New Initiatives Company Initiative Analysis of New Essay

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New Initiatives

Company Initiative Analysis

Analysis of New Initiative by Office Depot

Office Depot is a company that was incorporated in 1986, and that year opened its first store in Fort Lauderdale, FL that year (Office Depot, 2012). The company has continued to expand during the past 26 years and continues that tradition by initiating plans to move even farther with its international business. According to one portion of the company website "In addition to doing business in 47 countries, Office Depot has over 1,500 retail locations across the globe. In the U.S., Office Depot has stores in 49 states with 34 Distribution Centers or Crossdock facilities scattered across the country" (Office Depot, 2012). However, this global acquisition and expansion is currently only in the early stages. The company has plans to expand its reach in the United States and abroad by partnering with similar firms in other parts of the world, via acquisitions of companies that make the Office Depot a more efficient company, and by making agreements with local entities across the globe. This paper examines the company, the associated administrative law, other applicable laws, and provides recommendations for the Office Depot going forward.

The Company

The Office Depot is meant to be a one stop shop for everything an individual could want for their office, small business or home business. The corporate headquarters are located in Boca Raton, FL where they have just moved into a new 650,000 square foot facility that was designed to control the immense operations that have become a part of the operation of its many stores and products. One of the main reasons for the impressive new facility was that Office Depot has plans to further expand its business both nationally and internationally. Although they have stores in 49 of the 50 United States, they are far from saturation. However, the focus for the initiative discussed for this paper is both the national and the international expansion and how that affects the company with regard to federal administrative and associated laws.

Administrative Law

The United States government is mad of three branches that control many aspect of the daily lives of the citizens in America and different aspects of the lives of those abroad who fall under the umbrella of the United States.

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However, sometimes there are issues that have to be handled more specifically and that is where administrative law comes in. Agencies such as the SEC, FDA, FAA and others make regulations for businesses that control how they conduct certain areas of that business and are binding (Bamberger, 2006).

There are two administrations within the United States government that would be most concerned with what Office Depot is going to do in the next five years with its expansion plans. The Internal Revenue Service is not just concerned with the revenue that a company makes in its domestic operations, but, since the company is headquartered in the U.S., the sales that it makes overseas as well. Of particular interest also, and something that has been much debated for about the last decade (Swartz, 2003) is how taxation will be affected by e-commerce (which will also be discussed in the next section). The other administration agent most concerned is the SEC and how the company will file earnings and dividends from its overseas operations.

Income, whether for an individual or a business, is taxed as if the business were all conducted on U.S. soil. But, there are some caveats to that. The United States recognizes that international businesses that are headquartered in the U.S. will be subject to taxation in most countries they operate in around the world. So, there are breaks that are given on corporate taxation for companies that conduct a large part of their business overseas. One of the main reasons that companies move manufacturing plants to different countries is because….....

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