Legal responsibilities is another one social commitment for strategic managers .
Legal responsibilities reflect the firm’s obligations to comply with the laws that regulate business activities. The consumer and environmental movements focused increased public attention on the need for social responsibility in business by lobbying for laws that govern business in the areas of pollution control and consumer safety. The intent of consumer legislation has been to correct the “balance of power” between buyers and sellers in the marketplace.
Legal responsibilities: The firm’s obligations to comply with the laws that regulate business activities.
More from this Section
- Situational leadership theory
Paul Hersey and Ken Blanchard developed a leadership theory that has gained a strong following among management development
- Directional plans
Directional plans are flexible plans that set out general guidelines. They provide focus but don’t lock managers into specific goals or courses of action.
Divestiture means the sale or removal of a business/firm or a major component . It refers to spinning off a financially and managerially independent company or selling it outright.
- Strategic positioning
The way a business is designed and positioned to serve target markets.
- Work specialization
Work specialization, is dividing work activities into separate job tasks. Individual employees specialize in doing part of an activity rather than
- The External Environment
The factors beyond the control of the firm that influence its choice of direction and action, organizational structure, and internal process.
- Changed agent
Organizational changes often need someone to act as a catalyst and assume the responsibility for managing the change process-that is, a