Republic of the Philippines

Eulogio “Amang” Rodriguez

Institute of Science and Technology
Cavite Campus
General Mariano Alvarez, Cavite

Industrial Organization and Management

INDORMAN
Name: AQUINO, MARICAR A. Assignment 1
BSIT DT-3B

1. Differentiate the three kinds/classification of business

The 3 types of business are the sole proprietorship,
limited liability company (LLC), and corporation.
2. Discuss the main purpose of going into business.
The main purpose of a business is to maximize profits for
its owners or stakeholders while maintaining corporate
social responsibility.Because it is the purpose to create a
customer, any business enterprise has two and only two
basic functions: marketing and innovation.
3. Give the possible positive and negative impacts to business
operations for each of the following direct action elements
of external environment:
a. Customer- satisfaction / bad service
b. Supplier- fast transaction / delayed transaction
c. Competitors- innovation / exhaust resources
d. Financial institutions- Good source of finance / hidden
risk involved.
e. Government agencies- create subsidies / low economic
growth.
4. Give the possible positive and negative impacts to business
operations for each of the following indirect action
elements of external environment:
a. Technological variables- technological innovation /
expensive
b. Economic variables- increase in money supply / recession
c. Socio-economic variables- income / poor outcomes
d. Political-legal variables- taxation / unstability
e. International variables- boost exports / damaging
domestic industries