Business Terms
An organization the provides goods or services to earn profits
Business
Economic system based on the premise that some businesses should be owned by the government
Socialism
Beliefs about what is right and wrong or good and bad in actions that affect others
Ethics
This type of business ownership has unlimited liability for the debts of the business
Sole Proprietor
Process by which the world economy is becoming a single interdependent system
Globalization
A businessperson who accepts both the risks and the opportunities involved in creating and operating a new business venture
Entrepreneur
The economic system in which individual producers and consumers control production and allocation by creating combinations of supply and demand
Market economy
Groups, individuals, and organizations that are directly affected by the practices of an organization and who therefore have a stake in its performance
Organizational Stakeholders
The process of seeking business opportunities under conditions of risk
Entrepreneurship
The European Market is an example of what?
A common market
The total amount of money a business takes in during a given period by selling goods and services
Revenue
The willingness and ability of buyers to purchase a product (a good or a service)
Demand
The overall way in which a business attempts to balance its commitments to relevant groups and individuals in its social environment
Social responsibility
This type of business has the highest percentage of total receipts, but makes up only 20% of business
Corporations
Rate at which the currency of one nation can be exchanged for the currency of another nation
Exchange Rate
Rate at which the currency of one nation can be exchanged for the currency of another nation
Exchange Rate
Market or industry in which there is only one producer that can therefore set the prices of its products
Monopoly
Insiders who report illegal or unethical behavior
Whistleblowers
An owner who invests money in the business but does not have any management responsibility or liability for losses beyond the investment
Limited Partner
The practice of protecting domestic business at the expense of free market competition; Critics say that this practice drives up prices by reducing competition
Trade Protectionism
Government efforts to keep the economy stable by increasing or decreasing taxes or government spending
Fiscal Policy
Refers to the total value of all goods and services produced within a given period by a national economy through domestic factors of production
Gross domestic product (GDP)
A systematic evaluation of an organization's progress toward implementing socially responsible and responsive programs
Social Audit
A business that is legally considered an entity separate from its owners and is liable for its own debts; owners liability extends to the limits of their investments
Corporation
The practice of selling a product abroad for less than the cost of production
Dumping