1.

The economic system is made up of people with basic needs that they must
satisfy to survive. We depend on other persons or businesses to make goods and
services, that need for our consumption. A business organization is a firm, a
company or a business that makes, buys or sells goods, or provides services, to
make a profit. Businesses vary in size, like corporations, big business and small
companies. For most people the corporation the ideal way to organize business.
Large companies operating in many countries are multinationals. Big business is
that makes usually a lot of money. Small companies which do not employ many
people and earn relatively little money. We can also call a small business, like a
small, to medium, or sized business. (An enterprise is a company or business
often a small one. It may be called so to emphasize its risk-taking nature.)
Commerce(комерс) refers(риферс) to the activities and procedures involved in
buying and selling things. When we start a some business we talk about setting
up a business or establishing a business. New businesses are often called start-
ups. After that we talk about being in business or running a business. To do
business, it means to trade or deal with a company or country. It’s not easy to
organize a business and to operate it successfully. When a company is not
successful, it may go out of business. (The economic situation, as well as
decisions taken by the owners of a company, affect how it grows and changes.
You may expand your business, specialize in something, you may also diversify
your business.)

2. Businesses that produce a particular type of product or provide particular

services are a part of the industry, which can be classified according to the
industry in which they work. The sector is a part of the country's economic
activity. Production sectors of the economy consist of primary, secondary and
tertiary sectors. The primary sector consists of industries that produce raw
materials, the secondary sector of industries that produce things from raw
materials, and the tertiary sector of industries that provide services. The
enterprise can belong to both the state and private individuals. Private companies
work in the private sector. It includes large corporations, SMEs (small and
medium-sized enterprises) and self-employed individuals. Private enterprise
allows individuals in society to pursue(песью) their own interests without
government regulation or restrictions. Organizations owned and managed by the
state belong to the public sector. The public sector is controlled or financially
supported by the government. It includes schools and hospitals, railways, post
offices and much more. When a private company is bought by the state and
brought into public sector, it is nationalized. A nationalized company is state-
owned. Privatization is the return of the company by the state to the private
sector in a sell-off. Companies responsible for the supply of electricity, water
and gas are often the first.

3. Within each industry there can be a variety(вераіті) of types of business

organization, each with their own legal(лигел) structure. In unlimited
liability(лайебілиті) companies the owners are personally and entirely(ентаелі)
liable for the debts of the company. This means they may lose their personal
assets if the company is in financial difficulties. Unlimited liability companies
are subdivided into sole traders and partnerships. Sole proprietorship is a type of
business organization owned and run by one person and partnerships is a firm
run by two or more partners who share the risks and profit. A lot of professional
people like lawyers(лоєрс), accountants and so on, work in partnerships. What
about limited liability company, In this type of company the owners are liable
only for the amount of money they have invested in the business. This type of
company is often quite small, and includes many family – run businesses.
Limited liability companies are subdivided into private limited companies and
public limited companies. A private limited company is a company which has
shareholders (people who own the wealth of a company) but which cannot offer
its shares to the public, and public-limited company is a company whose shares
can be bought and sold (publicly traded) on the stock exchange.

4. As businesses expand they may buy shares in other companies, or join with
other companies for a particular purpose. There are different relationships these
companies can have with one another. A group is a number of subsidiary
companies operating under one leading company known as the parent company.
A subsidiary is a company that is half or wholly owned by another company
known as the parent company. A holding company is one that holds all, or more
than half of, the stakes in one or more subsidiaries. It is the leading company in a
group. The parent company controls its subsidiaries through its capital interests.
An associated company is a company in which between 20% and 50% of the
shares are owned by another company or group. A conglomerate is a group
consisting of a lot of different companies in different businesses run as one large
company. When two or more companies decide to work together, they form a
joint venture. In such cases, the two companies involved remain separate legal
entities. A consortium is a group of companies which come together to undertake
a project which any one of the members cannot carry out alone.
5. Generally, companies merge or acquire other companies to better control a
certain market, diversify their business, strengthen (стренгсен) their operations
and remain profitable. When two companies come together, usually voluntarily,
they merge into one company in an agreement known as a merger. To buy
another company or to win a controlling share of a company is take over a
company. There are two types of takeover: a hostile (хостл) takeover and a
friendly takeover. A hostile takeover is a situation in which a company is bought
out when the owners do not want to sell. And a friendly takeover takes place
when a company is willingly bought out. Persons or companies that want to take
over other companies are called raiders. Companies have different types of
protection against hostile takeovers. They can try to find a white knight – another
company they would like to acquire. Or they can use poison pill protection,
which involves issuing(ішуін) new shares at a big discount. But it makes the
takeover more expensive. When someone wants to buy a company, he must
make a bid for it, that is, offer to buy it at a certain price. What about a buyout is
the purchase (петчез) of a company usually by buying the majority of shares,
especially by its management or staff.

6. In business organizational structure means the relationship between position

and people who hold these positions.
The structure of organizations varies greatly according to the nature of the
business and there are several factors which influence this structure: the number
of locations and employees, the economic sector, the type of a market in which
they operate, the type of customers and others. There exist three levels of
management: top management, middle management and supervisory
management, like Supervisor, Team Leader or Section Chief. Top management
set a direction for the organization and aim to inspire employees with their vision
for the company’s future, middle management develop detailed plans and
procedures based on the firm’s overall strategy and supervisory managers are
responsible for assigning (есайнін) non-managerial (менеджіріел) employees to
specific jobs and evaluating their performance. The company is run by a Board
of Directors; each Director is in charge of a department. However, the chairman
of the board, a person who holds many top positions, has overall control and
cannot be the head of any department. The Board is responsible for policy
decisions and strategy, the Managing Director is the head of the company, who
has overall responsibility for the running of the business. People at the head of
an organization are often called top managers. Most companies have Finance,
Sales, Marketing, Production, Research and Development and Personnel
Departments. These are the most common departments, but some companies
have others as well.

7. Work plays a major part in most people’s lives. All kinds of people work in
business, and the terms "businessman" and "businesswoman" reflect this,
referring to a wide range of people, from the rich and famous to small business
owners, from people in large organizations to the self-employed. Businessmen
and women are referred(ріфьод) to together as businesspeople. Successful
businesspeople, especially heads of large organizations are called business
leaders. Many people choose to be self-employed or to work freelance for
several employers. A freelancer does not work for an organization, but is paid
for each job done by the organization for which he does it. Many employers
respond by increasing(інкрісін) the number of fixed-term contracts and part-
time workers. We can also speak about permanent or temporary job. In large
organizations, administration of people is done by the personnel department, but
now we are more often called human resources. The human resources
department of the company performs the important function of selecting people
for work and is responsible for planning, recruitment(рікрутмент) of new
people, training and development of personnel, personnel evaluation,
welfare(фелфе) and others. Some companies regularly move their employees
between teams or departments and call it job rotation. Job security is knowing or
feeling that a job will last for a long time.

8. For many companies, their people are their main asset. «Human Resources»
means people, the skills and experience they bring to an organization. An
employer is a person or company that provides job. The boss is usually the
employer or the owner of the company, or simply someone who is in a higher
position. The person who runs a specific part of an organization is called a
manager. An executive is usually a manager at quite a high level. Someone who
is in charge of making sure a job is well done, for examle factory floor, or in
retailing, is sometimes called a supervisor. People working for a company are
referred to as its workforce, employees, staff or personnel and are on its payroll.
Payroll is the list of all the people employed by a company, and the amount of
money paid to each of them. Professionals or people who perform various office
jobs are white-collar workers, while manual workers in factories, on building
sites, etc. are called blue-collar workers. And someone who works with you in
your job is your colleague.
9. Personnel departments are usually involved in finding new staff and recruiting
them. Recruitment is the process of employing new people. A company may
advertise a vacancy in newspapers or may contact an employment agency, a
private company looking for a job, when they need to recruit or employ new
staff. Headhunters are specialist consultants who search for high-level executives
and try to persuade them to leave their current job in order to go to work in
another company. Executives can usually be persuaded to change companies by
the promise of a large sum of money or other financial enticement. Jobseeker is a
person who is looking for a job and if you are such a person and you are
interested in a specific position, you can decide to apply for the job. The first
step is to get an application form and a job description from the company. The
next is to complete the form and return it with your resume, which is a summary
of your work history, education and skills. After that, you need to explain why
you want this job and why you are the right person for it. By doing this, you
have become an applicant. The company's personnel department will look at all
the candidates, and if you are on the list of the most suitable, you will definitely
be invited to an interview.

10. Now, in business, there are many types of interviews and they have different
forms ranging from traditional one-to-one interview to panel interview. A panel
interview is when a group of interviewers interview several candidates, where
the candidates have to demonstrate how they can handle real cases or business
situations. Also, the atmosphere at the interview can vary from informal to
official and from benevolent to sadistic. But anyway an interview is a formal
meeting between a candidate and people from the company, where the candidate
is the interviewee and the representatives of the company are the interviewers.
After that, the interviewers will check the references of the prospective
candidates, but for this they also ask for a letter about the candidate from the
previous employer. Interviewers then select the best candidate for the job and
offer him or her the position. The candidate accepts or declines the job offer.
After the official appointment of a person to work, an employment contract is
concluded, in which working conditions and salary are agreed. Also, new
employees of the company often go through a probationary period, so that the
employer can decide whether this person is suitable and whether he should be
allowed to continue working.