On the other hand, consumer law in itself makes a business for some private watchdog companies. In other words, securities law regulates investments in a business. Securities law manages what a company should do in order to offer their investment to the public. HOW DO … As you can see, this law also can affect your business. Minimum wage laws can limit the various different employment possibilities a company can offer, child labour laws can affect the way tight-knit home businesses in third world countries operate, and dismissal laws can make firing employees (for whatever reason, perhaps unproductivity) that bit harder. These laws are designed to regulate legal relationships between consumers and businesses, and protect consumers from fraudulent behavior. anti discrimination laws (race, religion, sex, age, harassment, etc.). age restrictions for buying particular goods. The legal factors consist of organizational law, employment law, consumers law, advertisement law, product and service standard law,banking law, Anti-trust law and intellectual properties law. Legal factors connected to tax and customs regulations, Laws and regulations connected to employees protection, Legal factors involving consumer protection legislations, Social and cultural factors affecting business, To steal or not to steal: Firm attributes, legal environment, and valuation, https://ceopedia.org/index.php?title=Legal_factors_affecting_business&oldid=57615. Our website is made possible by displaying online advertisements to our visitors. Product transportation, profit margins, and viability of certain markets are all examples of things which may be influenced by legal factors. Having freelanced for years, Thomas has appeared on various online publications numerous times, but recently set up his own website 'TalkSupplement' about the world of sports nutrition. Security is a financial instrument designed to raise money for business from investors. You can find the complete PESTLE analysis of Anthropologie, PESTLE Analysis: Business Environmental Analysis, Belgium SWOT Analysis: 6 Strengths and Weaknesses, COVID-19 SWOT Analysis: The Complete Picture, Using Big Data to Optimize Routing for Trucking-Based …, Puma PESTLE Analysis: 10 Important Factors for the …. Please consider supporting us by disabling your ad blocker. Wyoming, for example, has no corporate or individual income tax. perpetual ‘discounting’). Perhaps one of the most fundamental legal factors affecting businesses is the organizational law. General examples of Legal Factors affecting business include: — consumer law (alternatively known as consumer protection) is designed to protect consumers from fraudulent companies or practices, and preserve their rights in the marketplace.