Q1 Answer
Various government pressures exist in r Darden Restaurants Inc. business operations. The government exerts this pressure to protect its citizens as well as promoting best business practices within this industry. Food safety is one pressure exerted by the government on the operation of restaurant business. It is worth noting that this business deals with the provision of food, drinks and entertainment to the customers hence safety is highly required. This pressure impels the restaurant to offer its customers foods that are free contamination and negative health impacts. It also requires the business to provide information to the customer regarding the ingredients, sugar content and expire among many others. The health regulations require the owners of such businesses always to keep their premises hygienic to foster safety of their products.
Additionally, environmental protection is another key pressure that the USA government exposes to the restaurant business. Such a pressure impels such a business to focus on promoting the safe and clean environment. The environmental provisions govern the operations of the business with more focus on ensuring proper waste disposal. It also compels the restaurant business to reduce carbon and nitrogen emissions through their production units and vehicles to promote a clean environment for the community where they have businesses. Compliance with the environmental provisions is one of the most important factors that promote social responsibility.
Harker (n.p) reveals that tax is another major pressure that the USA government imposes on the restaurant business. The tax regulations require the businesses to file returns providing their accurate income for the financial year to assist the government in charging the respective tax as per the provisions. This is to mean that business needs to provide true and correct figures to foster efficiency in the tax system. Failure to offer the true and the correct view of the business proceedings attracts fines and penalties to the restaurant businesses.
Finally, child labor and child food advertisement are other pressures that the USA government imposes on the restaurant business. According to Harker (n.p), the child labor provisions require restaurant, not to the employee or use children for their labor in the premises. On the other hand, the child food advertisement is a provision prohibiting such business from using children to advertise their foods and beverages. The government compels the businesses to follow strictly the provisions to avoid fines and penalties that affect their profitability negatively.
Q2 Answer
Darden Restaurants, Inc. is in the maturity stage of the industry life cycle. This is because the industry has developed and grown to a level where no more growth can be experienced. In fact, it is in the situation of average growth. Although the world business is changing compelling industries to grow and develop, such changes do not have many effects on the growth and development of restaurant and beverage industry. They have very little influence on the growth and development implying that the industry has already grown to that level where its growth is less affected by the changing business environments.
However, under in this stage, the industry has significant returns and competition making it attractive. It is a stage whereby the industry will take a longer time before extending to the last cycle. The changing business environment plays a great role in making the industry competitive by enhancing innovativeness and competitiveness of the industry. As a result, it prevents the industry from moving to the last stage of the life cycle that is characterized by a decline in growth and development.
Works Cited
Harker, Naomi. “Restaurant Regulations: The Government Can Help.” Allbusiness., n.d. Web. https://www.allbusiness.com/restaurant-regulations-the-government-can-help-11263205- 1.html
