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Analyzing the Dual Role of Government in Business: Encouragement and Discouragement in India

This review explores the intricate relationship between government policies and business dynamics in India. It examines how government regulation can either encourage or discourage business initiatives, impacting various organizational structures. We delve into the nature of risks associated with different business models, exploring the distinction between risky and less risky ventures. Understanding the role of corporations in this context is essential for aspiring entrepreneurs and policymakers. This comprehensive analysis serves as a guide to navigating the Indian business landscape.

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Analyzing the Dual Role of Government in Business: Encouragement and Discouragement in India

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Presentation Transcript

  1. REVIEW JEOPARDY
  2. Government Discouraging Business
  3. Government Encouraging Business
  4. Business in India
  5. Basic business organizations
  6. Risky & not so risky
  7. The Corporation
  8. Government Discouraging Business Government Encouraging Business Business in India Risky or not so risky The Corporation Basic Business organizations $100 $100 $100 $100 $100 $100 $200 $200 $200 $200 $200 $200 $300 $300 $300 $300 $300 $300 $400 $400 $400 $400 $400 $400 $500 $500 $500 $500 $500 $500
  9. This term refers to govt. policies/actions that make it more difficult to trade across borders.
  10. What are trade barriers?
  11. This type of tax is based on the “ability to pay”
  12. What are progressive taxes?
  13. This is a tax placed on a product traded internationally
  14. What is a tariff or duty?
  15. Limiting the quantity or monetary amount of a product that can be imported from a given country
  16. What is a quota?
  17. This action involves a host nations government confiscating foreign owned property & assets
  18. What is expropriation?
  19. Designated area where products can be imported duty free
  20. What is a free-trade zone?
  21. This designation is given to certain countries that allow their products to be imported under the lowest customs duty rates
  22. What is most favored nation status?
  23. This arrangement between nations eliminates duties and trade barriers on products traded among its members
  24. What is a free-trade agreement?
  25. Member nations eliminate duties and other trade barriers to allow both investments and workers to move freely across borders
  26. What is a common market?
  27. This action, used as an enticement, allows a company to avoid paying its corporate tax obligation if it invests in a particular country
  28. What is a tax holiday?
  29. An entire facility is moved overseas to a new location
  30. What is Offshoring?
  31. Referred to as the “Silicon Valley” of India
  32. What is Bangalore?
  33. This enormous Indian corporation is the nations largest manufacturer of automobiles
  34. What is the Tata Corporation?
  35. Most lucrative of shifts for call center work
  36. What is the cemetery shift?
  37. Call centers are one example of this business tactic to “farm out” certain components of a business to a more cost effective world region
  38. What is outsourcing?
  39. This type of business is owned and operated by a single person
  40. What is a sole proprietorship?
  41. This refers to when business owners personal assets can be used to pay off any debts of the business
  42. What is unlimited liability?
  43. This is the difference between monies taken in and payment for all business expenses
  44. What is net income or Profit?
  45. Each year, this form of business accounts for at least 90% of all sales in the United States
  46. What is a corporation?
  47. This form of business ownership accounts for more than 70% of all businesses run in the United States
  48. What is the sole proprietorship?
  49. Another name for indirect exporting
  50. What is casual or accidental exporting?
  51. This form of business organization is established primarily to offer it’s membership specific services
  52. What is a cooperative?
  53. This business relationship allows for an entire business process to be emulated- It involves a significant initial outlay of money to purchase the right to run this business in a specific manner
  54. What is franchising?
  55. Selling to foreign markets with specific purpose and intent
  56. What is direct exporting?
  57. This process involves the negotiated use of intellectual property by other companies for the purpose of manufacturing related products
  58. What is licensing?
  59. This financial instrument is really nothing more than a pledge or promise to pay back a loan along with specified interest payments
  60. What is a bond?
  61. Equity investments are also known as these….
  62. What are stocks or shares
  63. This kind of stock is typically more expensive, less volatile and pays a dividend.
  64. What is preferred stock?
  65. This kind of stock has voting rights, is extremely volatile to changes in the market place and represents ownership in a corporation
  66. What is common stock?
  67. This problem revolves around a potential conflict of interest between board of directors and shareholders
  68. What is the Principal-Agent dilemma?
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