Sole Proprietors
A business managed or owned by a single person.
Business organizations owned by two or more people who agree on specific divisions of profits and responsibilities.
Partnerships
A legal entity owned by stockholders who all have limited liability.
Corporations
Type of business that is operated using a brand that has already been established for a fee.
Franchise
What is the current unemployment rate?
What is 3.8-3.9%
Give an example of a sole proprietorship.
Willow Brick Boutique.
Partners share equally in profits and responsibility.
General partnerships
What percentage of sales do corporations generate?
What is 90%
When businesses selling the same product combine to limit competition.
What is Horizontal Mergers
Put in place to make sure minorities and women have a fair chance in the workplace.
What is affirmative action.
An establishment formed to carry on a commercial enterprise.
One partner is liable for everything and the other just provides capital.
Limited Partnerships
Privately held corporations.
Nonprofits
List the stipulations for being unemployed.
1. Worked at least one hour for pay in the last week.
2. Worked for at least 15 hours for pay in a family business.
3. Held jobs but did not work due to illness, vacation, etc.
List the 3 disadvantages of a sole proprietorship.
1. Unlimited personal liability
2. Limited access to resources
3. Lack of permanence.
All partners are limited from personal liability in certain situations.
Limited Liability Partnerships
Corporations that are publicly traded (you can buy stock in them).
Public Corporations
What is Royalties
List the stipulations for being unemployed.
1. Temporarily laid off from their job.
2. They will be reporting to new jobs within 30 days.
3. Not working but have looked for a job in the last 4 weeks.
List the 5 advantages of a sole proprietorship.
1. Ease of start-up
2. Very few regulations
3. Sole receiver of profits.
4. Full control
5. Easy to discontinue
What percentage of all sales do partnerships generate?
What is 5%
Advantages:
1. Limited Liability
2. Transferable Ownership
3. Ability to attract capital
4. Long life
Disadvantages
1. Expense
2. Double taxation
3. Potential loss of control
4. More legal requirements
When businesses combine so they can control the production phases of their product.
Vertical Mergers
List the 4 labor skill levels.
1. Unskilled labor-Do not need special skills or training. (Hourly Wage)
2. Semi-skilled labor-Requires minimal specialized skills and education. (Hourly Wage)
3. Skilled labor-Requires specialized skill and training. (Hourly Wage)
4. Professional Labor-Demands advanced skills and education (Salary)