BA 342 Final Exam Study Guide Abercrombie and Fitch Case Pg 665 Candidly we go after the cool kids Attractive All American kid A lot of people don t belong in our clothes and they can t belong Are we exclusionary Absolutely CEO Michael Jefferies o A F culprit of looksism Appearance based discrimination Decade ago coalition of four organizations filed an employment discrimination lawsuit against A F Claimed that A F discriminated against people of color including Latinos Asian Americans and African Americans Settled for 50 Million 2009 Girl sued A F for not hiring her because her headscarf she wore An Older Corporate Jet Pilot claimed they fired him because of age discrimination and hired a younger pilot Smeal Professor Dan Guide o Environmental Impact Concepts and Examples Paper Vs Plastic Hybrid Vs Electric Problem Solved o The Three R s Reduce Reuse Recycle o Sustainable Business Components Business View 4 Categories o Life Cycles Analysis and Product Stewardship Cradle to Grave o Closed Looped Supply Chains o Legislation General Overview Chapter 11 Government Stakeholder o Business and Stakeholders Know all Five Diagram in Book o History of Government and Business Interstate Commerce Act of 1887 Intended to prevent discrimination and abuses by the railroads Beginning of extensive federal government regulation of interstate commerce Created Interstate Commerce Commission First federal regulatory agency 1 Trust an organization that brought all or most competitors under a common control that then permitted them to eliminate most of the remaining competitors by price cutting an act that forced the remaining competitors out of business Sherman Anti Trust Act first in a series of actions to control monopolies Clayton Anti Trust Act augmented the Sherman Act Outlawed price discrimination and anticompetitive contracts o Business Government Public Interaction Business and Government Businesses lobby for Gov t Gov t puts regulations and other forms of persuasion on businesses Government uses political influence on Public Public uses the political voting process and interest group contribution on Government and Public government Public and Business Business advertises and uses public relations on public Public using interests groups not buying products and protests on businesses o Opinion on Government versa About 50 of population would like to see more government control and vice 41 believe regulators and policy makers do not understand the economics of their industry 44 believe government blames business for society s problems 44 believe that it is difficult to determine the best way to work productively with government o Non Regulatory Vs Regulation Ways it impacts us o Non Regulatory Industrial Policy Every form of state intervention that affects industry as a distinct part of the economy Geothermal SKS marketing bets Refers to the process of changing a public organization to private control Privatization or ownership USPS Other non regulatory Government is Major self employer One of the largest purchasers of goods and services produced by the private sector Influence business behavior through subsidies is a variety of ways A major business competitor Loans and loan guarantees Taxation o Regulatory 2 Refers to the act of governing directing according to rule or bringing under the control of law or constituted authority Reasons for Regulation Market Failure Controlling natural monopolies Controlling negative externalities Achieving Social Goals Excess profits and excessive competition Types of regulation Economic Regulation Cost of Regulation Department of Commerce Federal Communications Commission Social Furtherance of societal objectives rather than on markets and economics Equal Employment Opportunity Commission Environmental Protection Agency Direct Costs growth patterns of the budgets of federal agencies responsible for regulation Indirect Costs forms reports and questionnaires that business mus complete to satisfy the requirements of the regulatory agencies Passed onto the consumer in form of higher prices Induced Costs innovation new investments in plant and equipment and small businesses may be affected Chapter12 Business Influence on Government o Lobbying Spending defeat of legislation o Types of Lobbying Umbrella Trade Associations The process of influencing public officials to promote or secure the passage or Represent the collective business or subsets interests of the United States Chamber of Commerce National Association of Manufactures Sectoral Trade Associations Composed of firms in a given industry or line of business i e National Automobile Dealers Association Company Lobbying Ad Hoc Coalitions Individual Company lobbying Companies join to address a particular issue for a period Grassroots Lobbying o Political Spending PACS Political Action Committee Super PACs 3 Political parties and political committees connected and non connected to candidates o 1st Amendment Where is lobbying codified that it is a real thing In the US people have a right to petition their government Lobbying came about through political figures sitting in hotel lobbies and people petitioning them Chapter 15 Sustainability o Penn State Triple L Learn Live Lead o Triple bottom line John Elkington Chair of Volans Founder Sustainability Professor Cranfield School of Mgmt People profit planet o Stewardship Model Vs Other 2 Models Stewardship Model The responsible management of resources o Kennametal Case Triple Bottom Line People Safety Better Productivity increases Moral Up Lower Cost Due to injuries Cleaner Profit Increase Productivity Cost Savings Customer Visits Moral Up Better employment interaction Public Relation Maintenance Cost Less Planet Decrease energy needed Less waste Decrease CO2 o Brutland and Commission Definition Development that meets the needs of the present without compromising the ability of future generations to meet their own needs o Big Issues 4 Population Providing Goods Services for 9 Billion People by 2043 Intensity of Resource Usage Developing populations desire more How can businesses assist in supplying greater utility with less resources Climate Change Agreements to address this impacts global business leaders directly through incentives regulation and public pressure o Other business drivers Innovation Energy Water Waste Gov t Regulation GHG s Public Interest Non Gov t Impact Operations o Population data we are growing o Five Earths o Tragedy of the commons Exercise