Chapter Forms of Business Ownership(企业产权形式)(briefing ed.).docVIP

Chapter1 Forms of Business Ownership（企业产权形式） Partnerships 合伙企业 Joint Ventures 合资企业 Corporations 公司 Limited Liability Companies 有限责任公司 Mergers Acquisitions 企业兼并和收购 Franchises 特许经营 ⒈ Sole Proprietorships An organization that is owned, and usually managed, by one person is called a sole proprietorship. The sole proprietor is usually an active manager, working in the shop every day. He or she controls the operation of the business, supervises the employees, and makes the decisions. He or she also assumes complete responsibility for any of its liabilities or debts. Advantages(the sole proprietor’s) ⑴you can be your own boss； ⑵you can make business decisions without having to ask anyone else； ⑶you also get to keep the profits from the business and have the freedom to wind up your business whenever you want； (4) A sole proprietorship is the easiest from of business to start; (5) There is nothing like the pleasure of knowing that you can earn as much as possible and do not have to share that money with anyone else. Disadvantages ⑴It is often difficult for the owner to raise capital. The owner is personally responsible for all aspects of the business. He or she has unlimited liability. ⑵The owner must spend long hours working. ⑶It is also difficult to hire and keep high-achievement employees. ⒉ Partnerships A partnership is a legal relationship between persons carrying on a profit-motivated business. The three key elements of any general partnership are: ⑴common ownership; ⑵shared profits and loses; ⑶the right to participate in managing the operations of business. A general partnership is a business with at least one general partner who has unlimited liability for the debts of the business. A limited partnership is an arrangement where a person can contribute to a business without being involved in the affairs of the partnership. The general partners arrange and run the business, while the limited partners are investors only. Advantages(to form a partne