Ethics
Standards of moral behavior; that is, behavior accepted by society as right versus wrong.
Ethics
A business that is owned and usually managed by one person
Sole Proprietorship
A legal form of business with two or more owners
Partnership
A legal entity with authority to act and have liability separate from its owners.
Corporation
The right to use a specific business's name and sell its products or services in a given territory
Franchise
Insiders who report illegal or unethical behavior.
Whistleblowers
The responsibility of business owners for all of the debts of the business.
Unlimited liability
A partnership in which all owners share in operating the business and in assuming liability for the business's debts.
General Partnership
A unique government creation that looks like a corporation but is taxed like sole proprietorships and partnerships.
S corporation
The result of two firms forming one company
Merger
A business concern for the welfare of society.
Corporate Social Responsibility (CSR)
Accepting the risk of starting and running a business.
Entrepreneur
A partnership with one or more general partners and one or more limited partners.
Limited Partnership
A company similar to an S corporation but without the special eligibility requirements.
Limited Liability Company (LLC)
A company that develops a product concept and sells others the rights to make and sell the products.
Franchisor
Questions to Ask Yourself When Facing an Ethical Dilemma (Name 3 out of 5)
Is it legal? Is it balanced? How will it make me feel about myself?
Would I want my mom or grandmother to know? Would I want this on the front page of the CC Times?
Ease of starting and ending a business; being your own boss; pride of ownership; leaving a legacy; retention of company profit; no special taxes
Major benefits of Sole Proprietorship
An owner (partner) who has unlimited liability and is active in managing the firm.
General Partner
The joining of two companies involved in different stages of related businesses
Vertical Merger
One company's purchase of the property and obligations of another company.
Acquisition
36% of undergraduates and 24% of graduate students admit to taking information from online sources without citations.
Plagiarism
Unlimited liability; limited financial resources; management difficulties; overwhelming time commitment; few fringe benefits; limited growth, limited life span
Disadvantages of sole proprietorships
Unlimited liability; Division of profits; Disagreements among partners; Difficult to terminate
Disadvantages of Partnerships
The joining of firms in completely unrelated industries
Conglomerate Merger
A person who buys a franchise.
Franchisee