II Reading and Speaking

Exercise 6. Skim the text A and be ready to answer the following questions:

1. What is a business?
2. What are main types of businesses?
3. What are main forms of businesses?
4. What is the main objective of any business?

Text A

Notes:

1. inputs- фактори виробництва

2. outputs –продукт вироблення

3. charities - доброчинна діяльність

A business is an organization in which basic resources, called inputs, are processed to provide goods or services, called outputs to customers. People who are engaged in business activity are called e ntrepreneurs or b usinessmen. There are three different nature and types of businesses that are operated with the purpose of earning profit.

1. Service Business. This type of business operation provides services to its customers. It includes the following:

• Professionals such Lawyers, Doctors, Accountants, Engineers, etc.
• Hospital
• Hotel and Lodging
• Transportation
• Entertainment
• Banking

2. Merchandising Business. This type of business operation sells products to its customers. They don’t make the products they sell. It includes the following:

• General merchandise such as grocery store and retail business
• Toy stores
• Electronic stores

3. Manufacturing Business. This type of business operation converts basic inputs, such as materials, labor into finished products which are sold to customers. It includes the following:

• Computer and electronic manufacturer
• Car, trucks and vans manufacturer
• Shoe and clothes manufacturer
• Canned goods manufacturer

A business is always owned by someone. It can have a number of different forms of ownership depending on the aims and objectives of the owners. Most businesses aim to make profit. There are three main forms of business organization: sole proprietorships, partnerships and corporations ( public or private ). Some organizations however will be ‘not-for-profit’, such as charities or government-run corporations.