Government regulations began with railroad companies. Industry grew from people traveling and from shipping goods over distances. Blls were passed that affected business in many ways. Businesses resist new regulations and most times it causes problems. It may also be impacting american business and our association with foreign markets. It is mprotant that government does have some level of regulation with business in America.
There are reasons for governments to regulate economies. Medicine is a great example of the importance of regulations. Also food regulations are necessary in order for consumers to be safe.
Government sometimes fails. Sometimes the people in government may act in response to their own interest or work with their associates instead of focusing on the interests of the country as a whole. Follow this link for a blog about government regulations gone bad:
There are so many things that have had an impact on how companies handle government affairs. For example, companies rely on the Internet and because of the Internet, a crisis can reach many people before the company has a chance to prepare for it. It is very important for a company to manage their relationships with lawmakers and the government. Everything needs to be linked in order to be successful as a company.
Government relations are important to have in my opinion. At times these regulations can work for a company, and sometimes it works against them. I agree that medicine and food industries should be monitored heavily by the government.If the govenment does not regulate food and medicine industries, lives would be at stake. Regulations are made to protect the people first.
ReplyDeleteClothing companies,like Ralph Lauren for example have their products made in other countries because it's cheaper,but also because of government regulations that forbid them to violate human labor laws, Regulations works for the people of our nation.
This link discusses some regulations companies face.
http://agr.wa.gov/Marketing/SmallFarm/GovernmentRegulations.aspx
It is true that a government sometimes will fail. How about the big companies in the United States? The giants like AIG and GM cannot afford to fail and instead of letting them to go bankrupt, the government has supported them with taxpayers’ money. Do you think that they are actually the backbone of the U.S. government that will generate revenue for the government? Or it is merely a lobbying or “threatening” strategy that they can use against the government?
ReplyDeleteThat is such an interesting point, William. I really feel that the recent situations with the large companies getting bailed out by the government is a controversial story. One side of me says that it is gracious for the government to support of communities and companies, however the right thing to do would have been to let them fail. If they would have let them fail then they would have learned, and it would have made them stronger. Although being that they were bailed out it allowed them to get another chance and hopefully make a difference and learn from their mistakes. Is this really the way that it is suppose to be, or is this hurting our country?
ReplyDeleteI agree with you Bobby. I think the government gets involved way too much sometimes. The government not only gets involved with businesses, but also in peoples' personal lives. For example, there are people who truly need the government's assistance. Then these people are able to find a job and work hard, and then they start supporting themselves and their family. However, there are other people who will continue taking the government's money as long as they continue to give it to them. These people are lazy and do not even try to get a job. I think there needs to be more rules and regulations in place. People should have to supply copies of applications filled out or resumes handed in to different businesses, to show that they are actually trying to get a job. There comes a time when we need to do something to cut back on government spending.
ReplyDeleteNowadays, the border between huge companies and nations is now unclear and not only in the USA. If we refer to the examples provided by William, G.M. is worlwide known as an American company and was a pride of American nation, so letting them going to bankruptcy would probably have an impact on American economy and ability to be seen as the economic leader. I suppose the government could not leave so many multinationals falling.
ReplyDeleteOn the other hand, tax payers cannot understand why they should pay to save companies who failed...
It is a very dangerous decision and sometimes geopolitical is prevailing over national decisions.
However, the fact that many famous American banks are facing troubles is not a positive sign, but is reflecting how lobbying can be powerful. Banks are still quite unregulated, despite many abuses in the past... How long will it still be possible?
Big companies in Japan have been bailed out as well as in the U.S. In January, JAL (Japanese Airlines), the biggest airlines in Japan, went bankrupt and sought court protection. JAL group companies have total liabilities of $25 billion, and the government took on at least $3 billion in increased capital in JAL. There are arguments similar to U.S. concerning throwing the tax to save private enterprises. These problems are referred as “too big to fail”, and never simple to solve. Letting them going to bankruptcy will bring about a huge unemployment and other problems. However, I wonder if instead government spends such a large amount of money for reviving failing company, they can use the money for resolving the possible problem.
ReplyDeleteI believe that the governemnt has became more and more involved in business. Look at car companies for an example. They have been getting bail outs for the government and thus the government is in control of their business. The government is not able to make choices about how the company is ran and input regarding those running the company. Business has allowed the governemnt to take a bigger role in thier compaines just to keep them going. But what is the limit to how much involvement businees allow the government.
ReplyDeleteI believe that the governemnt has became more and more involved in business. Look at car companies for an example. They have been getting bail outs for the government and thus the government is in control of their business. The government is not able to make choices about how the company is ran and input regarding those running the company. Business has allowed the governemnt to take a bigger role in thier compaines just to keep them going. But what is the limit to how much involvement businees allow the government.
ReplyDeleteKayla
Government regulations play a important role in operation of any company also it affects profitability of the commpany. Regulations in the Financial Sector is a hot topic right now. Every option are bring considered to curb the operations, scope and size of the FI's(financial institutions) but i think more and more regulation would drive the major business out of country unless the regulations around the globe is same.
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