IntroductionThere is a complex legal issue that has the attention of senior management at Alumina Company. How this issue is handled will affect how the company conducts its business and its standing in the community. The purpose of the next paragraphs will be to describe the company and its stakeholders, determine the company's values, establish the current situation, analyze the risk factors in possible solutions and present the best solution to follow for Alumina. The Company/Stakeholders/ValuesCompany InformationAlumina is a four billion dollar company based in the United States of America; it has operations in eight countries and seventy percent of its business takes place in the United States. Business interests include automobile parts, bauxite mining and aluminum smelting. Stakeholders1- Chairman Roger Lloyd – iron willed, hot-tempered, his word is law2- COO Chris Blake – calculating, brilliant personality, can be sharp, can convince people he is right3 - PR Manager Diane Richards – handles all tough PR assignments, enjoys high favor with the board to handle overseas PR issues with angry investors, not afraid to use his abilities to his advantage.4- Legal advisor Arthur Todd – handles regulatory matters and litigation. in hazardous waste and environmental regulation, clean water issues, river dredging, wetland filling, etc. “Over the past 25 years, the federal government has enacted a series of laws regulating the impact of private enterprise on the environment. More and more companies are hiring environmental managers to manage environmental compliance issues. (Reed, et al, 2005, p512)5- Kelly Bates – A local resident who files an environmental lawsuit against Alumina, possibly destroying the good environment...... middle of paper...... to look beyond the facts about whether or not Alumina releases chemicals above legal limits. Among the issues are the public relations Alumina wishes to have with the community, the possible disclosure of company information that could harm Alumina in the aluminum business, and Alumina's desire to operate ethically. After considering the risks associated with the options presented to them, Alumina's decision to resolve their disputes with Kelly using the services of an alternative dispute resolution system appears to be the best response to the problem at hand. References: Reed , O., Shedd, P., Morehead, J. and Corely, R. (2005). The legal and regulatory environment for businesses. New York: The McGraw-Hill Companies. Scenario 1, legal environment for businesses (2008). Business regulation. Retrieved May 15, 2008 from University of Phoenix: rEsource.