Intro to business management test

Management

Process of planning organizing leading and controlling people Ms processes in the organization to effectively use resources to meet organizational goals.

Main responsibilities of management

Focusing on goals

Meeting goals

Profit made

Functions of management

Planning

Organizing

Leading

Controlling

Planing

Setting objectives and making long term or short term plans for meeting objectives

Leading

Setting standards for work evaluating performance and solving problems that prevent task completion.

Controlling

Influencing, guiding and directing under one management to carry out their assigned tasks.

Planning example

Figuring out resources needed and standards to meet

Organizing

Obtaining and coordinating resources, so businesses objectives can be met.

Organizing examples

Getting resources, arranged in orderly and functional way to accomplish goals and objectives.

Leading example

providing direction and vision

Controlling example

Keeping company on track and making sure goals are met setting standards, delegating work, enforcing policies, and solving conflicts, budgeting, and scheduling.

Tiers of managerial structure

Top manager

Middle managers

First line manager

Top managers

Set objectives, scan environment, plan, and make decisions.

Middle managers

Report to top managers, oversee first line, managers, implement and develop activities, allocate resources.

First line managers

Report to middle managers, supervise employees, coordinate activities and are involved in day-to-day operations.

Sole proprietorship

Owned by one person

Disadvantages - unlimited liability lifespan not an expert on aspects

Advantages - easy lower taxes, and makes all decisions

Partnership

Two more people

Advantages - easier to obtain more partners equals more money, experience, and expertise.

Disadvantages - unlimited liability, partner dispute

Corporations

Registered by state operates apart from owners and its own entity.

Disadvantages - must get license, higher taxes, government regulations, upfront startup cost, must have board of directors

Advantages - limited liability, access to capital by issuing stocks, unlimited life.

Cooperative business

Democratically owned more efficient and profitable example ocean spray

Nonprofit organization

Focuses on providing a service goal isn’t to make money so they don’t pay taxes

Franchise

Contractional agreement to use the same in cell products or services of a company in an area. They have to pay seat fees or share of profit to franchiser. Franchiser offers known name.

entrepreneur

Individuals who have an idea and create a business around it

Risks of an entrepreneurship

Failure, inconsistent, income, employees, cost.

Rewards of an entrepreneurship

Flexibility, passion, control, legacy, financial success.

Venture

Starting a business that involves risk

Starting a new business

Pros control

Cons start up and funds

Buying existing business

Pro less start up work

Cons Cost employees, hesitant to change.

Purchasing a franchise

Pro saves time and money

Cons Strict rules for operation

Executive summary and direction

Reviews what the business is and how it plans to profit

Appendix

Photographs, resumes, blueprints, or other aspects of venture that will contribute to its future operations.

Equity financing

When money is given to adventure through the purchase of a stock of a business

Crowdfunding

Enables businesses ventures to showcase their product to potential consumers and ask for investments to reach the goal

Professional network

A group of people who share similar business interest and goals