Business Law Harvard Case Solution & Analysis

Business Law Case Solution

Question 4

Obesity has caused different health and socio-environmental impact over the US economy. As stated in given material that the country spends billions over the obesity related direct and indirect costs. These costs are related to the financial costs as well as the job losses and burden over other people regarding financial costs bearing. Under theses circumstance, obesity is undoubtedly a public health problem and it demands the policy makers’ attention towards resolving the issues.

Due to the cost shifting, different obesity related costs are borne by the whole society and holding an individual for the complete cost is unfair, as obesity is mainly influenced by the metabolism, culture, environment and a few other factors which are not under the control of any specific individual. Almost 40%of the health care services are financed through the government, thereby increasing the society’s burden by incurring such costs. Moreover, obesity causes high mortality rate in the United States, which reduces the labor force and ability to bring innovation, ultimately affecting the businesses. Though obesity is a personal health problem, but its far reaching consequences have made it a wider public health care as well as a public policy issue, which needs to be resolved soon.

In order to curb this health related problem; the government must ensure the availability of healthier products by the companies, food chains and the restaurants. The parents must train their children in maintain a healthy diet. Children must be observed of their food purchasing and food intake behaviors in school in order to have a knowledge that whether the food they are consuming during the school breaks are healthy for them or not. Apart from this, the government must impose strict laws over the companies that manufacture candies and foods that are high in sugar, carbohydrates and other unhealthy ingredients like excessive usage of corn syrup, and the government should also stop the companies from false advertisement of products as healthy food products, such as: junk food and diet sodas etc.

Question 5

The financial crisis of 2008 was mainly caused by the low interest rate policy set by the federal reserves, federal institutions and rating agencies lowering their standards and regulations, trade imbalance and de-regularized tax lending standards. In order to provide more liquidity; banks started issuing securities backed by the real estate. The credit rating agencies did not enforce standards while rating such risky investments.

The banks and other financial institutions are kept under proper regulations in order to avoid bankruptcies, which tended to result in possible recession in the country. The government authorities did not focus on the types and proportion of debt issued, the focus was just on increasing the liquidity and on increasing more demand for mortgage backed securities. The short term compensation and gains were highly prioritized by the lending institutions and the government bodies, which led to a huge economic crisis in 2008.

The government should make regulations on the amount of debt issued and evacuations of securities, which are kept as underlying securities. The credit agencies should place high standards in rating the securities issued by the financial institutions. Limitations must be set over the debt issued by the financial institutions and the proportion of debt.

Question 6

The management at Hobby Lobby had claimed for not providing the drugs under the health insurance plan, which could terminate lives. Practicing religion is one’s personal and independent issues. Hobby Lobby did not impose any restriction on the contraceptive usage; the firm was just practicing its belief. The employees were allowed to get the contraceptives through other resources and the government could have made the availability of such drugs through other resources.

All of the requirements under the Affordable Care Act, were fulfilled by the company except the availability of the four life terminating drugs under the health insurance plan. The job of a company is not just to do business, as the businesses are run by the individuals who come  with different religious backgrounds and ethnicity, and practicing religion is someone’s basic right and it is a natural phenomenon of a person to reflect his belief in his company or in his work.

Allowing the private and profit firms to take exemption from certain practices is actually a good public policy, as it gives rise to positive environment for people with different religious backgrounds, as the individuals feel respected in terms of their religious freedom. Doing business does not give an authority to divert from the religious beliefs, as respecting others’ believes comes under the ethical and moral obligations of the government and the whole society.

Question 7

In order to maintain the country’s economic well-being and protecting it from different threats; the government has to collect data through daily activities of individuals, otherwise the government won’t be able to provide a safe and a secure environment to its residents. Information collection has become a dire need with the growing trends and shifting population.

From the perspective of a business leader; the organizations have to collect data before delivering a product into the market. It is because the customers prefer products, which satisfy their needs and wants, and in order to dig into the customers’ preferences; the organizations need to collect data about the customers’ lifestyles and product requirements.

In addition to this, the government has to provide data to the organizations so that the organizations could come up with solution, thereby helping the government in reducing any problem for instance government officials had to collect and provide data to different companies, in order to reduce severe poverty levels in Seattle.

From such practices, it is important for the businesses and the government officials to collect data and come up with devised solutions, aimed at solving the societal problems and maintaining safety levels. But from the customers’ perspectives; they believed their information is not protected as their everyday activity is being monitored and their personal life is not personal anymore. However, the information is collected for their safety, which is beyond the customers’ mindset as customers think about themselves only, while the governments and the organizations are performing their duties at a wider scope........................

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