Impact of Legislation on Business

The video discusses how government legislation regulates business behavior to protect consumers and employees. It highlights the financial and time costs businesses face in complying with laws, such as health and safety regulations and the national minimum wage. The video also explores the consequences of meeting or not meeting legislation, including legal compliance, reputation, and potential fines or business closure.

What is the primary purpose of legislation in business?

• To promote international trade

• To reduce government intervention

• To regulate business behavior and protect stakeholders

• To increase business profits

Which of the following is a time cost associated with legislation compliance?

• Paying higher wages

• Producing necessary documents

• Purchasing new equipment

• Expanding business operations

What does PPE stand for in the context of workplace safety?

• Public Policy Enforcement

• Professional Performance Evaluation

• Product Price Estimation

• Personal Protective Equipment

How does the national minimum wage impact businesses financially?

• It decreases operational costs

• It increases the cost of goods sold

• It raises the wage expenses for businesses

• It reduces the need for employee training

What is a benefit of complying with legislation for businesses?

• Reduced product quality

• Improved reputation with customers and employees

• Increased tax obligations

• Higher operational costs

Why might businesses consider the cost of compliance worthwhile?

• It allows for tax evasion

• It ensures employee safety and satisfaction

• It reduces the need for marketing

• It decreases production costs

What can happen to a business that does not comply with legislation?

• It can expand its market share

• It can receive government subsidies

• It can reduce its workforce

• It can face fines and legal action

Which of the following is a potential consequence of bad publicity due to non-compliance?

• Improved brand image

• Loss of customers and employees

• Increased customer loyalty

• Higher employee retention

What is a possible outcome for a business that consistently fails to follow laws?

• It will have a competitive advantage

• It may receive awards for innovation

• It could be closed down by authorities

• It will gain more investors

What is a key reason governments implement business legislation?

• To promote monopolies

• To increase business profits

• To prevent exploitation of consumers and employees

• To reduce competition