External environment - including law Flashcards
Name 6 area of law that can affect business
employment law environmental law health and safety law consumer law competition law copyright law.
State 2 ways that employment law affects employees
Minimum wage and maternity leave
State 2 ways that environmental law affects a business
Reduce emissions to minimise pollution
Reduce noise from the premises to reduce noise pollution
State 2 ways health and safety law affects both the employer and employee
Wires should not be left trailing in the workplace as it is a trip hazard
Shelves should not be over stacked as there is risk of falling on someone
State 2 ways consumer law affects a business
Labelling should be clear and accurate on products
Products should be fit for the purpose that they were sold for
State 1 way competition law affects business
A business is not allowed to negotiate with competitors to agree a price to charge the consumer (Price fixing)
What does Copyright law apply to?
Music, books, designs
How might a rise in interest rate affect a business?
High interest means it is more expensive to borrow but savers get better rates.
Demand falls.
Especially for expensive goods like cars and white goods
How might a rise in the exchange rate affect a business
SPICED
Strong Pound Imports Cheap Exports Dear
Which form of technology does a business use to manage its finance?
Spreadsheets because formulae speed up sums
Which form of technology does a business use to store customer records?
Databases because it allows a business to mail merge addresses to personalise letters or emails
Which form of technology does a business use to write a memo?
Word processing as a memo is simply a formal, internal note
How might the internet help a business?
Skype for international meetings to reduce costs
Create websites to promote or sell through to reach more customers
How might weather affect demand?
Depends on CONTEXT - will customers be able to get to the business, will deliveries arrive?
What is sustainability?
The use of resources and suppliers that does not damage the environment
