#2015. Business Ownership

other, level: Senior
Posted Thu Nov 16 08:00:55 PST 2000 by Miss Gigliotti (xjqg@grove.iup.edu).
Student, N.Huntingdon, PA, United States
Materials Required: Computer Workstation
Concepts Taught: Understanding the different business types.

Season Gigliotti Grade Level: 10-12
Course: World of Business Lesson Title: Business Ownership

I. Objectives:

1. The students should be able to identify and define the three basic forms of private business ownership. This task will be accomplished with 95% accuracy on a worksheet.
2. The students will be able to identify two advantages and two disadvantages of each of the three forms of private business ownership. This task will be accomplished with 95% accuracy on multiple-choice worksheet.

II. Beginning Activities:

A. Preliminary Activities:
1. Setup and test equipment
2. Greet the class
3. Review of yesterday's lesson
4. Overview of today's lesson

B. Materials Needed:
1. Computer
2. PowerPoint presentation
3. Handouts of an outline for the chapter
4. Dry erase marker
5. Worksheets

III. Introduce:

A. Review Previous Lesson (3-5 minutes)
1. Hand back the worksheets from the previous lesson
2. Go over the worksheets
3. Ask questions about the main points of the previous lesson

B. Introduce Business Ownership (8-10 minutes) PPT-2
1. Begin by stating the three basic forms of private business ownership.
2. Ask if anyone's family owns or has owned their own business, and ask if they know what category that business would fall under.
3. Have the class split up into groups by counting off 1 through 4. Then ask each group to write down at least one example of what they think a Sole Proprietorship, Partnership, and Corporation are.

IV. Development:

A. Sole Proprietorship (8-10 minutes)
1. Definitions: PPT-3
a. Proprietor- the owner of a business or firm.
b. Sole proprietorship- a business owned by only one person. Examples: hair salons, drug stores, music store, fruit stands, flower shops, and antique stores.
2. Advantages: PPT-4
a. Ease of organizing
b. Control over profits
c. Control over operations
d. Pride of ownership
e. Lower Taxes
f. Ease of going out of business
3. Disadvantages: PPT-5
a. Unlimited liability
b. Difficulty in raising capital (money)
c. Responsibility for all losses
d. Long hours
e. Working with insufficient capital
f. Management knowledge

B. Partnerships (8-10 minutes)
1. Definitions: PPT-6
a. Partnership- business that two or more people own and operate for their own profit under a contractual agreement.
2. Advantages: PPT-7
a. More capital
b. Combined managerial skills
c. Established legal status
d. Tax advantages
e. Personal satisfaction
3. Disadvantages: PPT-8
a. Unlimited liability
b. Shared profits
c. Possible conflicts
d. Possible Instability
e. Difficulty in investment withdrawal

C. Corporations (8-10 minutes)
1. Definitions: PPT-9
a. Corporation- an organization owned by many people but treated by the law as though it were a legal entity (artificial being).
b. Legal entity- treated by the law as if it were a person.
2. Advantages: PPT-10
a. Limited liability
b. Greater Capital
c. Unlimited life
d. Specialized and professional management
3. Disadvantages: PPT-11
a. Increased Taxation
b. Difficulty in starting
c. Management problems
d. Increased government control

D. Percentages (2-3 minutes) PPT-12
1. Sole Proprietorships - 70%
2. Partnerships - 10%
3. Corporations - 20%
a. Even though the corporation is a smaller percentage of businesses, it accounts for the largest percentage of sales in the United States.

V. Review: (2-3 minutes) PPT-13
A. Ask the students follow-up questions.
B. Ask the students if they have any questions or comments about the three basic forms of business ownership.

VI. Application:

A. Review Worksheet (3-5 minutes) PPT-14
1. The students will complete a worksheet individually. The students will hand in the worksheet and will be corrected. The worksheet will be gone over the following day in class.
2. The students will be asked to each go to the library and select an article about a successful or unsuccessful business owner. They can use such sources as: Forbes, Fortune, Nation's Business, Incorporated, Business Week, or any other business publication. This will be for homework and is due a week from today. Each article will be discussed in class.

VII. Evaluation:
A. The students will be evaluated on:
1. How accurately they complete their worksheets
2. Class participation

VIII. Anticipated Difficulties:
A. Computer System is malfunctioning
B. PowerPoint is malfunctioning
C. PowerPoint presentation is missing
D. Copy machine is down
E. Failure to make copies of worksheets and outlines

IX. Solutions:

A. The instructor will make sure that each student is grasping the material by asking questions randomly throughout the class period. The instructor will go over the information after talking about each section before moving on. If students seem to be having trouble with the information the material will be discussed the following day.
B. The dry erase board could be used in place of the PowerPoint.
C. If time does not permit the worksheet will be taken home for homework or will be finished the following class.