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In: Operations Management

Is having different laws in different states fair to sellers eho may be prohibited from engaging...

Is having different laws in different states fair to sellers eho may be prohibited from engaging in a practice in one state that is legal in another? How might these different laws affect business?
Class is usung The Legal Envirnoment Today 8th Edition Book

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Expert Solution

When we talk about the laws related to business practices, it is always advisable to have the unifomr trade and business laws in the entire country so that the bsiness functioning and implementation of the laws becomes easy. If there will be differnet laws in different states, it will create a lot of problem to the business and it will also be unfair as one practice in one state may be prohibited by in adjusent sate, it could be permittted. This will creaate a lot of administrative and management issues for the business.

The company has to deal with varied laws of different states and this will also hamper its overall brand image as th custoers of one state that prohibited a certain activiy will treate the organziation an unethical if it uses the same prctices in other state where the stated practice is allowed.

It will also increase the adminsitraive cost for the business as the company has to deal with differnet legal aspects of the business and thus a lot of law suits can be filed against the comapny


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