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BUSINESS ORGANISATIONS - Coggle Diagram
BUSINESS ORGANISATIONS
THERE ARE 6 TYPES OF BUSINESS ORGANISATIONS:
LIMITED COMPANIES
PARTNERSHIP
SOLE TRADER
EASIEST FORM OF BUSINESS TO SET UP.
ADVANTAGES
EASY TO SET UP
SPEEDY DECISIONS
DIRECT CONTACT WITH CUSTOMERS AND EMPLOYEES
DISADVANTAGES
UNLIMITED LIABILITY
LIMITED CAPITAL
WORK LOAD NOT SHARED
A GROUP OF PEOPLE POOL THEIR CAPITAL SKILLS AND LABOUR TO SHARE RESPONSABILITY AND EARN A PROFIT
UNLIMITED PARTNERSHIP: S.N.C.
LIMITED PARTNERSHIP: S.A.S.
FRANCHISING
COOPERATIVES
AN ORGANISATION FORMED BY PEOPLE WORKING FOR A COMMON PURPOSE OR BENEFIT AND EACH OF THEM OWNS AN EQUAL SHARE, HAS LIMITED LIABILITY AND THE SAME POWER. THERE ARE VARIOUS TYPES OF COOPERATIVES:
WORKER COOPERATIVES
RETAILER COOPERATIVES
PRODUCER COOPERATIVES
MULTINATIONALS
LARGE COMPANIES WHICH OPERATE IN MORE THAN ONE NATION
PARENT COMPANY
SUBSIDIARIES
REASON TO CREATE A MULTINATIONALS
1) TO INCREASE MARKET SHARE
2) CHEAPER RAW MATERIALS, LAND AND LABOUR IN FOREIGN NATIONS
1 more item...
IT IS THE AUTHORIZATION GIVEN BY THE FRANCHISOR TO THE FRANCHISEE TO SELL HIS/HER PRODUCTS IN A GIVEN AREA IN RETURN FOR AN INITIAL FEE AND A PERCENTAGE OF THE ANNUAL TURNOVER
FRANCHISOR: AFFILIANTE
FRANCHISEE: AFFILIATO
IT IS A COMPANY IN WHICH THE SHAREHOLDERS WILL LOSE ONLY WHAT THEY INVESTED IF THE COMPANY GOES BANKRUPT AND WILL NOT LOSE OTHER PROPERTY THEY OWN. THE COMPANY IS A LEGAL BODY, SEPARATE IN LAWS FROM THE OWNERS.
THERE ARE 2 TYPES:
PRIVATE LIMITED COMPANIES
S.R.L.
PUBLIC COMPANIES
S.P.A.