The United States has several laws that are intended to further fair, balanced, and competitive business practices. Do you think that such laws are effective? If so, why? If not, why not? Be sure to provide evidence to support your position one way or the other. There are several laws in the United States that are chosen to be fair, balances, and competitive for businesses. With the control measures, the laws has been effective to ensure businesses are ran fair. But when the legislation and/or regulations have a determining factor of not knowing if it’s going to be successful or note, we are unsure. Amongst the fact that when laws are being initially introduced, there is always some uncertainty as to whether these laws will impact to promote fair business practices. Also with these laws in process, as consumers, these laws can affect our lives in one way or another.
In 2008, when the recession hit, companies were engaged in fraudulent acts. One company, Johnson and Johnson who was faced with an impact amongst the media with claims were filed of cyanide-laced pills. But by cleaning up and keeping there good name, Johnson and Johnson pulled all Tylenol brand products from every pharmacy and begin to develop a new pill for the consumer. Then there was the Sherman Antitrust Act which was had the capabilities of breaking up monopolies in order to restore free enterprise. Some monopolies bad due to the interest of the consumer and completion. The Act stated “outlaws all contracts, combinations, and conspiracies unreasonably restrain interstate and foreign trade.” The act also included agreements with competitors to rig bids and fix prices. (Federal Trade Commission, n.d.)
The Essay on Fair Trading Act 1986
1. The Fair Trading Act exists to promote fair competition and in this way it contributes to the economic wellbeing of all New Zealanders. It prohibits certain conduct in trade, provides for the disclosure of consumer information relating to the supply of goods and services and promotes product safety. Protects consumers from being mislead or being treated unfairly by traders or shops. It also ...
But the intent of the Sherman Antitrust Act was there to protect consumers from huge business using illegal means to raise prices unwillingly and knowingly by producing few goods to meet the demand of the consumer. This action increased the products value and price. (Justice, 2008) One principal states “For the best results of consumers, laws needs expression with a national commitment to a free market and economy in which competition is free.” There’ve been times where the government kept trade industries and/or consumers being unfairly treated during business practices. In 1914, there were two laws passed that were designed to reinforce the Sherman Antitrust Act by clearly creating illegal restraint of trade.
Also it stated “The act outlawed discrimination of price for certain buyers and advantage over other consumers and prohibited some types of mergers and other acts that would decrease opposition. By this time, the Federal Trade Commission Act stated a compliance of preventing unfair anti-competitive business practices by deceptive or unfair means to consumers; enhancing consumers choice and becoming aware and understanding the competitive process and to accomplish this without overwhelming legitimate business activity.
There are other laws and regulations enacted since them to protect workers as well as consumers. The law within an employee workplace to not discriminate in hiring based on age, sex, race or religion with child labor laws prohibited as well. These laws in every workplace are put in place to keep each and every employee protected. Another act, The Dodd-Frank Act, the protection of US citizens by consolidating regulatory agencies which makes it easier to oversee the risks taken by bank which result in losses and to avoid American citizens having to pay for it (i.e. bailout of banks).
This act provides protection for the consumer by banks to be more honest with what they are offering upon opening or signing up for an account.
Laws and Regulations are not easily defined when antitrust laws are violates. There are many versions and analysis which often leads to agree to disagree. With public support, antitrust laws can be enforced and effective but with ignorance and indifference, it can become weak.
The Term Paper on Environmental protection and the social responsibility of firms: perspectives from law, economics, and business
Responsible businessIntroductionResponsible business concerns itself with allowing and ensuring the application of social and moral principles in business decision making. Through the definitions, the following principles of responsible business can be drawn: Business for profit: When people engage in business, they are expecting to receive profit. The first principle of responsible business lies ...
In conclusion, whether an entrepreneur or consumer, if behavior is encountered in a business environment that appears to violate laws, contact your local enforcement agencies. Whether shopping as a consumer in a grocery store, buying a home on uploading software, laws play a big role in ensuring consumers are benefiting from all competitive prices and good quality goods and services. All these goals are accomplished with promoting competition and preventing competitive business practices. However with a recent act passed by the government maybe it doesn’t go far enough in preventing businesses and its practices from protecting consumers. But with implementation, it’s the ensurance of what businesses ultimately do o in the best interests of the American people.
References
Federal Trade Commission. (n.d.).
Retrieved from The Antitrust Laws: http://www.ftc.gov/tips-advice/competition-guidance/guide-antitrust-laws/antitrust-laws Justice, U. D. (2008, 12 03).
Sherman Anti-Trust Act of 1890. Retrieved from Society for Human Resource Management: http://www.shrm.org/legalissues/federalresources/federalstatutesregulationsandguidanc/pages/shermananti-trustactof1890.aspx U.S. Securities and Exchange Commission. (2014, 07 02).
Retrieved from Dodd-Frank Wall Street Reform and Consumer Protection Act: http://www.sec.gov/spotlight/dodd-frank.shtml
