Governments both parties at hand. The government

Governments implement
policies to ensure there is stable economic growth, lower inflation rates all
the while seeking to improve the low unemployment rates, however, these
factors can determine the extent to which a government may influence the
economy or a certain industry (Brooks, Weatherston and Wilkinson, 2011). Organisations are required by law to comply with
the laws and regulations applied by countries, whereby multinational
corporations (MNC) must also ensure they act in accordance with the laws and
regulations of the countries hosting their operations. 

The government monitors and dictates regulations that
businesses must comply with no matter whether they operate on a macroeconomic
or microeconomic scale; these regulations are there to protect both parties at
hand. The government created a Food Standards Agency (FSA) division in the UK,
in which they oversee and are responsible for protecting the public in relation
to food in England, Wales and Northern Iceland (, 2018). They inspect various aspects of the hospitality industry and ensure everything
is safe for consumer digestion, in which FSA produced a traffic lighting
system, which highlights fats, saturated fats, sugar content, salt, as well, as
other elements, such as chemicals agents used in certain products.
Consequently, businesses must now label everything accordingly, to ensure
consumers are aware as to what they may consume. Additionally, a proposition
had been brought forward to cut down the consumption of fast food within the
UK, so an implied review of food prices and 20% added tax on such unhealthy
foods had been proposed to combat obesity and other diet-related diseases (Collins,
2012). This
therefore can create organisational pressures like a change on product
portfolio to satisfy government regulations, or maybe an increase in business
cost to meet taxation needs. Thus, it is imperative for
Tim Hortons (TH) to know and comply with these regulations, as they have only
just decided to expand into the UK. Although the effect of these factors may be
uncertain as TH offer a healthy product portfolio compared to
competitors, offering products like sandwiches, salads, and fresh produces etc.
(, 2018). Moreover, TH may well
be unaffected by the change in regulation and not face the costs like taxes on
unhealthy products.

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