External Influences 3: Legal and Political

External Influences - Legal and Political

Consumer Legislation

UK Government

The European Union

Labour Market Legislation

External Influences - Legal and Political Impact on Business: – Impact on costs – Impact on competitiveness – Impact on profitability – Impact on behaviour – Impact on decision making – Impact on innovation and new product development

External Influences - Legal and Political Example 1 - Accessibility and usability – Increases need to provide for those with different needs – Installation of lifts, ramps, wheelchair access, widening doorways, etc., monitoring of Web site, use of colour, font in documents – all adds costs

External Influences - Legal and Political Example 2 - Government Policy: – Government procurement policies Should government focus on securing most cost-effective solution or supporting of UK industry? – Decisions to privatise – wide impact on businesses in relevant sectors – Government planning law – out-of-town shopping centres

External Influences - Legal and Political Example 3 - The EU – Stilton Cheese, Cornish Pasties, Parma Ham, Parmesan Cheese – Who has the right to name their products in a certain way? – Date marking and food labelling – stricter controls – how much meat is in sausages? – Impact on costs to comply – Who benefits – consumer? But at what cost?