage Learning Oconner-marer Patrick J. (2006). Landscape Maintenance Pest Control. California: ANR Publications, Rerrell O C, Fraedrich J and Ferrell L, (2006). Business ethics: ethical decision making and cases. Andover: Cengage Learning Read More