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Social and Governmental Environmental of Business

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Government and business society have interdependent relationship among each other. Government set rules of business and business society develop its norms. Therefore, it is responsibility of each business unit and business individual to follow the rules and the norms of business. He, who neglect the standard regulations of quality control must be considered the culprit and have to dealt according to the law and rules of business.                      

Who, if anyone, can Erica sue? Why? What result?

Case study given in this paper makes Colors Inc the guilty party. Reason is they not only produced lw quality but also a harmful product. Therefore, Erica must sue the company or CEO of company, because they not only cheated her but also harm her. In legal proceedings, Erica will obviously win. Because, Colors Inc’s product Inecto Rapid is completely a low quality and harmful product which affected her hairs and created red blotches at the nape of her neck.

Is there any legal responsibility on the part of Mr. Eddy, or any one else, as a result of Erica's experience?      

Mr. Eddy does not have any legal responsibility as he was also using the product first time. As he told to Ms. Erica that the product is new in market. At the same time, the decision of use of the producct was taken by Ms. Erica. And, Mr. Eddy used the product according to the directions printed on the product cover.

You are the CEO of Colors, Inc, the maker of Inecto Rapid and learn of Erica's experience with your product. What, if anything do you do?

As CEO of Colors, Inc. It is my social responsibility to look into the Erica’s case and rescue her to give her relief. At the same time, legally CEO is responsible personnel for all misdeeds and illegal business activities. Therefore, I should put myself before the court and should acknowledge the business blunder. However, at the same time, it is also my responsibility to track the mismanagement or loopholes in product production. 

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