| A | B |
|---|
| Liability | the legal responsibility to repay debts and to pay for damages resulting from a lawsuit |
| unlimited liability | full responsibility for repaying business debts; liability in this case extends to the owner’s personal property |
| Limited Liability Company, LLC | a business in which the proprietor’s liability extends only to whatever he or she has invested in the business |
| Silent partner | a partner in a business who contributes financial capital but plays no role in day-to-day operations; also known as a limited partner |
| Limited liability | less than full responsibility for repaying business debts; liability in this case does not extend to the owner’s personal property |
| Limited Liability Partnership, LLP | a partnership that allows co-owners to operate like general partners while enjoying the protection of limited liability |
| Articles of Partnership | a legal agreement that states the terms of a partnership |
| Corporation | a business owned by shareholders who have limited liability for the firm’s debt |
| Private Corporation | a corporation owned by an individual or a small group of individuals that allows only a select group of people to buy stock; also known as a closely held corporation |
| Public Corporation | a corporation that offers stock for sale to the general public and has many shareholders |
| Board of Directors | a governing body of a corporation elected by the shareholders; in charge of a corporations and usually hire the President or CEO of the corporation |
| Chief Executive Officer | the highest-ranking person in charge of managing a corporation |
| Articles of Incorporation | a legal document required for the establishment of a corporation that details the firm's objectives, structure, and planned operations; also called a corporate charter |
| Stock Certificate | a legal document that certifies ownership of a specific number of shares in a corporation |
| Double Taxation | taxation of a corporation at both the corporate level and the shareholder level; the corporation pays tax on its profits and shareholders pay tax on dividends earned |
| Multinational Corporations | a corporation that does business in more than one country |
| business franchise | an arrangement in which a parent company, or franchiser, distributes its products or services through independently owned outlets |
| cooperative | a business organization that is jointly owned and operated by a group of individuals for their mutual benefit |
| non-profit organization | an organization that functions much like a business but does not operate to make a profit |
| Labor Union | organizations of workers in a specific industry |
| labor force | the portion of the population that has paid work or is seeking work; the labor does not incluse active members of the military |
| globalization | the process by which people and economies around the world are becoming increasingly interconnected; the term is often used to refer to economic globalization, the intergration of national economies into the global economy |
| off-shoring | relocating work and jobs to another country; the opposite of inshoring |
| Human Capital | knowledge and skills people gain form education, on the job training, and other experiences. |
