Business and Revenue in Georgia

Business and Revenue in Georgia March 31, 2014

Entrepreneurs • Georgia is home to many entrepreneurs who have developed many nationally known businesses • An ______________ is a person in a market economy who takes a risk and opens a business • They are willing to risk their limited __________ to produce these goods and services in hopes of earning a profit • _________ is the amount left after all production costs have been subtracted • Many businesses suffer losses and can _____, so this is a very ________ thing for an entrepreneur to do because they can lose their _________

Entrepreneurs in Georgia • Georgia entrepreneurs include: • John Pemberton, Asa Candler, and Robert Woodruff: _____________ • C.E. Woolman: _________ Airlines • Owen Cheatham: __________________ • Bernie Marcus and Arthur Blank: _____________ • Ted Turner: CNN • Alonzo Herndon: Atlanta Life Insurance • Truett Cathy: Chick-fil-A

Coca-Cola Beginnings • First developed in the mid-1800s by “Doc” John _______________, Coca-Cola was originally called French Wine Cola and contained a high amount of _________ • When the temperance movement swept through Georgia, Doc Pemberton __________ the formula to remove the alcohol and named it after its’ two main ingredients – the ______ plant and the _____ nut • It was a ________, when mixed with water, that was used to treat headaches and sold for 25 cents a bottle

Coca-Cola Grows • One day, a customer at a drugstore bought some syrup and asked to have it mixed up with water in the store so he could drink it right away • The pharmacy worker mixed it with ______ water instead of tap water and the customer liked it better • Within ________, other drugstores began mixing it that way and production grew to over ______ gallons a year

Asa Candler • In the late 1800s, _____________, a pharmacist, bought Coca-Cola’s stock from Pemberton • In 1892, Candler formed the _______________________, which gained him much wealth because of the popularity of the drink • In 1919, Candler sold the company to Ernest Woodruff for $25 million

Robert Woodruff • In ______, Robert, Ernest Woodruff’s son, became president of the company • He turned the company into a ______________ dollar business with clever _______________ and advertisements • In ______, he built bottling plants in Europe to give American soldiers a taste of home while at war • Europeans also began drinking Coca-Cola and its popularity spread around the _________ • Today, Coca-Cola products are enjoyed by over 470 million people worldwide every day

Delta Airlines Beginnings • In 1924, a ________________ company, Huff Daland Dusters, was formed in Macon by C.E. Woolman • In 1925, its headquarters was moved to Monroe, LA where a group of businessmen bought it and renamed it Delta Air Service • It continued its crop dusting service but also bought 5 ____________ planes and began carrying passengers in 1929 between Dallas, TX and Jackson, MS • In 1934, it started a _______________ to Atlanta, and moved its headquarters to Atlanta in ______

Delta Grows • During WWII, Delta contributed to the war effort by training _______ and modifying some of its planes for use by the __________ • In 1945, the name changed to Delta Air Lines • In 1953, it merged with Chicago and Southern Airlines, then Northeast Airlines in 1972 and Western Airlines in 1987 • It expanded its ________ and in the 1990s, added _______________ flights

Delta Today • Today, Delta has contributed to the _______ of Atlanta by offering a wide range of flight ________ to business flyers and vacation flyers • It merged with Northwest Airlines in 2008 to form one of the largest airlines in the U.S. • It offers service to _______ destinations than any other global airline

Georgia-Pacific Beginnings • Founded in 1927 by Owen Cheatham as the Georgia Hardwood Lumber Co. in _____________ • Over the years, the company __________ and changed its name to Georgia-Pacific in 1956 • It moved its headquarters for a while to Portland, OR, but moved to Atlanta in ________

Georgia-Pacific Today • Today, it manufactures a number of __________ products to consumers – Brawny, Dixie cups, and Quilted Northern • It employs about 50,000 people around the world and has _________ facilities in Georgia

Home Depot Beginnings • The first Home Depot stores were opened by ___________________________ in Atlanta in 1979 • Within the first ____ years, stores opened in Florida, Louisiana, Texas, and Alabama • Stores originally stocked about 25,000 products

Home Depot Today • Today, the stores stock about 40,000 products and have ______ stores around North America and China • Marcus and Blank, though retired from Home Depot, continue to be ________ in the Atlanta area • Both provide financial support to many ___________, Blank owns the ___________, and Marcus donated $200 million to build the _____________________

State Government Revenue • All of these businesses create __________ (income) for Georgia by charging ____________ on their products and paying ______________ on their profits • ________ are the major source of revenue for the state, but _________ funds and ______________ also provide revenue

Where do revenues come from? • About _____ of Georgia’s revenue comes from taxes (personal income tax, sales tax, gas tax, cigarette and alcohol tax, property tax) • Federal funds come from the ______ government and special fees come from different _________________

Expenditures and the Budget • Each year, a plan for ___________ the revenues (expenditures) is created • An _________ budget is passed by the General Assembly during their yearly session to cover a _______________ (a budgetary spending year) • An ___________ budget is often needed later in the fiscal year to keep the budget ____________ • Sometimes, a _________________ budget is used to change the original budget when ______ spending is needed or ______ funds are available

Local Government Revenue • _______ governments also collect most of their ___________ from ______ • Property taxes, sales taxes, and cigarette and alcohol taxes contribute • _______ such as business licenses and car tags also contribute

Distribution of Revenues • The state and local governments provide ___________ to the citizens paid for with the ___________ • At the ________ level, the largest expenditure is for ______________ • Other expenditures include salary for government employees, public safety, and transportation • ________ governments also make expenditures for education, plus police and fire protection, libraries, water service, and parks

Scarcity • All governments face issues of _________ (when our needs are unlimited and revenues are limited) • Lawmakers often have to ________ which services they can provide with __________ revenues • In times like this, the most essential expenditures are essential services to the citizens like __________ and ___________ services

1) What is an entrepreneur? 2) What is profit? 3) Why is being an entrepreneur risky? 4) Who developed the original Coca-Cola syrup? 5) What is Coca-Cola named after? 6) Who formed the Coca-Cola Company in 1892? 7) How did Robert Woodruff turn Coca-Cola into a multi-billion dollar company? 8) Where and how did Delta Airlines start? 9) When did Delta’s headquarters move to Atlanta? 10) How did Delta contribute to the WWII effort? 11) When did Delta add international flights? 12) How did Delta contribute to the growth of Atlanta? 13) How did Georgia-Pacific start? 14) What products does Georgia-Pacific make? 15) Who opened the first Home Depot stores? 16) How do Marcus and Blank contribute to the city of Atlanta? Questions…

17) What is revenue? 18) What is the major source of state revenue? 19) What are other sources of state revenue? 20) What are expenditures? 21) What is a fiscal year? 22) What are 3 types of budgets and what are they for? 23) Where do local governments get their revenues? 24) What is the largest expenditure at the state level? 25) What do local governments make expenditures for? 26) What is scarcity? 27) What are the essential expenditures in times of scarcity? More Questions…

Business and Revenue in Georgia