Political Factors and Business Ownership in International Contexts

A comprehensive set of vocabulary flashcards covering key concepts related to political factors, business ownership structures, and international strategy.

Political-Legal Factors

Elements that involve laws, regulations, and conditions affecting the business environment, including taxation and trade agreements.

PEST Analysis

A strategic tool used to analyze the Political, Economic, Social, and Technological factors affecting an organization.

Lobbying

The act of hired representatives advocating for a company's or group's interests in the government.

Sole Proprietorship

A business owned and operated by a single individual who has complete control over profits and decision-making.

Partnership

A business structure where two or more individuals share ownership and responsibility.

General Partnership

A partnership where all partners have joint and several liability for the business debts.

Limited Partnership

A partnership where at least one partner has limited liability and cannot be involved in management.

Corporation

A legal entity that is separate from its owners, offering limited liability to its shareholders.

Double Taxation

The taxation of corporate profits once at the corporate level and again as dividends on personal income tax returns.

Social Enterprise

A business model that focuses on generating social value while maintaining financial sustainability.

Licensing

An agreement where one company allows another to use its intellectual property in exchange for royalties.

Joint Venture

A strategic alliance where two or more parties collaborate for mutual benefit while retaining their individual identities.

Entry Strategies

Approaches that businesses use to enter into international markets, including exporting, franchising, and establishing subsidiaries.

Trade Barriers

Government-imposed restrictions like tariffs, quotas, and regulations that hinder international trade.

Porter's Five Forces

A framework for analyzing the competitive forces within an industry to determine the potential for profitability.

Market Segmentation

The process of dividing a market into distinct groups of buyers with differing needs, characteristics, or behaviors.

Globalization

The process of developing an international influence and operating across national boundaries.

Consumer Protection Laws

Regulations aimed at ensuring the rights and safety of consumers, influencing business practices.

Barrier to Entry

Obstacles that make it difficult for new competitors to enter a market.

Intellectual Property (IP)

Creations of the mind, such as inventions and artistic works, which can be legally protected.