Costco Wholesale Corporation is an object for a variety of government regulations that are impacting the company’s business activities. As for a retail business, the recent increase of the regulation requires Costco Wholesale Corp. to follow them in order to avoid fines or restrictions. One of the recent laws, Trade Facilitation and Trade Enforcement Act signed in February 2016, puts a strict regulation on the import of goods in the U.S. that are produced with the help of the forced labor thus eliminating the hole in the old Tariff Act. Previously, it was possible to import such goods if domestic production was not able to fully cover the demand. Also, the act requires all the corporations to conduct annual reports that provide the information about the company’s efforts to address the human rights risks in their supply chain.
Another recent government act that regulates the corporations is the Clean Air Act, which was responsible for several rather large penalties and Costco Wholesale Corp. was no exception ("Costco Wholesale …show more content…
operations both in domestic and international markets. The company had to create a retail program focused on the food processing operations due to the requirements of the government guidelines ("Costco Wholesale: Food Safety from the Top Down", 2012).
Additionally, Costco Wholesale Corp. is one of the companies that possess a high number of warehouses. In 2015, the corporation was owning 686 warehouses worldwide and it is required to understand that government policies are also regulating this integral part of the supply chain ("Costco 's number of warehouses worldwide 2015", 2016). Occupational Safety and Health Administration’s guidelines are specifically created to address the possible hazards that might occur in the warehouses and all the companies have to follow them in order to avoid penalties (Worker Safety Series: Warehousing,
Another recent government act that regulates the corporations is the Clean Air Act, which was responsible for several rather large penalties and Costco Wholesale Corp. was no exception ("Costco Wholesale …show more content…
operations both in domestic and international markets. The company had to create a retail program focused on the food processing operations due to the requirements of the government guidelines ("Costco Wholesale: Food Safety from the Top Down", 2012).
Additionally, Costco Wholesale Corp. is one of the companies that possess a high number of warehouses. In 2015, the corporation was owning 686 warehouses worldwide and it is required to understand that government policies are also regulating this integral part of the supply chain ("Costco 's number of warehouses worldwide 2015", 2016). Occupational Safety and Health Administration’s guidelines are specifically created to address the possible hazards that might occur in the warehouses and all the companies have to follow them in order to avoid penalties (Worker Safety Series: Warehousing,