Checking Your Knowledge

The Federal Trade Commission informed Tropicana
that it would have to stop advertising that one of the
benefits of “heart-healthy” Tropicana orange juice was
to lower blood pressure. For Tropicana, this situation
was a significant development in the:
A. economic environment.
B. social environment.
C. competitive environment.
D. internal company environment.
E. legal environment.

1 answer

The correct answer is E. legal environment.

The situation involves regulatory actions from the Federal Trade Commission regarding advertising claims, which falls under the legal aspects of business operations and marketing.