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Other Organizations Chapter 8, section 4

Other Organizations Chapter 8, section 4. Bellringer. Some organizations exist not to make a profit but to help the public. Write down some examples of organizations whose goal is to help the public in some social, cultural, or economic way. How does the organization help?

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Other Organizations Chapter 8, section 4

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  1. Other OrganizationsChapter 8, section 4

  2. Bellringer • Some organizations exist not to make a profit but to help the public. • Write down some examples of organizations whose goal is to help the public in some social, cultural, or economic way. • How does the organization help? • How does the organization raise money?

  3. Business Franchise • A business franchise is a semi-independent business that pays fees to a parent company in return for the exclusive right to sell a certain product or service in a given area.

  4. Characteristics of a Franchise • Franchisers develop products and business systems • Then local franchise owners help to produce and sell those products. • Franchises allow owners a degree of control • As well as support from the parent company.

  5. Is a Franchise Right For You? Advantages Disadvantages High franchising fees and royalties Strict operating standards Purchasing restrictions Limited product line • Management training and support • Standardized quality • National advertising programs • Financial assistance • Centralized buying power

  6. Cooperatives • A cooperative is a business organization owned and operated by a group of individuals for their shared benefit. • Consumer • Service • Producer

  7. Consumer Cooperative • Retail outlets owned and operated by consumers are called consumer cooperatives • Also called purchasing cooperatives. • Consumer cooperatives sell their goods to their members at reduced prices. • Book Clubs, Health Food Stores, Price Clubs

  8. Service Cooperative • Cooperatives that provide a service, rather than goods • Discounted insurance • Banking service • Health care • Legal help • Babysitting services

  9. Producer Cooperatives • Agricultural marketing cooperatives that help members sell their products. • Growing crops and raising livestock • These goods are marketed for the highest prices possible

  10. Non-Profit Organizations • Institutions that function like business organizations • But do not operate for profits • Nonprofit organizations are exempt from federal income taxes.

  11. Professional Organizations • Non-profit organizations that work to improve the image, working conditions, and skill levels of people in particular occupations. • National education Association for Public Schools • American Veterinary Professionals • Bar Association for Lawyers

  12. Business Associations • Non-profit organizations that promote the business interests of a: • City • State • other geographical areas • A group of similar businesses. • The Better Business Bureau • Sponsored by local businesses • Protects consumers by promoting fair and ethical markets

  13. Trade Associations • Nonprofit organizations that promote the interests of particular industries. • The American Marketing Association • Tries to improve a firm’s image

  14. Labor Unions • Non-profit organizations whose aim is to improve: • Working conditions • Hours • Wages • Fringe benefits. • Teacher’s Union, UAW

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