The Basics of Business
Business Studies, the study of the management of individuals organizing to maintain collective productivity toward accomplishing particular creative and productive goals (usually to generate profit), is taught as an academic subject in many schools. Business that have gone "public" are subject to extremely detailed and complicated regulation about their internal governance (such as how executive officers' compensation is determined) and when and how information is disclosed to the public and their shareholders. Businesses often have important "intellectual property" that needs protection from competitors in order for the company to stay profitable. Law Most legal jurisdictions specify the forms of ownership that a business can take, creating a body of commercial law for each type. Different structures are treated differently in tax law, and may have advantages for this reason. The relationships and legal rights of shareholders, limited partners, or members are governed partly by the charter documents and partly by the law of the jurisdiction where the entity is organized. This means that unless there is misconduct, the owner's own possessions are strongly protected in law, if the business does not succeed. The terms of a partnership are partly governed by a partnership agreement if one is created, and partly by the law of the jurisdiction where the partnership is located. No paperwork or filing is necessary to create a partnership, and without an agreement, the relationships and legal rights of the partners will be entirely governed by the law of the jurisdiction where the partnership is located. Services In economics, a business is a legally recognized organizational entity existing within an economically free country designed to sell goods and/or services to consumers or other businesses, usually in an effort to generate profit. The term "business" has at least three usages, depending on the scope - the singular usage (above) to mean a particular company or corporation, the generalized usage to refer to a particular market sector, such as "the record business," or the broadest meaning to include all activity by the community of suppliers of goods and services. Company Many businesses are operated through a separate entity such as a corporation, limited partnership or limited liability company. Generally speaking, shareholders in a corporation, limited partners in a limited partnership, and members in a limited liability company are shielded from personal liability for the debts and obligations of the entity, which is legally treated as a separate "person. Businesses often have important "intellectual property" that needs protection from competitors in order for the company to stay profitable. |
