Business activity 2 Flashcards
Venture capitalists
Specialist investors who provide money for business purposes. Often to new businesses.
Limited companies
Business that have a separate legal identity from that of the owner.
Limited liability
Shareholders are legally responsible for the debts of the business depending on how many shares they own.
Chairperson
Someone who is in charge of a meeting or directs the work of a committee or organization
Certificate of incorporation
Document needed before a new company can start dong business.
Private limited company
A company with limited liability that does not sell shares publicly.
Stock market
A market for shares in public limited companies
Public limited companies
Companies that have limited liability that sell shares publicly
Prospectus
A document produced by a company that wants the public to buy its shares.
Regulatory control
Official power to control an activity and make sure it is done in a satisfactory way
Flotation
The process of a company going public
Multinational company
A large business that operates in 2 or more countries
Issue
The sale of new shares
Productivity
Rate at which good are produced in relation to time taken, work force and money used.
Public corporation
Business owned by the Government
Infrastructure
Basic systems and structures that a country/organization needs in order to work properly.
Natural monopoly
A market in which it is more efficient to have just one organization meeting the total demand
Subsidies
Paying part of costs
Privatization
Transfer of public sector organization to a private sector organization
Primary sector
Production involving the extraction of raw materials from the Earth.
Secondary sector
Production involving the covert ion of raw material to finished/semi finished goods.
Assembly plant
Factory where parts are put together to make a finished product.
Tertiary sector
Production of services in the economy
De industrialization
Decline on manufacturing
