Economic Organization
Economics
Submitted By: John Francis A. Ypil
Submitted To: Francis Arguelles
The term "Business Organization" refers to how a business is structured. The business organization is defined in the bylaws when the business is formed with the name and contact information of those who own and run the company with their roles defined. The bylaws state the purpose of the organization and what it does. A sole proprietorship does not have bylaws because one person owns and controls the business.
Capital Mobilization * The purpose of the firm is to mobilize resources. Put less abstractly, it is to amass capital and use it to fill a specific need. A small firm, filling a market niche, can grow to become a major taxpayer and employer in a region. The firm is structured to make the most of both human and natural resources to both make a profit and serve the local demand. The firm and kindred economic organizations, like banks, are the lifeblood of economic development.
Job Creation * Businesses serve the community not merely by providing needed services or goods, but also in creating jobs and careers. In turn, this creates a group of trained, productive personnel who can serve as the backbone of the local community, serving as an example to others and spending their money in the local economy.
Fiscal Policy * Developing a strong sense of entrepreneurship and small business will discipline the state. If business begins to thrive in an area, developing it economically, the state will benefit through prosperity and high tax receipts as a result. This means that the state will have to behave itself, maintaining sound money, moderate interest rates and predictable legal environments to keep the tax money coming in. In other words, the development of business means that the state must maintain a business-friendly climate locally. A successful business class creates a strata of the population with a vested interest in keeping the state disciplined and well
Submitted By: John Francis A. Ypil
Submitted To: Francis Arguelles
The term "Business Organization" refers to how a business is structured. The business organization is defined in the bylaws when the business is formed with the name and contact information of those who own and run the company with their roles defined. The bylaws state the purpose of the organization and what it does. A sole proprietorship does not have bylaws because one person owns and controls the business.
Capital Mobilization * The purpose of the firm is to mobilize resources. Put less abstractly, it is to amass capital and use it to fill a specific need. A small firm, filling a market niche, can grow to become a major taxpayer and employer in a region. The firm is structured to make the most of both human and natural resources to both make a profit and serve the local demand. The firm and kindred economic organizations, like banks, are the lifeblood of economic development.
Job Creation * Businesses serve the community not merely by providing needed services or goods, but also in creating jobs and careers. In turn, this creates a group of trained, productive personnel who can serve as the backbone of the local community, serving as an example to others and spending their money in the local economy.
Fiscal Policy * Developing a strong sense of entrepreneurship and small business will discipline the state. If business begins to thrive in an area, developing it economically, the state will benefit through prosperity and high tax receipts as a result. This means that the state will have to behave itself, maintaining sound money, moderate interest rates and predictable legal environments to keep the tax money coming in. In other words, the development of business means that the state must maintain a business-friendly climate locally. A successful business class creates a strata of the population with a vested interest in keeping the state disciplined and well