Types of Business and Labor Unions

Types of Business

1. There are 3 main types of businesses. How do they differ? Sole Proprietor, Partnership, and Corporation. They differ in size and in daily operations. 

2. What is the most common type of business? The most common type of business is Sole Proprietorship.

3. What are the articles of partnership? Partners sign an agreement based on who is responsible for what. 

4. How is a corporation started? A corporation  is started by a founder who gets a charter. 

5. Who owns a corporation? Stockholders own the corporation but it is run by an elected board of directors.

6. How are corporations double taxed? 1. Corporations pay tax on their profits, 2. After the profits are distributed to the stockholders they then have to pay taxes on those earnings.

7. How does a franchise make money? They make money by selling the name and structure of a business..

8. What is a cooperative?Individual businesses that work together to benefit all members involved.

9. Who are the 4 entities that businesses are responsible to? The 4 entities that businesses are responsible to are Consumers, Owners, Employees. and the Community. 

10. What 4 responsibilities does a business have to consumers? That the products they sell are safe and work as promised. As well as having truthful advertising, and being fair to each individual. Consumer Product Safety Commission. 

11. What 2 responsibilities does a business have to employees? A businesses 2 responsibilities are to provide a safe workplace and to treat workers fairly without discrimination.OSHA ( Occupational Safety Health Association)

12. What is the social responsibility of a business? It is the obligation to pursue goals that benefit society as well as themselves.

Labor Unions

1. Why do groups of workers join Labor Unions? In hopes of achieving better pay, better working conditions, and benefits.

2. Why has the number of Union members been falling since the 1980s? Because our economy has changed from manufacturing to a service based economy. 

3. What are the 2 types of unions? Trade Unions and Industrial Unions are the two types of unions.

4. What is a closed shop? When a worker would first have to belong to a union in order to be hired by a company.

5. What stopped the practice of closed shops? The practice was banned by the Taft-Hartley Act of 1947.

6. Which type of union membership is common today? The kind required by union shops, an arrangement that says you can be hired as long as you join the union shortly after you begin working.

7. What are right-to-work laws? They prevent mandatory union memberships that are required by union shops.

8. What type of unions do we see in the South? A modified version of union shops are what is seen in the South.

9. What percentage of workers must vote in favor of a union before one can be formed? A majority of workers must vote in favor before a union can be formed.

10. What does the National Labor Relations Board do? The National Labor Relations Board makes sure union votes are carried out honestly.

11. What is collective bargaining? A process where union workers and employers discuss the terms of employment.

12. What are 3 paths to compromise when union and company representatives meet to discuss conditions of employment? The 3 paths to compromise are Negotiation, Mediation, and Arbitration.

13. What are 4 options that unions have when collective bargaining fails? The 4 options unions have are strikes, picketing, boycott, or scab.

14. Why would businesses have a lockout? To block employees from entering the workplace until they agree to their contract terms.

15. What other option do businesses have when collective bargaining fails? They can issue an injunction, a legal order from the court that prevents some activity like strikes. They can also hope that the loss in income will convince other workers to accept the company's position.

16. In severe or extreme labor–management disputes, the government may get involved. What can the government do? The government can seize the operations of a business until the conflict is settled.