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Business LibreTexts

1.1: Why It Matters

  • Page ID
    11451
  • Why understand the application of law to business decisions?

    INTRODUCTION

    What YOU learn here in this course, will make or break YOUR future business!  The law not only influences every business decision, it affects the outcome of every business decision. Simply put, if you learn to better understand and apply the law to your future business decisions, you will make better (and more profitable) business decisions.

    Just imagine the possibilities–your very own business… “Bilbo’s Biking Adventures,” or “Gandalf’s Magical Castle Tours,” “Elrond’s Devilishly Good Wafers,” ”Sauron’s Red Hot BBQ,” etc. Imagine the success and the pride of accomplishment, the creative thrills , the profits, the $$$, and…POOF!

    WE NOW INTERRUPT THIS FLIGHT OF IMAGINATION TO ALSO INTRODUCE… “REALITY,” complete with the possibilities of problems and failure, difficult moral questions, unpleasant disputes, and even threatening lawsuits. To taste and sustain the fruits of success in business and to avoid the bitterness of failure you need more than a dream, creative abilities, and marketing skills—you need to know “The Law”.

    Specifically in this beginning of the course, you will be introduced to the basics of how and why the law is inseparably connected to the operation of a business in each of the learning outcomes.  Each of the basic and introductory learning outcomes should be considered as general and basic questions to be answered in the material ahead:

    • “Think like a lawyer does about the law?”—Just how does a lawyer actually do that? And for beginners like me, what basically is “the law” anyway?
    • What are the basic sources of law?
    • Are there theories of just where all of this law comes from?
    • What are the real sources of law for me, the ones I can look up?
    • Will I really learn how to read and understand all of the legal gobblygook?
    • Can I actually learn how the court applies the law to business disputes?
    • Is there more to guide business decisions than just the pursuit of profits?  What, if any, is the role of the law concerning ethical decisions?
    • Are there theories on making ethical decisions? If so, what are they about?
    • Are there models or helpful processes I can earn to help me in making ethical and moral decisions? If so, what are they?

    So… let’s get down to business!

    LEARNING OUTCOMES

    • Understand and describe how a lawyer looks at a business decision
    • Understand, explain and distinguish between different sources and types of law
    • Identify, explain and distinguish between different theories of law
    • Identify and explain the sources of law
    • Apply sources to develop potential solutions to the problem(s) or issue(s)
    • Identify, describe and distinguish between lawsuits and alternative dispute resolution methods
    • Consider and understand the need and value of ethics in business decisions.
    • Identify, understand and distinguish between alternative theories on ethics