Studied by 2 people
market niche or niche market
a small segment of a much larger market
divorce of ownership from control
occurs when the managers and directors of a business are a different group of people from the owners of the business
principal agent problem
where one group, the agent, makes decisions on behalf of another group, the principal
private sector organisations
organisations that are owned by individuals or companies and not the state
public sector organisations
organisations that are owned and controlled by the state
not-for-profit organisations
organisations that do not have making a profit as a goal but use any profit or surplus they generate to support their aims
organic or internal growth
a firm increasing its size through investment in capital equipment or an increased labour force
merger, amalgamation, integration, or takeover
the joining together of two or more firms under common ownership
vertical integration or vertical merger
a joining together into one firm of two or more firms at different production stages in the same industry
forward vertical integration
a joining together into one firm of two or more firms where the supplier merges with one or more of its buyers
horizontal integration or horizontal merger
a joining together into one firm of two or more firms in the same industry at the same stage of production
conglomerate integration or merger
a joining together into one firm of two or more firms producing unrelated products
demerger
when a firm splits into two or more independent businesses
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Flashcard (55)