Gulf Regional Legal Environment of Business2 Essay

Gulf Regional Legal Environment of Business2 - Essay Example Trusts normally lead to monopolization of the market and higher prices. Consumer safety laws are another category of commerce legislation. These laws ensure that products and services do not harm the consumers. Commercial laws also ensure environmental protection. This mainly has to do with the disposal of harmful wastes from industries. If companies are not regulated by laws they are likely to dispose off their wastes without consideration of the negative environmental effects. Laws ensure that such wastes are disposed off safely. In so doing they protect the environment from degradation. Commerce laws also ensure that the general welfare of the public is catered for. Law makers normally weigh the benefit that will be gained by individual businesses against the welfare of the general public and if they find that the welfare of the general public is compromised then they might outlaw such business activities or prosecute whoever engages in them. The business laws also regulate occupa tions. The laws specify the skills and qualifications for various positions. This ensures that people are recruited on merit and not whom they know. This reduces unethical hiring behaviour in the business environment. Business laws also promote diversity. This is necessitated by laws that bar discriminatory practices based on age, gender, race or ethnicity. Laws require that companies should employ deserving employees and not do so based on gender, age, race or ethnicity. There should also be no discrimination during promotions and layoffs. This promotes equity in the society. Business laws also ensure that businesses take care of the health and safety of their employees (Stone, 2004). Several governments have put down rules and regulations that firms must abide to in terms of health and safety of their workers. This ensures that employees are not at risk while at work. Laws also ensure that the companies give their statements to the public before selling their shares. This ensures that the public know the state of the companies in which they invest their money in. Laws normally protect businesses. There are laws that offer property rights to inventions of companies. These laws ensure that there is no unauthorized use of inventions of companies or individuals. This is done through patent rights, trademarks and copy rights. The laws normally also protect home industries or businesses from external competition. These are normally referred to as protectionist laws, which set conditions of operation for foreign companies or businesses. Such laws set tougher conditions for foreign businesses hence reducing their competitiveness in the local business environment. Laws need to be amended from time to time in order to suit the prevailing conditions. This enables laws to satisfy the economic and people needs. Laws may be amended to liberalize the economy of a country or protect it from foreign competition. Examples of amendments in Oman are the amendments in the Oman l abour laws in 2012. Initially, the Ministry of Manpower stipulated the percentage of Oman workers that each company should employ but with amendment to this law a fine was introduced for those companies that do not meet this percentage. The working days were also reduced from six days a week to five days a week hence reducing the maximum working hours a week from 48 hours a