Stigmatized products: how conflicting laws can influence decisions to proceed

Abstract

Purpose

The purpose of this paper is to offers the authors’ perspective on a problem rarely considered by those making strategic decisions: conflicting laws at different levels of jurisdiction, specifically those related to stigmatized products.

Design/methodology/approach

The authors use as examples of product categories from marijuana to single-use plastic bags, describing the conflicting laws that add to costs for marketers and consumers.

Findings

The authors find that conflicting laws add to the uncertainty, legal expenses, and therefore, the cost of marketing a stigmatized product, whether stigmatized because of its impact on the environment, on health or on moral grounds.

Research limitations/implications

The examples are not exhaustive, but their implications are significant: that as state legislatures are preempting local bans, Congress may preempt state laws.

Originality/value

This paper adds one more complexity to decision-making in the area of products to offer and/or merger/acquisition decisions that may bring company products that face conflicting laws.

Citation

Geiger-Oneto, S., Gelb, B.D. and Simkins, T. (2021), "Stigmatized products: how conflicting laws can influence decisions to proceed", Journal of Business Strategy, Vol. 42 No. 1, pp. 41-49. https://doi.org/10.1108/JBS-10-2019-0191