33 75 Environmental Factors Performance of Samsung can be indirectly impacted

33 75 environmental factors performance of samsung

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33 7.5 Environmental Factors Performance of Samsung can be indirectly impacted by a set of ecological factors such as global warming, air pollution, thickening of ozone layer and others. Moreover, the impact of environmental factors on Samsung performance can be direct as well in cases of environmental disasters such as earthquakes, flooding, tornados etc. 32 Samsung Sustainability Report (2016) Samsung Electronics 33 Samsung Sustainability Report (2016) Samsung Electronics
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18 For example, in UK a “natural capital” stress test found that flooding in 2050 on a similar scale to the winter of 2013/14 would affect more than twice as many homes. 34 Such a natural disasters can have negative implications for Samsung via damaging company’s properties in UK and reducing customer purchasing power in this important market. Similarly, air pollution is a serious environmental factor that can affect Samsung via decreased employee performance. It has been estimated that air pollution is responsible for 656,900 sick days a year in Central London. Employee productivity across 190 Chinese cities would rise by about 4 per cent per year if the amount of fine-particle pollution in the air was cut to fall within World Health Organization standards. 35 Any corporation of a size of Samsung is expected by stakeholders in general, general public and non-governmental organization in particular to behave in a socially responsible manner and to illustrate commitment in dealing with a wide range of environmental issues. Neglecting this expectation may result in damage to the brand image via negative online and offline press coverage. Samsung addresses this issue according to its CSR policy that includes programs and initiatives related to social contributions, green management, health and safety and sharing the growth. 7.6 Legal Factors Samsung is directly impacted by a set of legal factors such as trade regulations anti-trust rules and regulations, data protection regulations and others. Additionally, there is a wide range of rules and regulations relating to employee health and safety, consumer protection laws, employment laws, and competitive rules and regulations that need to be adhered fully adhered by Samsung. Changes in these rules and regulations are most likely to impact Samsung performance in direct and indirect manner and in ways that are difficult to predict. Legislators and regulators may make legal and regulatory changes, or interpret and apply existing laws or policies, in ways that make Samsung products and services less useful to its users, require the company to incur substantial costs, expose it to unanticipated civil or criminal liability, or cause it to change its business practices. 34 Johnston, I. (2017) “ Extreme weather to cost UK billions and leave 2.5m homes at risk of flooding unless ministers take action, warns WWF” Independent, Available at: - change-global-warming-extreme-weather-flooding-homes-drought-uk-economy-a7964851.html 35 Phillips, R. (2017) “ Air pollution: The business
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