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Industry and Environmental Analysis

The document discusses different types of business organizations including sole proprietorships, partnerships, corporations, and cooperatives. It defines small, medium, and large scale businesses based on total asset values. Finally, it lists tools for evaluating a business such as analyzing the industry's geographic area, size and outlook, products, buyers, regulations, leading businesses, and growth factors.

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Ericson R. Ornales
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688 views10 pages

Industry and Environmental Analysis

The document discusses different types of business organizations including sole proprietorships, partnerships, corporations, and cooperatives. It defines small, medium, and large scale businesses based on total asset values. Finally, it lists tools for evaluating a business such as analyzing the industry's geographic area, size and outlook, products, buyers, regulations, leading businesses, and growth factors.

Uploaded by

Ericson R. Ornales
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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INDUSTRY AND

ENVIRONMENTAL
ANALYSIS: BUSINESS
OPPORTUNITY
IDENTIFICATION
Business
• A small portion of an industry.
• It is an undertaking of a person, group of
persons who are partners, or of stakeholders
who own a juridical entity known as
corporation.
• Its main objective is to earn profit for the
owners.
• An industry is the aggregation of different
businesses engaged in the same line of
undertaking.
Business Organizations
1. Sole Proprietorship
• Generally, it is the simplest way to set up a
business. It is owned by a single individual
who is singly responsible for running the
business and is accountable for all debts and
obligations related to the business.
2. Partnership
• It is an agreement in which two or more
persons combine their resources in a
business with a view to making profit.
• There are two types of partnership:
• General
• Limited
• General partnership – all owners share the
management of the business and each is
personally responsible for and must assume the
consequence of the actions of the partners.
• Limited partnership – some members are
general partners who control and manage the
business and may be entitled to a greater share
of the profit while other partners are limited
and contribute only capital, take no part in
control or management, and are liable for
specific extent only.
3. Corporation
• A legal entity that is separate from its
owners, the stakeholders. No
stakeholder is personally liable for
debts, obligations or acts of corporation.
4. Cooperative
• An entity organized by people with
similar needs to provide themselves
with goods or services or to jointly use
available resources to improve their
income.
SMALL, MEDIUM & LARGE SCALE
BUSINESSES
• Small Scale Business – with total
assets of P1, 500, 001 to P15, 000, 000.
• Medium Scale Business – with total
assets of P15,000,000 to P60, 000, 000.
• Large Scale Business – with total
assets of P60, 000, 000 and above
TOOLS in EVALUATING
A BUSINESS
• According to a guide developed by North Carolina’s
Small Business and Technology Development
Center, the key factors that must be considered in
analyzing the industry are the following:
• Geographic area
• Size and outlook of the industry
• Description of the product
• Buyers
• Regulatory environment
• Need to identify the leading businesses in the industry
• Factors that will affect the growth of the business.

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