Alumina: Business Regulation Simulation
Abstract
This paper identifies the key facts, regulations and legal issues in the Business Regulation Simulation regarding Alumina, a global multibillion company. It identifies several of Alumina's values and stakeholders and discusses the conflicts among the competing stakeholders according to the simulation. In addition, a summarization on the basic issues on how the internal counsel handles the regulatory issue. Three alternative solutions are also discussed using the risk analysis matrix and summarizes how these align with Alumina's values.
Business Regulation Simulation
In a global environment, businesses have many business risks and one of them is federal governmental environmental regulations. Businesses have to comply with regulations mandated by the government t or face penalties that can cost the company immensely and sometimes closure. These regulations assure that companies comply and not cause major catastrophes that can affect the environment or cause harm to human or animal populations.
The Business Regulation Simulation, featuring Alumina, a multi-billion dollar aluminum maker with subsidiaries in manufacturing automotive components, packaging materials, bauxite mining, alumina refining and aluminum smelting with its businesses in eight countries around the world, experienced legal issues that were very public. The Alumina organization falls under the control of the Environmental Protection Agency of region 6. This company, had a penalty imposed five years previously from the EPA and were now faced with a new legal issue or claim of environmental endangerment to the community with accusations from a local resident that the company caused her chi...
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...s or acquires. A concept, having moral implications that everyone should understand in this global society. It is best described as recognizing property as "an exclusive private sphere of effort and resources on which the community and the state have no legal claim. It also permits individuals to acquire unequal amounts of the resources that others may need or want
property reflects moral values concerning the resource relationships among people" (Reed & Shedd, 2005).
References
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Melvin, S. P. (2011). The legal environment of business: A managerial approach: Theory to practice. New York, NY: McGraw-Hill/Irwin.
The Environmental Protection Agency, or EPA is the result of a 1970 executive order by President Richard Nixon for the purpose of protecting the environment of the United States through regulation on business and citizens. Public opinion on the Environmental Protection Agency has been divided fairly evenly across the population of the United States as of recently, as compared to the widespread public concern of the 50’s and 60’s that led to the agency’s creation. Recently the agency has come under scrutiny for its contributions of millions of dollars in grants to researchers in order to hide the potential trade off of its actions in order to further the agency’s agenda. The EPA’s ever-expanding regulation could end up harming more than it actually
Rule: National Environmental Policy Act ("NEPA"), 42 U.S.C. § 4321 establishes that it is necessary to take actions to review and protect the environment mitigating any potential damages. Administrative Procedure Act ("APA"),
The Environmental Protection Agency (EPA) regulates air pollution through various policies passed through the Supreme Court. The scope of this paper is to investigate the Clean Air Act of 1970, and to analyze the impact it has on businesses and society. It provides a rationale for the policy, and contains a brief overview of governmental involvement in regulating air pollution. Further investigation identifies key stakeholders in business, government, and society, and assesses the pros and cons of regulating air pollution. Finally, the paper concludes with limitations of this analysis and recommendations for future action.
The quality of air we intake on a daily basis is essential to our health, therefore, the EPA’s Clean Air Act provides the groundwork to support the quality of the air which we breathe. One of the goals of the Act was to set and achieve NAAQS in every state by 1975 to address the public health and welfare risks posed by certain air pollutants. The setting of these pollutant standards was coupled with directing the states to develop state implementation plans (SIPs), applicable to appropriate industrial sources in the stat...
They enforce the proper disposal of waste material, the restrictions on greenhouse emissions, pollutants, and other substances harmful to land, water, and our atmosphere. I do support the EPA because it is protecting the very environment that we need to live in. The EPA was created to protect human health and the environment by writing and enforcing regulations based on the laws passed by the Congress. I believe that the EPA is necessary, but it does come at a cost. With the EPA, businesses are forced to follow strict guidelines. This comes at a monetary cost that can sometimes cost a great deal of money. This in turn makes the products they produce more expensive for consumer. Overall, I do believe that the EPA and all the rules and regulations they enforce are worth the price at which they are given. Another modern example of government regulations on businesses is sticker shock. Sticker shock is a about fuel economy standards. The National Highway Traffic Safety Administration and the EPA finalized new fuel efficiency standards for cars and light truck for the year 2017-2025. They are requiring the average fuel economy be 54.5 miles per gallon by 2025. Although this would be great, I don’t think that it is realistic. The sticker price for cars will dramatically increase, and ultimately have a negative effect on the overall economy. I don’t support this regulation as it is unfair and unjust to set
...tained a streak of sustaining a strong society when suggesting their laws into the Criminal Justice System. Nonetheless, the recent proposal discussed on whether environmental harm should be criminalized has sparked controversy. There are many pros and cons that can be acknowledged in this case. One main thing is certain; the environment is very sacred to every human being and should be well cared for. Thus, there are many other techniques that can do this rather than it simply being placed in the Criminal Code. Civilians need to have a fair chance to deal with problems and as a whole; they can come together to help this environmental issue. Non-legal regulators can work together with society to better our world. Taking legal action would make things more complicated than need be when considering a law that has more negatives to our justice system than positives.
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The problem with pollution prevention is that it requires people to understand more than the intimate details of the production process; they must also understand the technical possibilities. Many corporations have environmental managers, which are generally responsible for helping corporations comply with the law. According to the case study, the work of environmental managers often expose them to many pollution prevention solutions, but they often have trouble getting access to production areas. Production often sees Environmental Managers as "the compliance police".
The Criminal Process in Environmental Regulation. (n.d.). UH Law. Retrieved April 6, 2014, from http://www.law.uh.edu/faculty/thester/courses/Environmental-Practicum-2014/syllabus/chap6.pdf
Miller, R. L., and Hollowell, W. E. (2006). 2007 Business law and legal environment texts. Mason, OH: West Legal Studies in Business.
Beatty, Jeffrey F., Susan S. Samuelson, and Jeffrey F. Beatty. Business Law and the Legal Environment. Mason, OH: Thomson/South-Western/West, 2004. Print.
Environmental concerns and laws looked at environment groups and what impact they have on the buying market
Regulations provide the baseline environmental standards that industry is required to follow. Without environmental regulations, industry would not be able to meet the same standards by themselves. Environmental regulations may not always be in the best interest of the industry due to their costly and sometimes prohibitive nature. In response to these concerns, the establishment of incentive programs increases the likelihood of industry complying with and potentially exceeding the minimum environmental standard. Incentive programs motivate industry to meet and exceed environmental standards by allowing them to benefit financially by aiming for higher than regulation