Describe the organizational forms a company might have as it evolves from a start-up to a major corporation. List the advantages and disadvantages of each form.

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Phoenix Kim

Business

21 November, 15:58

Describe the organizational forms a company might have as it evolves from a start-up to a major corporation. List the advantages and disadvantages of each form.

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Delilah Farley · Answer 1

The following are the organizational forms a company might have as it evolves from a start-up to a major corporation and the advantages and disadvantages of each form.

A sole proprietorship: Advantage: Single ownership and concentrated decision making authority; Disadvantage: Risk of permanent bankruptcy. Partnership: Advantage: Shared responsibilities; Disadvantage: Conflicts over financial issues. Corporation: Advantage: Multiple investors; Disadvantage: Large shares in profit. Multinational company: Advantage: Large network; Disadvantage: Increased operational costs.

Saniya Myers · Answer 2

A sole proprietorship: Advantage: Single ownership and concentrated decision making authority; Disadvantage: Risk of permanent bankruptcy.

Partnership: Advantage: Shared responsibilities; Disadvantage: Conflicts over financial issues.

Corporation: Advantage: Multiple investors; Disadvantage: Large shares in profit.

Multinational company: Advantage: Large network; Disadvantage: Increased operational costs.