Chapter 5 Business Organization Flashcards
One who has no explicit or implicit contract for long-term employment
Contingent Worker
Businesses involved in selling the goods and services of producers to consumers and other businesses.
Intermediaries
Carry out activities that are consumed by their customers.
Service Businesses
A business owned and run by just one person
Proprietorship
A business owned by 2 or more people who have entered into an agreement.
Partnership
A separate legal entity formed by documents filed with a state, owned by one or more shareholders.
Corporation
A written agreement among all owners, detailing the rules and procedures that guide ownership and operation.
Partnership Agreement
A written legal document that defines ownership and operating procedures and conditions for the business.
Articles of Incorporation
A written contract granting permission to operate a business to sell products and services in a set way.
Franchise
A short, specific written statement of the reason a business exists and what it wants to achieve.
Mission Statement
A precise statement of results the business expects to achieve.
Goal
Guidelines used in making consistent decisions.
Policies
Descriptions of the way work is to be done.
Procedures
The obligation to complete specific work.
Responsibility
The right to make decisions about how responsibilities should be accomplished.
Authority
