Types of Businesses: Chapter 22
Three Basic Forms of Business:
1. Sole Proprietorship: _________________________________________________________
____________________________________________________________________________
( see graph 481)
a. Advantages: _________________________________________________________
b. Disadvantages: ________________________________________________________
______________________________________________________________________
2. Partnership: ________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
a. Advantages: ___________________________________________________________
b. Disadvantages: ________________________________________________________
3. Corporation: ________________________________________________________________
____________________________________________________________________________
__________________buy shares of ownership of the corporation to help the corporation
raise capital. The stockholders elect a _________________ to manage and run the
corporation on a daily basis.
a. Advantages: _________________________________________________________
______________________________________________________________________
______ (Only liable for what you have put in).
b. Disadvantages:
______________________________________________________________________
______________________________________________________________________
(ex: Securities and Exchange Commission) , Stockholders pay double taxation(
Corporate taxes & income tax).
4. Cooperative: ________________________________________________________________
____________________________________________________________________________
Labor Unions: _______________________________________________________________________
____________________________________________________________________________________
. 2 Types:
a. Craft of trade unions: _______________________________________________________
b. Industrial Unions: __________________________________________________________.
Organized at 3 levels:
1. Local unions: ________________________________________________________________
____________________________________________________________________________
2. National unions: _____________________________________________________________
____________________________________________________________________________
(UAW, USWA)
3. Federation Level Unions _______________________________________________________
____________________________________________________________________________
.
Closed Shop: _________________________________________________________________
Taft-Hartley Act 1947: _________________________________________________________
.
Union Shop: __________________________________________________________________________
( Not all states allow this… A Right to Work law).
Modified Union Shop: _________________________________________________________________
____________________________________________________________________________
NLRB: ____________________________________________________________________________
____________________________________________________________________________.
3 types of negotiations:
1. Collective Bargaining: _________________________________________________________
____________________________________________________________________________.
2. Mediation: _________________________________________________________________
3. Arbitration: _________________________________________________________
____________________________________________________________________________ (both
parties agree in advance to accept the arbitrators’ solution)
Tools to speed up contract disputes:
________________: All workers refuse to work until a settlement is reached
________________: The Company blocks workers for coming to work.
Roles of Business:
_________________________________________________________
____________________________________________________________________________.
Consumers: ___________________________________________________________________
Owners: Must be ________________________ (disclose all actions to stockholders)
Employees: ___________________________________________________________________
Community: _______________________________ to give back to their community (also gains support
of their own business)
Assessment & Activities: page 620 # 1-14