Chapter 1 Flashcards
Partnership
owned by 2 or more (20) owners
private limited company
incorporated structure with at least one director and a max of 50 shareholders.
public listed company
unlimited number of shareholders and sells its shares to ASX – Australian Securities Exchange.
Social enterprise
aims to fulfill a community or environmental need by selling goods and services
Government business enterprise
business owned and operated by the government – fulfills a specific purpose outlined by the government.
What are the business objectives?
make a profit, increase market share, meet shareholders expectations, fulfill a market need, fulfill a social need, improve efficiency, improve effectiveness
What are the stakeholders?
General community, Suppliers, Customers, Managers. Employees, Owners and shareholders
Business Styles
Autocratic, Persuasivce, Consultative, Participative, Laissez-Faire
Autocratic
A manager making decisions and directing employees without their input
Persuasive
A manager making decisions and communicating reasons for those decisions to employees without their input
Consultative
A manager seeking input from employees on business decisions but making the final decisions themselves
Participative
Manager sharing information with employees so those employees can participate in the decision making process
Laissez-Faire
A manager communicating business objectives and vision to employees and gives them freedom to make decisions independently.
Stakeholders
individuals, groups or organisations that have an interest in the performance and achievement of a business
Corporate Social Responsibility
Continuous commitment for a business to operate in an economically, socially and environmentally sustainable way (while balancing interests of stakeholders).
Owners
individuals who establish, invest and have a shared interest of a business. Goal of earning profits from it’s operations
Managers
individuals who oversee and coordinate a business’s employees and leads operations to achieve business objectives
Employees
individuals who are hired by a business to complete work tasks in exchange for money.
Customers
individuals or groups who interact with a business by purchasing and using it’s goods and services
Suppliers
individuals or groups who supply materials and other resources to businesses so they can conduct operations.
General community
individuals and groups who are impacted by a business’s operations and decisions, often because they are located in close proximity to the business.
What are the management skills?
Communicating, Delegating, Planning, Leading, Decision Making, Interpersonal
Communicating
creating and exchanging info between people ensuring that it produces the needed response
delegating
passing authority down the hierarchy to perform tasks or make decisions – responsibility remains with person doing delegation
