Key terms

Question 1

A business enterprise that conducts business in several different countries. These corporations act as if there are no borders, so the global marketplace becomes their place of business

Answer 1

Multinational corporation:

Question 2

the relocation of some of a company’s operations to another country

Answer 2

Offshoring

Question 3

occurs when two or more companies join together either because one has purchased a controlling interest in the others or because the companies have combined their interests

Answer 3

Merger

Question 4

agreements between businesses in which each business commits resources to achieve a common set of objectives

Answer 4

Strategic alliances

Question 5

a combination of two or more parties that seek the development of a single enterprise or project for profit, sharing the risks associated with its development

Answer 5

Joint Ventures

Question 6

the amount of money you will gain from the sale of the product or service

Answer 6

Revenue

Question 7

Determining what resources you require and how much financing you will need to acquire material to run a business, like Cash, inventory, supplies, furniture, computer hardware and software, etc…’

Answer 7

Forecasting

Question 8

using your savings or investor savings to run your business

Answer 8

Equity Financing:

Question 9

borrowing money to run your business

Answer 9

Debt Financing:

Question 10

the total dollar value of all goods and services produced in a country during one year. It measures how a country’s economy is doing

Answer 10

Gross Domestic Product (GDP):

Question 11

represents the number of people who visit the website

Answer 11

Website hits:

Question 12

A hypertext document on the World Wide Web. Web pages are necessary to advertise the goods or services that are for sale

Answer 12

Web pages:

Question 13

controlled by or connected to another computer or to a network

Answer 13

Online

Question 14

The part of a network address that identifies it as belonging to a particular domain ( “A catchy and simple Internet address). This Internet address lets potential customers connect with the business online

Answer 14

Domain Name:

Question 15

A set of web pages located under a single domain name, typically produced by a single person or organization

Answer 15

Website

Question 16

small office/ home office

Answer 16

SOHO

Question 17

The buying and selling of goods and services, or the transmitting of funds or data over the Internet.

Answer 17

E-commerce

Question 18

Buys a license to operate a ready-made business and is often provided with a fully operational facility.

Answer 18

Franchisee

Question 19

licenses the rights to its name, operating procedure, designs, and business expertise to another business, the franchisee

Answer 19

Franchiser

Question 20

a business owned by the workers or by members who buy the products or use the services that the business provides

Answer 20

Co-operative:

Question 21

A city town or village that has been incorporated by a state and is authorized to administer local, governmental affairs (ex. Establish a police department)

Answer 21

Municipal corporation:

Question 22

A business operated by the provincial or federal government (ex.CBC, Via Rail, Canada Post)

Answer 22

Crown corporation:

Question 23

A corporation that raises money by making shares available to thousands of people through selling shares on the stock exchange

Answer 23

Public corporation:

Question 24

Only a few people control all the shares or stock and therefore, the business. Shares in the company are not listed for sale on a stock exchange, a trading market where shares are bought and sold

Answer 24

Private corporation:

Question 25

A sum of money paid regularly by a company to its shareholders out of its profits

Answer 25

Dividend

Question 26

A governing body of a company elected by shareholders in the case of public companies to set strategy and oversee the management

Answer 26

Board of directors:

Question 27

Individuals who become owners of a publicly owned company

Answer 27

Shareholders

Question 28

A part or portion of a larger amount that is divided among a number of people, or to which a number of people contribute

Answer 28

Shares or stocks

Question 29

A business that has been granted legal status with rights, privileges, and liabilities that are distinct from those of the people who work for the business

Answer 29

Corporation

Question 30

Partners are only responsible for paying back the amount that they invested in the partnership

Answer 30

Limited Liability

Question 31

partners have limited liability for their firm’s debts

Answer 31

Limited partnership

Question 32

All partners have unlimited liability for their firm’s debts.

Answer 32

General Partnership

Question 33

A document used to dictate the terms of a business partnership between two or more partners

Answer 33

Partnership agreement

Question 34

a business that’s usually operated by two or more individuals who want to share the costs and responsibilities of running a business

Answer 34

Partnership

Question 35

If the business does well the owner enjoys all its profits, If the business does poorly, the owner is responsible for all the losses

Answer 35

Unlimited liability:

Question 36

a business owned by one person generally referred to as a proprietor

Answer 36

Sole proprietorship