Required informationSkip to questionBusiness Ownership: Zingerman's Deli This activity is important because there are three primary forms of business ownership—sole proprietorship, partnership, and corporation—each with advantages and disadvantages. These forms are the most often used, regardless of whether the business is a traditional "bricks-and-mortar" company, an online-only one, or a combination of both. Other forms of ownership that are increasingly popular include joint ventures, S corporations, and limited liability companies. The goal of this exercise is to demonstrate your understanding of the progression of a small business from a partnership into a corporation. Read the case below and answer the questions that follow. Part I: Paul Saginaw and Ari Weinzweig opened Zingerman's deli in 1982 in Ann Arbor, Michigan. With a reputation for great service and tasty specialty foods, Jewish dishes, and sandwiches, the little deli grew into a local institution with annual sales of $ 5 million in just eight years. The firm also gained praise for helping support local charities and for their Food Gatherers service, which provided food to those in need. Zingerman's became world renowned, thanks to glowing reviews in the New York Times, Bon Appétit, Esquire, and many other publications. Part II: Despite the accolades, the owners felt the maturing deli had run out of steam in 1992. Employees, frustrated by the lack of advancement opportunities, were leaving, and competitors were beginning to take a bite out of the deli's business. Saginaw and Weinzweig recognized that Zingerman's had arrived at the same crossroads as countless other small businesses: remain the same and risk stagnation, or grow aggressively and risk sacrificing the qualities that had made the deli so successful. Weinzweig in particular had detested the idea of franchising Zingerman's copies in far-flung cities where it would be difficult to maintain the firm's reputation for quality. Part III: So, after much research and debate, Saginaw and Weinzweig created the Zingerman's Community of Businesses (ZCoB), a collective of businesses, all with Zingerman's name and centralized marketing and administrative functions, but with their own products, identities, and managing partner/owner. Partner/owners and employees note that they have been drawn in by Zingerman's environment – one promoting passion for food, community, and opportunity. ZCoB today includes eight small firms and was even named Inc. Magazine's "Coolest Small Company in America." Not bad for a company in a strong growth mode while retaining all the elements that made it world famous for its unique culture, exceptional service, and products of the highest quality.Even after growing from a partnership to a multi-divisional corporation, Zingerman's had the culture of Multiple Choicea large company.a small company.a joint venture.a competitive franchise.

Required informationSkip to questionUltra Motor Company Limited and the E-Bike This activity is important because there are three primary forms of business ownership—sole proprietorship, partnership, and corporation—that are the most often used, regardless of whether the business is a traditional "bricks-and-mortar" company, an online-only one, or a combination of both. A business's legal form of ownership affects how it operates, how much taxes it pays, and how much control its owners have. The goal of this exercise is to demonstrate your understanding of the decisions facing the managers of a small business as it grows. Read the case below and answer the questions that follow. We have heard of electric cars, but electric bikes? The bicycle industry is finding new ways to be environmentally friendly with the introduction of bikes that allow riders to travel without releasing carbon emissions or even breaking a sweat. Electric bikes (e-bikes) are equipped with a motor and battery. With each pedal stroke, the motor provides additional power, allowing riders to pedal without expending as much energy as they do with conventional bicycles. Typical e-bikes have a maximum speed of 25 mph and cost from $ 500 to $ 3,000. E-bikes are more common in bicycle cultures, like many in Asia and Europe, but they are also breaking into America. Americans bought 170,000 e-bikes in 2008 and around 200,000 in 2009, and sales are expected to continue to increase. Best Buy even introduced e-bikes in some of its stores. Schwinn has come out with the motto "Save the world without killing your knees" to advertise its line of e-bikes, playing up the e-bike's environmental friendliness and ease of use. Schwinn offers the high-end Tailwind, with batteries that charge in under 30 minutes. Other companies are focusing on e-bikes specifically. One such company is Ultra Motor Company Limited, a private corporation and developer of light electric vehicles. Its product, the A2B Metro, can go for 20 miles on a charge. This 100 percent electric vehicle resembles a mix of a scooter and a bicycle. Unlike motorcycles, this e-bike's motor is quiet, allowing for peaceful commutes. The e-bike could very well be the answer urban commuters are looking for. Its zero carbon emissions make it a good deal for those who care about the environment, those who have a hard time finding parking, and those who simply want to get more exercise.An advantage to Ultra Motors' business formation as a corporation isMultiple Choiceunlimited liability.double taxation.perpetual life.information disclosure.

Which form of business ownership is characterized by the ease of transferring ownership?Sole proprietorshipGeneral partnershipCorporationLimited liability partnership

Required informationSkip to questionHershey Foods: May Melt Your Heart This activity is important because it discusses long-term financing, which can occur through equity, or the owners' investment in an organization. Sole proprietors and partners own all or a part of their businesses outright, and their equity includes the money and assets they have brought into their ventures. Corporate owners, on the other hand, own stock or shares of their companies, which they hope will provide them with a return on their investment.The goal of this exercise is to demonstrate your understanding of ownership of public corporations. Read the case below and answer the questions that follow. Part I. Milton Hershey was not only interested in innovative candy making, he also wanted to help the members of the community. An example of his concern for the community was the founding of a home for orphan children, the Hershey Industrial Schools (now called the Milton Hershey School) in 1909. Many of the children who attended the school became Hershey employees, including former Hershey chairman William Dearden (1976–1984). Today, the 10,000-acre campus houses and provides education for nearly 2100 financially and socially disadvantaged children. While the majority of MHS students are from Pennsylvania, over 25 percent of students hail from other states. Although Hershey remains a public corporation, the Milton Hershey School Trust, which financially supports the school, owns about 30 percent of Hershey Foods' total equity. Part II. The Milton Hershey Trust also owns 100 percent of the Hershey Entertainment and Resort Company, which operates a number of Hershey’s nonchocolate properties, including the Hershey Park theme park, the Dutch Wonderland theme park for younger children, the Hershey Hotel, the Hershey Lodge and Convention Center, the Hershey Bears, a minor league hockey team, Hershey's zoo, a four-course golf club, an outdoor sports stadium, and an indoor sports arena. Part III. Because Milton Hershey's original funding was the wise investment management by the trust managers, the assets of the Milton Hershey School Trust have grown to a value of more than $12 billion, which makes the school one of the wealthiest schools in the world. Milton Hershey was a visionary in terms of using a public corporation to support his philanthropic dreams.The selling of stock generates ____________ for the firm.Multiple Choiceretained earningsloanscapitalliabilities

Joel and Anika completely share in the management of their business. Both of them have unlimited liability for the debts of the business. Which form of ownership does their business have?Multiple Choicelimited partnershipS corporationsole proprietorshipgeneral partnership

Which form of business ownership is characterized by a single individual owning and operating the business?Question 10Answera.sole proprietorshipb.partnershipc.corporationd.cooperative