ch 42

Question 1

What is the role of legislation in a business?

Answer 1

-regulates the rights and duties of people carrying out businesses to ensure fairness
-protects people dealing with businesses from harm
-ensure the treatment of employees is fair and indiscriminate
-protects investors,creditors and consumers
-regulates dealing with the businesses and suppliers
ensures a level playing field for competing businesses

Question 2

What ares does legislation cover in a business?

Answer 2

consumer
employment
health and safety
competition
environment

Question 3

What are some ways that consumers are protected by legislation?

Answer 3

goods must fit their description
must be of a satisfactory quality
goods are fit for their intended purpose
businesses may not use unfair commercial practices,such as misleading advertising
consumers have the right to return and get a full refund of goods that do not comply with the law
services must be done at a reasonable price and at the time stated
a customer can request that an unsatisfactory service is repaired or carried out again at no cost

Question 4

how does consumer legislation affect businesses?

Answer 4

increases costs –> improving the safety and quality of the goods cost money

improve quality control

deal with customer complains to nip the problem in the bud before they use the legal system

to treat customer fairly