1.
ENTREPRUNERSHIP....................................................................2
2. TYPES OF ENTREPRUNER
ORG...................................................5
2.1. INDIVIDUAL
PROPRIETORSHIP.............................................5
2.2.
PARTNERSHIP.......................................................................6
2.3. JOINT STOCK
COMPANY.......................................................8
2.4. CO-OPERATIVE
SOCIETIES...................................................11
2.5. PUBLIC OR STATE
UNDERTAKINGS.....................................13
3.
BIBLIOGRAPHY.........................................................................15
Entrepreneurship:It is the process of begining of a business or
other organization. Theentrepreneurdevelops abusiness model,
acquires the human and other required resources, and is fully
responsible for its success or failure. Entrepreneurship operates
within an entrepreneurship ecosystem.
In recent years, "entrepreneurship" has been extended from its
origins in business to include social and political
activity.Entrepreneurship within an existing firm or large
organization has been referred to asintrepreneurshipand may include
corporate ventures where large entities spin off subsidiary
organizations.Entrepreneurs are leaders willing to take risk and
exercise initiative, taking advantage of market opportunities by
planning, organizing, and employing resources,often by innovating
new or improving existing products.More recently, the term
entrepreneurship has been extended to include a specificmindset(see
alsoentrepreneurial mindset) resulting in entrepreneurial
initiatives, e.g. in the form ofsocial entrepreneurship,political
entrepreneurship, orknowledge entrepreneurship.
According to Paul Reynolds, founder of theGlobal
Entrepreneurship Monitor, "by the time they reach their retirement
years, half of all working men in the United States probably have a
period of self-employment of one or more years; one in four may
have engaged in self-employment for six or more years.
Participating in a new business creation is a common activity among
U.S. workers over the course of their careers."In recent years,
entrepreneurship has been claimed as a major driver ofeconomic
growthin both the United States and Western Europe.
Entrepreneurial activities differ substantially depending on the
type of organization and creativity involved. Entrepreneurship
ranges in scale from solo, part-time projects to large-scale
undertakings that create many jobs. Many "high value"
entrepreneurial ventures seekventure capitalorangel funding(seed
money) in order to raisecapitalfor building the business. Many
organizations exist to support would-be entrepreneurs, including
specialized government agencies, business incubators,science parks,
and someNGOs.
Beginning in 2008, an annual "Global Entrepreneurship Week"
event aimed at "exposing people to the benefits of
entrepreneurship" and getting them to "participate in
entrepreneurial-related activities".
Entrepreneur, is aloanwordfromFrench.It is defined as an
individual who organizes or operates a business or businesses.
Credit for coining the termentrepreneurgenerally goes to the French
economistJean-Baptiste Say, but in fact the Irish-French
economistRichard Cantillondefined it first]in hisEssai sur la
Nature du Commerce en Gnral, orEssay on the Nature of Trade in
General, a bookWilliam Stanley Jevonsconsidered the "cradle of
political economy"Cantillon used the term differently. Biographer
Anthony Breer noted that Cantillon saw the entrepreneur as a
risk-taker while Say considered the entrepreneur a "planner".
Cantillon defined the term as a person who pays a certain price
for a product and resells it at an uncertain price: "making
decisions about obtaining and using the resources while
consequently admitting the risk of enterprise." The word first
appeared in the French dictionary entitled "Dictionnaire Universel
de Commerce" compiled by Jacques des Bruslons and published in
1723.
Successful entrepreneurs have the ability to lead a business in
a positive direction by proper planning, to adapt to changing
environments and understand their own strengths and weakness.
Asole proprietorship, also known as thesole traderor simply
aproprietorship, is a type ofbusiness entitythat is owned and run
by one individual or one legal person and in which there is no
legal distinction between the owner and the business. The owner is
in direct control of all elements and is legally accountable for
the finances of such business and this may include debts, loans,
loss etc.
The owner receives all profits (subject to taxation specific to
the business) and has unlimited responsibility for all losses and
debts. Every asset of the business is owned by the proprietor and
all debts of the business are the proprietor's. It is a "sole"
proprietorship in contrast withpartnerships(which have at least 2
owners).
A sole proprietor may use atrade nameor business name other than
his, her or its legal name. They will have to legally trademark
their business name, the process being different depending upon
country of residence.
Apartnershipis an arrangement in which parties agree to
cooperate to advance their mutual interests.
Since humans aresocial beings, partnerships between individuals,
businesses, interest-basedorganizations,schools,governments, and
varied combinations thereof, have always been and remain
commonplace. In the most frequently associated instance of the
term, a partnership is formed between two or more businesses in
which partners (owners) co-labor to achieve and share profits and
losses (seebusiness partners). Partnerships exist within, and
across, sectors.Non-profit,religious, andpolitical organizationsmay
partner together to increase the likelihood of each achieving their
mission and to amplify their reach. In what is usually called
analliance, governments may partner to achieve their national
interests, sometimes against allied governments holding contrary
interests, as occurred duringWorld War IIand theCold War.
Ineducation,accrediting agenciesincreasingly evaluate schools by
the level and quality of their partnerships with other schools and
a variety of other entities across societal sectors. Some
partnerships occur atpersonal levels, such as when two or more
individuals agree to domicile together, while other partnerships
are not only personal, but private, known only to the involved
parties.
Partnerships present the involved parties with special
challenges that must be navigated unto agreement. Overarching
goals, levels of give-and-take, areas of responsibility, lines of
authority andsuccession, how success is evaluated and distributed,
and often a variety of other factors must all be negotiated. Once
agreement is reached, the partnership is typically enforceable
bycivil law, especially if well documented. Partners who wish to
make their agreement affirmatively explicit and enforceable
typically draw upArticles of Partnership. It is common for
information about formally partnered entities to be made public,
such as through a press release, a newspaper ad, or public records
laws.
While partnerships stand to amplify mutual interests and
success, some are considered ethically problematic. When a
politician, for example, partners with a corporation to advance the
latter's interest in exchange for some benefit, aconflict of
interestresults; consequentially, thepublic goodmay suffer. While
technically legal in some jurisdictions, such practice is broadly
viewed negatively or ascorruption.
Governmentally recognized partnerships may enjoy special
benefits intax policies. Among developed countries, for example,
business partnerships are often favored overcorporationsin taxation
policy, sincedividend taxesonly occur on profits before they are
distributed to the partners. However, depending on the partnership
structure and thejurisdictionin which it operates, owners of a
partnership may be exposed to greaterpersonal liabilitythan they
would asshareholdersof a corporation. In such countries,
partnerships are often regulated viaanti-trustlaws, so as to
inhibitmonopolistic practices and fosterfree market competition.
Enforcement of the laws, however, varies considerably. Domestic
partnerships recognized by governments typically enjoy tax
benefits, as well.
Apartnershipis an arrangement in which parties agree to
cooperate to advance their mutual interests.
Since humans aresocial beings, partnerships between
individuals,businesses,interest-basedorganizations,schools,governments,
and varied combinations thereof, have always been and remain
commonplace. In the most frequently associated instance of the
term, a partnership is formed between two or more businesses in
which partners (owners) co-labor to achieve and share profits and
losses (seebusiness partners). Partnerships exist within, and
across, sectors.Non-profit,religious, andpolitical organizationsmay
partner together to increase the likelihood of each achieving their
mission and to amplify their reach. In what is usually called
analliance, governments may partner to achieve their national
interests, sometimes against allied governments holding contrary
interests, as occurred duringWorld War IIand theCold War.
Ineducation,accrediting agenciesincreasingly evaluate schools by
the level and quality of their partnerships with other schools and
a variety of other entities across societal sectors. Some
partnerships occur atpersonal levels, such as when two or more
individuals agree to domicile together, while other partnerships
are not only personal, but private, known only to the involved
parties.
Partnerships present the involved parties with special
challenges that must be navigated unto agreement. Overarching
goals, levels of give-and-take, areas of responsibility, lines of
authority andsuccession, how success is evaluated and distributed,
and often a variety of other factors must all be negotiated. Once
agreement is reached, the partnership is typically enforceable
bycivil law, especially if well documented. Partners who wish to
make their agreement affirmatively explicit and enforceable
typically draw upArticles of Partnership. It is common for
information about formally partnered entities to be made public,
such as through a press release, a newspaper ad, or public records
laws.
While partnerships stand to amplify mutual interests and
success, some are considered ethically problematic. When a
politician, for example, partners with a corporation to advance the
latter's interest in exchange for some benefit, aconflict of
interestresults; consequentially, thepublic goodmay suffer. While
technically legal in some jurisdictions, such practice is broadly
viewed negatively or ascorruption.
Governmentally recognized partnerships may enjoy special
benefits intax policies. Among developed countries, for example,
business partnerships are often favored overcorporationsin taxation
policy, sincedividend taxesonly occur on profits before they are
distributed to the partners. However, depending on the partnership
structure and thejurisdictionin which it operates, owners of a
partnership may be exposed to greaterpersonal liabilitythan they
would asshareholdersof a corporation. In such countries,
partnerships are often regulated viaanti-trustlaws, so as to
inhibitmonopolistic practicesand fosterfree market competition.
Enforcement of the laws, however, varies considerably. Domestic
partnerships recognized by governments typically enjoy tax
benefits, as well.
Ownership ofstockconfers a large number of privileges. The
company is managed on behalf of the shareholders by a Board of
Directors, elected at an Annual General Meeting. The shareholders
also vote to accept or reject an Annual Report and audited set of
accounts. Individualshareholderscan sometimes stand for
directorships within the company, should a vacancy occur, but this
is uncommon.
The shareholders are usually liable for any of the company debts
that exceed the company's ability to pay. Meanwhile, the limit of
their liability only extends to the face value of their
shareholding. This concept oflimited liabilitylargely accounts for
the success of this form of business organization.
Ordinary shares entitle the owner to a share in the company'snet
profit. This is calculated in the following way: the net profit is
divided by the total number of ownedshares, producing
anotionalvalue per share, known as adividend. The individual's
share of the profit is thus the dividend multiplied by the number
of shares that they own.
Acooperative("coop") orco-operative("co-op") is an autonomous
association of persons whovoluntarilycooperate for their mutual
social, economic, and cultural benefit.Cooperatives include
non-profit community organizations and businesses that are owned
and managed by the people who use its services (aconsumer
cooperative) or by the people who work there (aworker cooperative)
or by the people who live there (ahousing cooperative), hybrids
such as worker cooperatives that are also consumer cooperatives
orcredit unions, multi-stakeholder cooperatives such as those that
bring together civil society and local actors to deliver community
needs, and second and third tier cooperatives whose members are
other cooperatives.
TheInternational Co-operative Alliancewas the first
international association formed by the movement. It includes
theWorld Council of Credit Unions. A second organization was formed
later in Germany, the International Raiffeisen Union. In the United
States, theNational Cooperative Business Association(NCBA) serves
as the sector's oldest national membership association. It is
dedicated to ensuring that cooperative businesses have the same
opportunities as other businesses operating in the country and that
consumers have access to cooperatives in the marketplace. A
U.S.National Cooperative Bankwas formed in the 1970s. By 2004, a
new association focused on worker co-ops was founded, theUnited
States Federation of Worker Cooperatives.
Cooperation dates back as far as human beings have been
organizing for mutual benefit. Tribes were organized as cooperative
structures, allocating jobs and resources among each other, only
trading with the external communities. In alpine environments,
trade could only be maintained in organized cooperatives to achieve
a useful condition of artificial roads such asViamalain
1472.Pre-industrial Europe is home to the first cooperatives from
an industrial context.
In 1761, theFenwick Weavers' Societywas formed inFenwick, East
Ayrshire,Scotlandto selldiscountedoatmealto local workers. Its
services expanded to include assistance with savings and loans,
emigration and education. In 1810,Welshsocial reformerRobert Owen,
from Newtown in mid-Wales, and his partners purchasedNew Lanarkmill
from Owen's father-in-lawDavid Daleand proceeded to introduce
better labour standards including discounted retail shops where
profits were passed on to his employees. Owen left New Lanark to
pursue other forms of cooperative organization and develop co-op
ideas through writing and lecture. Cooperative communities were set
up inGlasgow,IndianaandHampshire, although ultimately unsuccessful.
In 1828,William Kingset up a newspaper,The Cooperator, to promote
Owen's thinking, having already set up a co-operative store in
Brighton.,
TheRochdale Society of Equitable Pioneers, founded in 1844, is
usually considered the first successful cooperative enterprise,
used as a model for modern co-ops, following the 'Rochdale
Principles'. A group of 28 weavers and other artisans inRochdale,
England set up the society to open their own store selling food
items they could not otherwise afford. Within ten years there were
over 1,000 cooperative societies in the United Kingdom.
Other events such as the founding of afriendly societyby
theTolpuddle Martyrsin 1832 were key occasions in the creation of
organized labor and consumer movements.
Agovernment-owned corporation,state-owned company,state-owned
enterprise,state-owned entity,state enterprise,publicly owned
corporation,government business enterprise,commercial government
agency,public sector undertakingorparastatalis a legal entity that
undertakescommercialactivities on behalf of an ownergovernment.
Their legal status varies from being a part of government tostock
companieswith a state as a regularstockholder. There is no standard
definition of a government-owned corporation (GOC) or state-owned
enterprise (SOE), although the two terms can be used
interchangeably. The defining characteristics are that they have a
distinct legal form and they are established to operate in
commercial affairs. While they may also have public policy
objectives, GOCs should be differentiated from other forms of
government agencies or state entities established to pursue purely
non-financial objectives.
Government-owned corporations are common withnatural
monopoliesand infrastructure such as railways and
telecommunications, strategic goods and services (mail, weapons),
natural resources and energy, politically sensitive business,
broadcasting, demerit goods (alcohol) and merit goods
(healthcare).
GOCs can be fully owned or partially owned by government. As a
definitional issue, it is difficult to determine categorically what
level ofstate ownershipwould qualify an entity to be considered as
"state-owned", since governments can also own regularstock, without
implying any special interference. As an example, theChinese
Investment Corporationagreed in 2007 to acquire a 10% interest in
the global investment bankMorgan Stanley, but it is unlikely that
this would qualify the latter as a government-owned corporation.
Government-owned or state-run enterprises are often the result
ofcorporatization, a process in which government agencies and
departments are re-organized as semi-autonomous corporate entities,
sometimes with partial shares listed onstock exchanges.
The term 'government-linked company' (GLC) is sometimes used to
refer tocorporate entitiesthat may be private or public (listed on
a stock exchange) where an existinggovernmentowns a stake using
aholding company. There are two main definitions of GLCs are
dependent on the proportion of the corporate entity a government
owns. One definition purports that a company is classified as a GLC
if a government owns an effective controlling interest (>50%),
while the second definition suggests that any corporate entity that
has a government as a shareholder is a GLC.
Government-owned corporations often operate in sectors where
there is anatural monopoly, or where the government has strategic
interest. However, government ownership of industry corporations is
common.
Nationalizationalso forcibly converts a private corporation into
a government-owned corporation.
In mostOPECcountries, the governments own the oil companies
operating on their soil. A notable example is theSaudinational oil
company,Saudi Aramco, which the Saudi government bought in 1988 and
changed its name from Arabian American Oil Company to Saudi Arabian
Oil Company. The Saudi government also owns and operatesSaudi
Arabian Airlines, and owns 70% ofSABIC, as well as many other
companies. They are, however, being privatized gradually.
1. MICRO ECONOMIC THEORY (BY- M.L. JINGHAN)
2. www.entrepreneur.com
3. WIKIPEDIA
4. LEGAL ECONOMICS (BY- K.C. GOPALAKRISHNAN)
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1.
ENTREPRUNERSHIP.....................................
...............................2
2.
TYPES OF
ENTREPRUNER ORG
.....................
..............................5
2.1. INDIVIDUAL
PROPRIETORSHIP.............................................
5
2.2.
PARTNERSHIP.......................................................................
6
2.3. JOINT STOCK
COMPANY.......................................................
8
2.4. CO
-
OPERATIVE
SOCIETIES..................................................
.11
2.5. PUBLIC OR STATE
UNDERTAKINGS.....................................13
3.
BIBLIOGRAPHY.........................................................................15
