| A | B |
|---|
| entrepreneurship | Accepting the risk of starting a business, or a business started by a risk taker. |
| virtual business | A company that does business only on the Internet. |
| entrepreneur | A person who recognizes a business opportunity and assumes the risks of starting a business. |
| risk taker | someone who likes to take risks |
| profit | The amount of money left over after a business has paid for the cost of producing its goods and services. |
| small business | An independently owned business that employs fewer than 500 people. |
| Company Description | Explains the type of company and gives its history if it already exists. |
| product and service plan | Describes the product and/or service; points out any unique features. Explains why people will buy the product or service. |
| marketing plan | Shows who the potential customers (target market) are and what kind of competition the business will face. Outlines the marketing strategy and specifies what makes the company unique. |
| legal plan | Shows the proposed type of legal organization the ownership will take. Points out any legal concerns. |
| management plan | Identifies the key people who will direct and manage the company. |
| operating plan | Explain the type of manufacturing or operating system the business will use. Describes the facilities, personnel, materials, and processing requirements. |
| financial plan | Specifies the financial needs and proposed sources of financing. Presents projections of revenues, costs, and profits. |
| sole proprietorship | A business owned by only one person. |
| partnership | A business owned by two or more persons who share the risks and rewards. |
| corporation | A business treated by law as separate from its owners. |
| intermediary | Businesses that act as go-betweens in moving goods from producers to consumers, such as wholesalers, retailers, and distributors. |
| cooperative | An organization of businesses owned and operated by the members, who pool their resources and share the benefits. |
| unlimited liability | Full legal and financial responsibility for a business. |
| limited liability | Financial responsibility of business owners only for what they invested in a business. |
| nonprofit organization | A business whose main purpose is to provide a service rather than to make a profit. |
| wholesaler | A type of business that buys goods in large amounts and resells them to other businesses in smaller lots. |
| processor | Businesses that change raw goods into more finished products. |
| manufacturer | Businesses that make finished products out of raw or processed goods. |
| franchise | A contractual agreement to use the name and sell the goods or services of an existing company. |
| producer | A business that gathers raw products in their natural state. |
| retailer | A business that sells goods or services directly to the public. |
| stock | Shares of ownership in a corporation. |
| authority | An organizational structure in which managers at the top of the line are in charge of those beneath them. |
| centralized | An organization that puts authority in one place, with top management. |
| decentralized | An organization that gives authority to a number of different managers to run their own departments. |
| management plan | A business plan that divides a company into different departments run by different managers. |
| middle managers | Managers who carry out the decisions of top management and oversee specific departments. |
| operational managers | Managers who are responsible for the daily operations of a business, such as supervisors and office managers. |
| organizational chart | A chart that shows how a business is structured and who is in charge of whom. |
| top level managers | Managers responsible for setting goals and planning the future for a company. |
| autocratic leadership | A leadership style in which one person runs everything and makes all decisions without consulting others. |
| delegate | Give employees the power to run things and make decisions. |
| democratic leadership | A style of leadership in which managers work with employees to make decisions. |
| human relations | The ability to communicate with people. |
| initiative | Taking action to get things done. |
| integrity | Holding to principles like honesty, loyalty, and fairness. |
| leadership | Providing direction and vision. |
| free-rein leadership | A style of leadership in which managers and employees are given goals and then left alone to get their jobs done. |
| self managed teams | Work groups that supervise themselves. |
