RUNNING HEADER: Business Regulation Simulation
Business Regulation Simulation
Stephanie Lyn Schneider
University of Phoenix
Introduction
According to the BNET business dictionary, regulation is “the use of laws or rules stipulated by a government or regulatory body, such as the Securities and Exchange Commission, to provide orderly procedures and to protect consumers and investors.” (BNET, 2008) Business regulation is not limited to these sorts of issues, though. As is the case with Alumina, the Environmental Protection Agency (EPA) also sets standards that need to be enforced to protect the business as well as the community in which it operates. Because the employees at Alumina adhere to the regulations and standards set by the EPA there is little risk to them when issues arise. However, Alumina’s unfortunate experience with the water pollution five years ago earned them a violation of the EPA rules. Now Alumina is targeted as the cause of a young girl’s case of leukemia. Despite the incident five years ago, executives at Alumina are confident that they are in compliance with all the rules now. The negative publicity incurred by the allegations could be detrimental to the future of Alumina. Cautious decisions need to be made whenever a case of this nature is initiated. Legal counsel should be consulted in reacting to any such allegations and decisions should be made that maintain the best interests of the company while preserving the community relationship.
Key facts, regulations, and legal issues
The mission of the EPA is to establish and enforce standards that must be followed in order to maintain a clean environment. They have set regulations to limit such pollutions as air and water. Alumina had a spill five years ago into a ...