MGM101H5 Lecture 5: MGM101-week5

• School: UTM
• Department: Management
• Course: MGM101H5
• Professor: Anthony Mayadunne

Document Summary

Increased consumer spending (key economic driver) increased corporate profits and government tax revenues increased capital spending and government expenditures. Economic expansion employment expansion real wage gains purchasing power which outstrips inflation: economic recession. Increased consumer spending: decreased economic spending (key economic driver) decreased corporate profits and governmental tax revenues decreased capital spending and government expenditures. Industrial competitors: competitions among the existing firms, at centre of other 4 (separate from their influences) If sole proprietor dies, incapacitated, or retires, the business no longer exists, unless sold or taken over by heirs: possibly pay higher taxes. If business income exceed ,000, will usually pay higher tax: tax rates is more advantageous if the business is incorporated. Corporate governance: refers to the process and policies that determine how an organization interacts with its stakeholders-both internal and external. Increase of complaints about franchisors that deliver little or nothing of what they promised.