ESB v.2 Domain 1 Entrepreneurship & Small Business Concepts exam questions and answers

B2B A business-to-business (B2B) commercial transaction between businesses B2C A business-to-consumer (B2C) transaction Brand recognition The level of familiarity one has with a brand Business Opportunity A situation an entrepreneur analyzes and evaluates to see if starting a sustainable, profitable business is feasible Business Plan A document that addresses the concept, customers, and capital for a business C Corporation A C corporation is a legal structure for a corporation in which the owners, or shareholders, are taxed separately from the entity. C corporations are also subject to corporate income taxation. The taxing of profits from the business is at both corporate and personal levels, creating a double taxation situation. CEO The Chief Executive Officer (CEO) holds a leadership role within a business. The CEO oversees a business's operations and resources and makes the major decisions for the company. CFO The Chief Financial Officer (CFO) holds a leadership role within a business. The CFO oversees a company's finances. Collaboration The action of working with one or more people toward a common goal. Commission A fee paid to an employee for completing a task. Compensation A monetary amount given to employees in return for their work. Confidentiality Agreement A signed agreement stating that an entity will not disclose information agreed upon by all parties in an arrangement. Contract An agreement between an employee and a company outlining obligations and terms of employment. COO The Chief Operating Officer (COO) holds a leadership role within a business. The COO is responsible for overseeing the day-to-day administrative and operational functions of a business. Copyright A form of protection individuals can implement to protect their intellectual property. Copyright is designated for print, music, film, and various other forms of creative licenses. Critical Thinking Using one's mind to solve a problem in the best way by considering various potential solutions to the problem. Customer An individual or business that purchases goods and services from a business. Employee An individual hired by a company and compensated for their work. Entrepreneur An individual who aspires to start and run a successful business. Willing to explore new opportunities and unknown risks. Equity Non-cash compensations offered to employees in place of or in addition to a lower salary. Ethical Practices Standards of professional conduct professionals should uphold. Forward-Thinking Mentality Thinking about and planning for the future. Founder The person that developed or created a company or organization. Franchise A business that takes its name and characteristic