Business Regulation Simulation

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Business Regulation Simulation
Alumnia Inc. is a $4 billion dollar company that operates in eight countries around the world with 70% of its sales in the United States. They are located by Lake Dira in the state of Erehwon. Alumnia Inc. business interests are in automotive components and manufacture “packaging materials, bauxite mining, alumina refining and aluminum smelting. Alumuna falls under jurisdiction of region 6” of the Environmental Protection Agency (EPA) (University of Phoenix, 2002). The company was cited by the EPA 5 years ago for a Polycyclic Aromatic Hydrocarbon (PAH) discharge in nearby Lake Dira. Five years later, Kelly Bates accused Alumina Inc. of contaminating the waters of Lake Dira with PAHs thus causing her 10 year old daughter’s leukemia. “Bates also alleges that her daughter’s disease may be as old as Alumina’s first instance of environmental law violation” (University of Phoenix, 2002). These allegations were reviewed by Alumina’s legal counsel and handled to keep the company from further litigation that would only serve to tarnish the company’s reputation.
This paper will illustrate key facts, regulations and legal issues in the Business Regulation Simulation. It will address the values, conflicts among the stakeholders and ethical dilemmas with the multibillion dollar company. A legal counsel’s summary of basic issues and the action handling the environmental regulatory topic will be explored. Based on table 1, a risk analysis and alternative solutions will be examined. Lastly, this paper will be addressing ethical dilemmas identified and the alignment to Alumina’s values.
Key facts, Regulations and Legal Issues
Five years ago, Alumina was in violation of the Clean Water Act, 1972, by unlawfully discharging PAHs into Lake Dira in the state of Erehwon. “The Department of Health and Human Services (DHHS) has determined that…...

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