Chapter 5 Business Introduction

The process of creating and managing a business to achieve desired objectives.

any independently owned and operated business that is not dominate in its competitive area and does not employ more than 500 people.

an independent agency of the federal government that offers managerial and financial assistance to small businesses

What are the four advantages of owning a small business, [blank_start]Independence[blank_end], [blank_start]flexibility[blank_end], [blank_start]focus[blank_end], [blank_start]reputation[blank_end].

What are the five disadvantages of owning a small business, [blank_start]high stress[blank_end], [blank_start]high failure[blank_end], [blank_start]undercapitalization[blank_end], [blank_start]managerial inexperience[blank_end], [blank_start]inability to cope with growth[blank_end].

A precise statement of the rationale for a business and step by step explanation of how it will achieve its goals

what is it called when the owner uses real personal assets rather than borrowing funds from outside sources to get started in a new business.

persons or organizations that agree to provide some funds for a new business in exchange for an ownership interest or stock

Women Are responsible for more than [blank_start]23 million[blank_end] American jobs They contribute almost $[blank_start]3 trillion[blank_end] to the national economy Women own more than [blank_start]8 million[blank_end] businesses nationwide

Minority-owned businesses have been growing faster than other classifiable firms Represents [blank_start]21.3[blank_end]% of all small businesses Number of minority-owned businesses is increasing at a rate of [blank_start]30[blank_end]%

a license to sell another's products or to use another's name in business, or both.

the company thats sells a franchise

the purchaser of a franchise

individuals in large firms who take responsibility foe the development of innovations within the organizations.