Topic 1.2 Types of Organisations

Question 1

Continuity

Answer 1

Continue to operate through change of owners due to being an incorporated business

Question 2

Bureaucracy

Answer 2

Regulations

Question 3

Charities

Answer 3

Non-profit social enterprises that provide voluntary support for good causes

Question 4

Cooperatives

Answer 4

For-profit social enterprises set up, owned and run by their members

Question 5

Corporations

Answer 5

For-profit organisations owned by shareholders

Question 6

Deed of Partnership

Answer 6

Legal contract between partners in a partnership

Question 7

Flotation

Answer 7

When businesses first sell all/part of its business to shareholders

Question 8

For profit (commercial) organisations

Answer 8

Organisations that have making a profit as a goal

Question 9

For profit social enterprises

Answer 9

Profit generating businesses with primarily social objectives

Question 10

Free market economies

Answer 10

Economic system where the market largely determines what goods and services are produced

Question 11

Incorporation

Answer 11

A legal difference between the owners of a company and the business itself

Question 12

Initial Public Offering

Answer 12

The process of a business sells all or part of its business to shareholders on a stock exchange for the first time

Question 13

Joint-stock companies

Answer 13

When stocks of a business are held together by multiple titles (Corporations/Companies)

Question 14

Limited liability

Answer 14

A restriction on the amount of money that owners can lose if their business goes bankrupt

Question 15

Microfinance Providers

Answer 15

Financial service (for-profit social enterprise) aimed at entrepreneurs of small businesses

Question 16

Non profit social enterprises/organisations (NPOs)

Answer 16

Organisations that don’t have profit as their main objective, rather social causes/benefits

Question 17

Ordinary Partnerships

Answer 17

Partnership of 2 - 20 people/partners

Question 18

Organisation

Answer 18

Commercial enterprise

Question 19

Partnerships

Answer 19

Type of private sector business owned by 2-20 people

Question 20

Planned economies

Answer 20

Economic system directed by government agencies

Question 21

Private limited company

Answer 21

Business owned by shareholders with limited liability but whose shares cannot be bought by or sold to the general public

Question 22

Private sector

Answer 22

Businesses not associated with the government

Question 23

Private voluntary organisations

Answer 23

aka NGO

Question 24

Privatised

Answer 24

When a public sector business becomes private

Question 25

Public limited company

Answer 25

Incorporated business that allows the public to buy and sell shares in the company via a stock exchange. All shareholders enjoy limited liability

Question 26

Public private partnerships

Answer 26

When the government works together with the private sector to jointly provide certain goods or services

Question 27

Public sector

Answer 27

Businesses controlled by the government

Question 28

Recession

Answer 28

Reduced economic activity

Question 29

Shareholders

Answer 29

Individuals or businesses that have invested money to provide capital for a company

Question 30

Silent partners

Answer 30

Investors of partnerships eligible for portion of the profit

Question 31

For-profit social enterprises

Answer 31

Revenue-generating business with social objectives at the core of their operations

Question 32

Sole traders

Answer 32

Self-employed person who runs and controls the business

Question 33

Stock exchange

Answer 33

A market place for trading stocks and shares of public limited companies

Question 34

Unincorporated

Answer 34

When the owner and business are legally on the same basis

Question 35

Unlimited liability

Answer 35

Legally liable for all monies owed to their creditors

Question 36

BOD

Answer 36

Board of Directors

Question 37

Consumer Cooperatives

Answer 37

Owned by customers who buy the goods and/or services for personal use

Question 38

Worker Cooperatives

Answer 38

Owned by employees

Question 39

Producer Cooperatives

Answer 39

Cooperatives that join & support each other to process or market their products

Question 40

Non Government Organisations

Answer 40

Businesses of the private sector that run for a social cause/benefit

Question 41

Takeover

Answer 41

Change of business owners

Question 42

Bankrupt

Answer 42

Unable to pay debts

Question 43

Nationalised

Question 44

Deregulation