Pros and Cons
An advantage of a sole proprietorship is that the owner keeps all the
What are profits?
This term means legal responsibility for paying money.
What is liability?
Public companies sell shares on the ________.
What is the stock market?
A corporation operating in more than one country is called a ________.
What is a multinational corporation?
In a franchise, the person who buys the right to operate is called the ________.
What is the franchisee?
A disadvantage of a partnership is that profits must be
What is shared?
In this legal responsibility type, only the amount invested can be lost.
What is limited liability?
Private companies usually have a smaller number of ________.
What are shareholders?
One reason multinational corporations expand is to find new ________.
What are markets?
The established brand owner in a franchise system is called the ________.
What is the franchisor?
An advantage of a corporation is easier access to raising
What is capital (money)?
This legal responsibility type may result in losing personal assets like a house or car.
What is unlimited liability?
Public companies are legally required to disclose ________.
What are financial reports?
Companies may expand globally to reduce ________ costs like labour and transportation.
What are operating or production costs?
This type of organization is run for the benefit of members or the community, not owners.
What is a not-for-profit?
A disadvantage of corporations is double
What is taxation?
This type of business ownership typically has unlimited liability and only one owner.
What is a sole proprietorship?
Private companies raise money through ________ investors
What are private investors?
A company that operates in another country under a parent company is called a ________.
What is a subsidiary (or branch)?
Unlike for-profit businesses, not-for-profits do not generate profit for these individuals.
What are Owners?
An advantage of partnerships is combining different ________ and ideas.
What are skills?
In this structure, shareholders are generally protected by limited responsibility.
What is a corporation?
Less than 1% of companies in the U.S. are this type.
What are public companies?
Multinational corporations may adapt to local ________ and markets.
What is culture?
Not-for-profits are self-governing and committed to a common ________.
What is cause (or mission)?