Business Exam 2: Hunnicutt

horizontal merger

a combination of firms in the same industry

market niche

a small segment of a market with fewer competitors than the market as a whole. market niches tend to be quite attractive to small firms these sparsely occupied spaces in the market tend to have fewer competitors because they simply aren't big enough- or high profile enough- for large firms

stockholder

an owner of a corporation

language barriers

clearly, if you don't speak the language, you'll have trouble communicating

analyze your audience

expectations education profession

advantages of general partnership

-ability to pool financial resources -ability to share responsibilities and capitalize on complementary skills -ease of formation -possible tax advantage

Advantages of business ownership

-greater financial success -independence -flexibility -challenge -survival

handling nerves

-take 10 slow deep breaths -take a sip of water to loosen your throat muscles and mitigate a shaking voice -pick a friendly face or two in the audience and imagine speaking only to them (but don't stare) -remind yourself that the audience wants you to succeed

disadvantages of general partnership

-unlimited liability -potential for disagreement -lack of continuity

entrepreneurial characteristics

-vision -self-reliance -energy -confidence -tolerance of uncertainty -tolerance of failure

listening

85% of learning is derived from listening if listening is so crucial, why do most of us have such a hard time engaging completely? one reason may be that people listen at about 125 to 250 words per minute, but think at about 1000 to 3000 words per minute-that's a significant gap

ethics

a set of beliefs about right and wrong, good and bad

sole proprietorship...

by far the most common type of business organization in the US

C corporation

the most common is called a c corporation

corporation

a business entity created by filing a form (known in most states as the articles of incorporation) with the appropriate state agency, paying the state's incorporation fees, meeting other requirements. (the specifics vary among states) legal entity. limited liability

sole proprietorship

a business that is owned and usually managed by a single individual. as far as the law is concerned, a sole proprietorship is simple an extension of the owner

acquisition

a corporate restructuring in which one firm buys another occurs when one firm buys another firm. The firm making the purchase is called the acquiring firm and the firm being purchased is called the target firm

merger

a corporate restructuring that occurs when two formerly independent business entities combine to form a new organization

ethical dilemma

a decision that involves a conflict of values; every potential course of action has some significant negative consequences

internal locus of control

a deep-seated sense that the individual is personally responsible for what happens in his or her life

business plan

a formal document that describes a business concept, outlines core business objectives and details strategies and timelines for achieving those objectives does provide a valuable way to keep you and your team FOCUSED on success. and its absolutely crucial for obtaining outside FUNDING which is why many entrepreneurs write a business plan after they've used personal funding sources (such as savings, credit cards, and money form family and friends) to get themselves up and running

consumerism

a social movement that focuses on four key consumer rights: 1. the right to be safe 2. the right to be informed 3. the right to choose 4. the right to be heard

partnership

a voluntary agreement under which two or more people act as co-owners of a business for profit

personal resources

according to consumer reports, 68% of total start-up financing comes from personal resources

corporate philanthropy

all business donations to nonprofit groups, including money, products, and employee time includes all business donations to nonprofit groups, including both money and products

survival

although most entrepreneurs launch their business in response to an opportunity with hopes of improving their lives, some entrepreneurs-called "necessity entrepreneurs"- launch their business because they believe it is their only economic option

Stakeholders

any groups that have a stake- or a personal interest - in the performance and actions of an organization

noise

any interference that causes the message you send to be different from the message your audience understands

universal ethical standards

apply to everyone across a broad spectrum of situations six core values that transcend political, religious, class and ethnic divisions

LLCs

as the newest form of business ownership, state laws concerning the legal status and formation of LLCs are still evolving because LLCs are neither corporations nor partnerships, their owners are called members rather than stockholders or partners. members of LLCs often manage their own company under an arrangement similar to the relationship among general partners in a partnership. however, some LLCs hire professional managers who have responsibilities much like those of the CEO and the other top officers of corporations

unlimited liability

because the law views a sole proprietorship as an extension of its owner, the debts of the firm become the owner's personal debts.

threat- lack of knowledge and experience

but in-depth knowledge in a specific area doesn't necessarily mean expertise in running a business

limited partners

cannot actively participate in its management, but they have the protection of limited liability

intercultural communication

communication among people with differing cultural backgrounds

Venture capital firms

companies that invest in start-up businesses with high growth potential in exchange for a share of ownership

gender bias

consists of words that suggest stereotypical attitudes toward a specific gender. avoiding bias becomes tricky when you simply don't know the gender of your audience, which often happens when you apply for a job in writing. the best solution, of course, is to find out the recipient's name, but if you cant do that, do not address your message to "dear sir" "dear madam" rather use the title of the position (dear hiring manage)

green marketing

developing and promoting environmentally sound products and practices to gain a competitive edge

communication channels

differ from one another in terms of how much information-or richness-they communicate to the recipient

sustainable development

doing business to meet the needs of this generation without harming the ability of future generations to meet their needs

communication channels

email: very low videoconferencing: high in-person presentation: high *when you need or want to experience the immediate response of your audience face-to-face: very high

body language barriers

even if your words are inviting, the wrong body language can alienate and distract your audience so completely that they simply won't absorb the content of your message

tolerance of failure

even when they fail, entrepreneurs seldom label themselves losers. They tend to view failure as a chance to learn, rather than as a sign that they just can't do it (whatever "it" may be for them at any given moment)

business writing

good business writing sounds natural- it flows like spoken language and reads like a conversation on paper use the active voice!

effective communications

happens only when you transmit meaning-relevant meaning-to your audience transmission of information between a sender and a recipient

pro/con

in fact, it may make more sense to purchase an established business, or even buy a franchise such as a pizza hut or subway restaurant

cause-related marketing

marketing partnerships between businesses and nonprofit organizations, designed to spike sales for the company and raise money for the nonprofit unlike outright gifts, these dollars are not tax deductible for the company, but they can certainly BUILD THE COMPANY'S BRANDS

vision

most entrepreneurs are wildly excited about their own ideas, which many seem to draw from a bottomless well. Entrepreneurs find new solutions to old problems, and they develop new products that we didn't even know we needed until we had them

body language

most of us focus on what we want to say, but how we say it matters even more. in fact, studies cited in wall street journal's career journal suggest that during face-to-face communication, only 7% or meaning comes from the verbal content of the message, 38% comes from the tone of voice and 55% comes from body language such as facial expressions, gestures and posture

Excellent communicators

not only influential but also well liked, efficient and effective. Great communication skills can dramatically boost your chance for success, while poor communication skills can bury even the most talented people

threat-too little money

ongoing profits don't usually begin for a while, which means that entrepreneurs must plan on some lean months-or even years-as the business develops momentum. that means a real need to manage money wisely and to resist the temptation to invest in fixed assets, such as fancy offices and advanced electronics before sufficient regular income warrants it

whistle blowers

people who report illegal or unethical behavior. Be sure that no retaliation occurs, in compliance with both ethics and the Sarbanes-Oxley Act

Entrepreneurs

people who risk their time, money and other resources to start and manage a business

external locus of control

rely less on their own efforts, feeling buffeted by forces such as random luck and the actions of others, which they believe will ultimately control their fate

formation of corporation

the formation of a corporation requires filing articles of incorporation and paying filing fees

negative halo effect

the irresponsible or incompetent behavior of a few franchisees can create a negative perception that adversely affects not only the franchise as a whole but also the success of other franchisees

Social Responsibility

the obligation of a business to contribute to society. Similar to ethics, the broad definition is clear, but specific implementation can be complex. Obviously, the number-one goal of any business is long-term profits; without profits, other contributions are impossible. But once a firm achieves a reasonable return, the balancing act begins.

social responsibility

the obligation of a business to contribute to society. The most socially responsible forms feature proactive policies that focus on meeting the needs of all their stakeholders-not just investors but also employees, customers, the broader community and the environment

planned obsolescence

the strategy of deliberately designing products to fail in order to shorten the time between purchases. deliberately designing products to fail in order to shorten the time between consumer repurchases- represents a clear violation of social responsibility

cultural barriers

these can include everything from how you greet colleagues and establish eye contact to how you handle disagreement, eat business meals and make small talk at meetings. as globalization gains speed, intercultural communication will become increasingly pivotal to long-term business success.

buying an established business con

you may inherit old mistakes that can range from poor employee relations to pending lawsuits