Sunday, April 20, 2014

Intelligent Business Vocabulary for Chapter 1

This list is only partially complete. Add vocabulary/concepts presented in the text that you need and define them.

Multinational: a company that operates in different countries, where it manages production or delivers services, has offices, branches or manufacturing plants.
Examples: Pepsi, Coca-cola, P&G, Sony, IBM, Toyota, Nike, Apple, Microsoft, Citigroup, Intel

Who owns a corporation?
The shareholders own a corporation. This can range from a single shareholder in a closely held corporation to thousands of shareholders in a publicly traded company. Stockholders may be individuals or what are called "institutitional investors," such as mutual funds, retirement plans and insurance companies. There is a variety of types of shares that can be issued by a corporation: they can be different classes or have voting or non-voting privileges. But all shareholders have one thing in common - they represent an ownership interest in the corporation. The daily operations of a corporation are overseen by the board of directors but there must be an annual meeting of the shareholders to elect the board members and ratify actions taken by the board.

Who owns Microsoft Corporation?
The public owns Microsoft since it is a publicly traded company.

Merger: see glossary

Acquisition: A corporate action in which a company buys most, if not all, of the target company in order to assume control of the target firm. Acquisitions are often made as part of a company's growth strategy.

Entrepreneur: see glossary

Dotcom: a company that conducts most or all of its business on the internet. Examples - Amazon, Yahoo, Google, eBay

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