Business
1. The business sector is where production takes place in the economy. The individual agents making up the business sector are called firms. These are the organizations within which entrepreneurship brings together land, labor and capital for the production of goods or services. Economies, in which firms are generally owned by private individuals, rather than by governments, are called capitalist or private enterprise economies. These include almost all the countries in the world today.
2. A firm may be as small as one individual. A large firm is typically a corporation which is a legal entity in itself, having many of the same rights and privileges under law as does a person. The corporation purchases factors of production and receives payment from buyers of its output. The difference between its sales revenue and its costs of production is its profit or earnings. A corporation purchases capital goods, plant and equipment. The owners of a corporation are called shareholders. A large firm typically has many shareholders, some of which are other firms. Firms which primarily invest in other firms are called financial intermediaries. Shareholders play no direct role in the running of the firm, rather they are represented by a board of directors who are elected by shareholders. Shareholders are not liable, in general, for the debts of the corporation.
3. The corporation managers may not even be shareholders. These managers are appointed by the directors as officers of the corporation who are then legally empowered to conduct its business. A primary responsibility of the directors of a corporation is the hiring and oversight of the officers.
Answer the questions:
1. Where does entrepreneurship bring together land, labor and capital?
2. What does a corporation purchase?
3. Do shareholders play a direct role in the running of the firm?
1. The business sector is where production takes place in the economy. The individual agents making up the business sector are called firms. These are the organizations within which entrepreneurship brings together land, labor and capital for the production of goods or services. Economies, in which firms are generally owned by private individuals, rather than by governments, are called capitalist or private enterprise economies. These include almost all the countries in the world today.
2. A firm may be as small as one individual. A large firm is typically a corporation which is a legal entity in itself, having many of the same rights and privileges under law as does a person. The corporation purchases factors of production and receives payment from buyers of its output. The difference between its sales revenue and its costs of production is its profit or earnings. A corporation purchases capital goods, plant and equipment. The owners of a corporation are called shareholders. A large firm typically has many shareholders, some of which are other firms. Firms which primarily invest in other firms are called financial intermediaries. Shareholders play no direct role in the running of the firm, rather they are represented by a board of directors who are elected by shareholders. Shareholders are not liable, in general, for the debts of the corporation.
3. The corporation managers may not even be shareholders. These managers are appointed by the directors as officers of the corporation who are then legally empowered to conduct its business. A primary responsibility of the directors of a corporation is the hiring and oversight of the officers.
Answer the questions:
1. Where does entrepreneurship bring together land, labor and capital?
2. What does a corporation purchase?
3. Do shareholders play a direct role in the running of the firm?
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Answers & Comments
Бизнес
1. Бизнес-сектор-это место производства в экономике. Отдельные агенты, составляющие бизнес-сектор, называются фирмами. Это организации, в рамках которых предпринимательство объединяет землю, труд и капитал для производства товаров или услуг. Экономики, в которых фирмы, как правило, принадлежат частным лицам, а не правительствам, называются капиталистическими или частными предприятиями. К ним сегодня относятся практически все страны мира. 2. Фирма может быть маленькой, как один человек. Крупная фирма, как правило, является корпорацией, которая сама по себе является юридическим лицом, обладающим многими такими же правами и привилегиями по закону, как и лицо. Корпорация закупает факторы производства и получает оплату от покупателей своей продукции. Разница между выручкой от продаж и издержки производства прибыль или заработок. Корпорация закупает капитальные товары, заводы и оборудование. Владельцы корпорации называютсяакционерами. Большая фирма, как правило, имеет много акционеров, некоторые из которых являются другими фирмами. Фирмы, которые в первую очередь инвестируют в другие фирмы, называются финансовыми посредниками. Акционеры не играют прямой роли в управлении фирмой, они представлены Советом директоров, которые избираются акционерами. Акционеры не несут ответственности, как правило, за долги корпорации.
3. Руководители корпорации могут даже не быть акционерами. Эти менеджеры назначаются директорами в качестве должностных лиц корпорации, которые затем юридически уполномочены вести свою деятельность. Основная ответственность директоров корпорации заключается в найме сотрудников и надзоре за ними.
Отвечать на вопросы:
1. Где предпринимательство объединяет землю, труд и капитал?
2. Что делает покупка корпорации?
3. Акционеры играют непосредственную роль в управлении фирмой?