Management Functions
Setting standards for work and evaluating performance
Controlling
The three main types of business organizations
Sole Proprietorship, Partnership, Corporation
A person or group of people given the right to market a good or service using the trade name of another business
Franchisee
The process or functions of planning, organizing, leading and controlling
Management
An economic system in which economic decisions are made in the marketplace
Market Economy
Organizing
One advantage of Sole Proprietorship
Two advantages of starting a franchise
Independence, established good or service, brand name recognition, customer base, proven product/service, quality, support, higher chance of survival
A chart that shows how a firm is structured and who is in charge of whom
Organizational Chart
The point at which the quantity demanded and the quantity supplied meet
Equilibrium Price
Setting objectives and making long/short term plans
Planning
One disadvantage of Corporations
Double tax, Government regulation, Difficult and costly to start
The name of the contract a person signs with the Franchisor
Purchase Agreement
When the owner is responsible for the company's debts
Unlimited Liability
The money left over after a business has paid the cost of providing its good and services
Profit
Influencing, guiding and directing people
Leading
A business owned by two or more people who share its risks and rewards
Partnership
True or False. The franchisor is obligated to pay the fees for the right to use the brand name
False
A company that is registered by a state and operates apart from its owners
Corporation
A person that uses goods and services
Consumer
Planning, Organizing, Controlling, Leading
One alternative ways to organize a business
Cooperative, Nonprofit, Franchise, LLC
True or False. If you buy a franchise, you can sell your own products/services at this location.
False
An organization that is owned and operated by its members
Cooperative
Tasks that businesses perform for consumers
Services