Page 719 - Business Principles and Management

Glossary

team building Getting people to believe U individuals and organizations on its
in the goals of the company and work computers for a fee.
well together to accomplish them. underground economy Income that is what-if decisions Explore the conse-
not recorded in the GDP.
team organization Business structure quences of specific choices using com-
that divides employees into permanent Unemployment insurance A state- puter software.
work teams. managed program that provides wholesalers Businesses that buy prod-
temporary income to individuals who
telecommunications (data communica- ucts from businesses and sell them to
tions) A system involving the electronic have been laid off from their jobs. retailers or other businesses.
movement of information from one unity of command A law or guideline wholly owned subsidiary When a firm
location to another location. which states that no employee has more sets up a business abroad on its own
than one supervisor at a time.
telecommute Working from home or without any partners.
on the road, staying in contact with the unlimited financial liability Liability of wide area network (WAN) A network
employer electronically. each member of a partnership for all the of linked computers that covers a wide
debts of the business.
telemarketing Marketing goods and geographic area.
services by telephone. unsecured loan A loan that is not backed win/lose strategy A strategy in which
by collateral.
term loan Medium- or long-term no one compromises, thereby result-
financing used for operating funds unsought goods Products that many ing in one person winning and one
or the purchase or improvement of customers will not shop for because losing.
fixed assets. they do not have a strong need for the work coach Experienced manager who
product.
time deposits (certificates of deposit or meets regularly with a new manager to
CDs) Deposits made for a specified pe- utility The ability of a good or service provide feedback and advice.
riod of time that cannot be withdrawn to satisfy a want. work rules Regulations created to main-
early without some financial penalty. tain an effective working environment.
time plan A compensation plan which V work schedules Schedules identifying
pays a certain amount for a specified variable interest rate An interest rate the tasks to be done, employees as-
period of time worked. that can increase or decline based on signed to the work, and the time frame
trade credit Short-term financing the factors used to adjust the rate. for completion of each task.
obtained by buying goods and services variance The difference between current work team A group of individuals who
that do not require immediate payment. performance and the standard. cooperate to achieve a common goal.
trade discount A special deduction from venture capital Financing obtained workers’ compensation Insurance
the list price that is given to certain from an investor or investment group provided by employers for the death,
types of buyers, such as wholesalers or that lends large sums of money to injury, or illness of employees that
retailers, because the buyers perform promising new or expanding small result from their work.
certain functions for the seller. companies. working capital The difference between
trademark A distinguishing name, sym- virtual corporation A network of com- current assets and current liabilities.
bol, or special mark placed on a good panies that form alliances among them- World Bank International institution
or service that is legally reserved for the selves to take advantage of fast-changing that provides low-cost, long-term
sole use of the owner. market conditions. loans to less-developed countries to
trading bloc An arrangement between vision A broad, lasting, and often inspi- develop basic industries and facilities.
two or more countries to remove all rational view of a company’s reason for World Trade Organization (WTO)
restrictions on the sale of goods and existing. International organization that creates
services among them while imposing VoIP (Voice over Internet Protocol) and enforces rules governing trade
barriers to trade and investment with Using the Internet for telephone services. among countries.
countries that are not part of the bloc.
World Wide Web (WWW, Web) Makes
transfer The assignment of an employee W the Internet accessible to the average
to another job in the company that person.
involves the same type of responsi- wages Compensation paid on an hourly
bility and authority. basis.
transporting Moving goods from where warehouses Buildings used to store Z
they were made to where consumers large quantities of products until they zoning Regulations that specify which
can buy them. can be sold. land areas may be used for homes and
Treasury instruments Securities issued Web-hosting service A private busi- which areas may be used for different
by the U.S. government. ness that maintains the Web sites of types of businesses.

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