7 - Political & Legal Change

Question 1

What Is Legislation?

Answer 1

Creating and enacting laws in order to protect individuals, businesses and society.

Question 2

What Is The Legal Environment?

Answer 2

Collection of legislation that impact the activities of organisations.

Question 3

What Are The Main Roles Of Business Legislation?
(5 Points)

Answer 3

~ Regulate the rights and duties of businesses.

~ Protect consumers from exploitation.

~ Ensure employees are treated fairly.

~ Provide investors and creditors.

~ Prevent unfair competition.

Question 4

What Are The 3 Main Areas Of Legislation?

Answer 4

~ Labour market.

~ Competition.

~ Environment.

Question 5

What Does Labour Law Try To Ensure?

Answer 5

Protects workers from discrimination within the workplace, makes it easier to recruit workers.

Question 6

What Are All The Employment Legislation & Discrimination Acts?
(7 Points)

Answer 6

~ Equal pay act, 1970.

~ Sex discrimination act, 1975.

~ Race relations act, 1976.

~ Disability discrimination act, 1995.

~ Employment Relations Act, 2004.

~ Employment Act, 2008.

~ National minimum wage act, 1998.

Question 7

What Is The Equal Pay Act (1970) About?
(2 Points)

Answer 7

~ Same pay for same work of both genders.

~ Both sexes should be treated equally at work.

Question 8

What Is Sex Discrimination Act (1975), Race Relations Act (1976) & Disability Discrimination Act (1995) About?

Answer 8

Ensures there is not discrimination based on sex, race and disabilities in terms of recruitment, training and promotion inside the workplace.

Question 9

What Is Employment Relations Act (2004) About?

Answer 9

Ensure if 50% of workers within a organisation are members of a trade union, the employer must recognise that.

Question 10

What Is Employment
Act (2008) About?
(2 Points)

Answer 10

~ Ensure the minimum wage legislation is put into place.

~ Ensures that 0 hour contracts rights exist.

Question 11

What Is The National Minimum Wage Act (1998) Legislation About?
(2 Points)

Answer 11

~ Ensures employers pay their workers at least the NMW.

~ Was introduced to pay a fair wage to low paid workers.

Question 12

What Was The National Minimum Wage Act (1998) Rebranded Into?

Answer 12

Living wage in 2016.

Question 13

What Are The Impacts Of Labour Market / Employment Law?
(3 Points)

Answer 13

~ Increased fines, if a business doesn’t follow these laws.

~ Cost of compliance to the law, big firms may need to employ a team to ensure laws are not being breached.

~ Compliance could lead to a more motivated and productive workforce.

Question 14

What Does Competition Law Try To Ensure?
(3 Points)

Answer 14

~ Promotion of fair competition.

~ Make markets work better, contributing towards improved efficiency.

~ Keep business conduct in check.

Question 15

What Does Competition Policy Aim To Ensure?
(3 Points)

Answer 15

~ Technological innovation, to promote DE in different markets.

~ Effective price competition between suppliers.

~ Safeguard and promote the interests of consumers through increased choice and lower price levels.

Question 16

What Are 2 Competition Laws In The UK & Still aligned With EU Laws?

Answer 16

~ Competition act, 1998.

~ Enterprise act, 2002.

Question 17

What Are The Main Elements Of Competition Law?
(3 Points)

Answer 17

~ Repression of cartels.

~ Ban strategic pricing, such as predatory pricing and limit pricing.

~ Supervise mergers, takeovers and joint ventures to ensure they are not being anticompetitive.

Question 18

What Are All The Main Elements Of Competition Law Enforced By?

Answer 18

CMA.

Question 19

What Is Meant By ‘Repression Of Cartels’?

Answer 19

Avoid businesses colluding together, to try to manipulate price (Price fixing) and output within the market.

Question 20

What Can’t Businesses Do In Terms Of Price Fixing?
(4 Points)

Answer 20

~ Agree prices with competitors.

~ Impose minimum prices on different distributors.

~ Agree with competitors what purchase price will be offered to suppliers.

~ Strategic pricing methods.

Question 21

What Are Examples Of Anti-Competitive Behaviour?
(4 Points)

Answer 21

~ Price fixing and market sharing.

~ Predatory pricing and limit pricing.

~ Charging excessively high prices.

~ Patent missuse.

Question 22

What Are The Impacts Of Competition Policy?
(4 Points)

Answer 22

~ Allows for a more level playing field amongst businesses, particularly helpful for smaller businesses.

~ Reputation issues if there is failure to comply to these laws, could lead to lower sales or fines.

~ Ensures low prices, better quality and more choice for consumers if successful.

~ Impact planning for a business if they want to pursue a merger .etc.

Question 23

Who Enforces The Environmental Law?
(2 Points)

Answer 23

~ OEP.

~ Office of environment protection.

Question 24

What Are Examples Of What Environmental Law Tries To Ensure?
(4 Points)

Answer 24

~ Water and air quality.

~ Wildlife.

~ More recycling.

~ Less plastic waste.

Question 25

What Does Environmental Law Try To Ensure?

Answer 25

Influence the behaviour of individuals and businesses in order to reduce negative impacts on the environment.

Question 26

What Is An
Environmental Law In The UK?

Answer 26

Environment act, 2021.

Question 27

What Are The Main Features Of The Environmental Act (2021)?
(2 Points)

Answer 27

~ Ban of exporting waste.

~ Ban of importing wood, leather, palm oil etc from illegally deforested land.

Question 28

What Are Other Main Features Of The Environmental Law?
(4 Points)

Answer 28

~ Tradable pollution permits.

~ Limits to emission levels to sea, rivers and air.

~ Guidelines, limits and bans on waste disposal.

~ Quotas on the use of finite resources.

Question 29

What Are Impacts Of Environmental Law?
(2 Points)

Answer 29

~ Compliance may increase business costs.

~ Compliance may improve reputation. Vice versa.

Question 30

What Are All The Issues Within Government Policy?
(5 Points)

Answer 30

~ Enterprise.

~ Role of regulators.

~ Infrastructure.

~ Environment.

~ International trade.

Question 31

What Is The Role Of A Government Policy Pursuing
Enterprise?
(2 Points)

Answer 31

~ To support start ups and SMEs.

~ Provide training and grants to these start ups and SMEs.

Question 32

What Are The Benefits If The Government Chooses A Policy To Promote Enterprise?
(3 Points)

Answer 32

~ Increase profits = Increases tax revenue as they can charge more tax.

~ More job opportunities as the businesses expand, they would need to employ more workers.

~ Increased competition, leads to increased efficiency, leads to lower prices or increase quality.

Question 33

What Is The Role Of The Government Policy ‘Role Of Regulators’?
(2 Points)

Answer 33

~ Prevent collusion in markets and strategic pricing.

~ To supervise mergers and takeovers.

Question 34

What Is The Impact Of The Government Policy ‘Role Of Regulators’ Being Successful?
(3 Points)

Answer 34

~ Lower prices.

~ Increased quality/ standards.

~ More contestable markets, less barriers of entry which promotes competition.

Question 35

What Is The Role Of The Government Policy ‘Infrastructure’?

Answer 35

Improving infrastructure in the economy.

Question 36

What Is The Impact Of The Government Policy ‘Infrastructure’ Being Successful?
(3 Points)

Answer 36

~ Lead to more productivity.

~ Additional investment.

~ ST creation of jobs to build the infrastructure.

Question 37

What Is The Role Of The Government Policy ‘Environment’?

Answer 37

Laws to support combating climate crisis.

Question 38

What Is The Impact Of The Government Policy ‘Environment’ Being Successful?
(2 Points)

Answer 38

~ Create a green reputation, promoting future business.

~ Business must adapt and comply to new policies.

Question 39

What Is The Role Of The Government Policy ‘International Trade’?

Answer 39

Support exporting of UK business and to secure vital imports.