U.S.government policies impose strategic constraints on business organizations,such as the requirement that businesses with 50 or more full-time employees offer health insurance.Juan is the manager of a small factory with 75 employees.Juan sees these government regulations and laws as a detriment to his business and its profitability.What is Juan missing in his assessment of government regulations and laws and their impact on his business?
A)The law is changing every day and may increase the size of businesses required to provide health insurance.
B)The health insurance requirement is likely to increase labor costs.
C)The health insurance requirement can be used strategically when recruiting and retaining talent.
D)Giving more generous benefits lowers the cost of compensating employees.
E)Bribes and kickbacks are illegal practices in the United States.

Question

Quizplus · Accepted Answer

Juan is missing the potential strategic benefit of offering health insurance in being able to recruit and retain talent. By offering benefits, businesses can differentiate themselves from their competitors and attract higher quality employees. Additionally, there may be tax benefits for offering health insurance to employees.

USgovernment Policies Impose Strategic Constraints on Business Organizations,such as the Requirement