Political, Social and Legal Factors That Affect Mcdonalds Fast Food Outlet (Uk) and Haveli Restaurant (India)

1724 Words Jun 10th, 2012 7 Pages
You would hope that businesses all over the world would work to the best of their ability in order to be the best. However, this is not always the case as there are many differences when it comes to businesses that are based in different countries. The way that a UK McDonalds functions is very different to the way Haveli in India does, due to the political, social and legal factors that cause them do so.
Political Factors
The Government in the UK is relatively stable. We currently have a coalition government as none of the political parties got enough votes to win the majority. Therefore, both of the parties’ manifestos are co-joined so there is a lot more UK businesses need to prepare for. Political decisions can affect businesses
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Employment rights include: * Working time directive e.g. a minimum rest period of 11 hours in every 24 hours and a break every 6 hours * Minimum wage which is monitored by the Low Pay Commission * Equal pay directive * Everyone to be treated the same with stops people discriminated for their religion and sexual orientation * EU race directive which include everyone to be treated the same regardless of age
McDonalds has to follow these guidelines in order for their business to be respected and on the right side of the law. The business could be closed down if they did not follow these laws. The success of their business would be in jeopardy if they did not follow these procedures. Haveli also have to follow similar procedures as they do have a Contract law in place. They understand that the quality and care of their business affects the customers they attract. Haveli knows that they need to have customer service in place so people return to their restaurants. However if they did not follow the law, they would not suffer with any hug repercussions as it is not important to anyone in India. Many small businesses do not keep records for their staff and the staff work ridiculous hours for small amounts of money.
Social Factors
The way the environment is around a business can hugely impact on how the business does and what the business sells. In the UK equality between males and females has developed hugely. 50%

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