DECA Entrepreneurship Vocabulary with Complete Solutions

DECA Entrepreneurship Vocabulary with Complete Solutions acquisition: - Correct Answer The purchase of a company by another, larger firm, which absorbs the smaller company into its operations. board of directors: - Correct Answer A group of individuals elected by a firm's shareholders and charged with overseeing, and taking legal responsibility for, the firm's actions. business plan: - Correct Answer Document in which the entrepreneur summarizes her or his business strategy for the proposed new venture and how that strategy will be implemented. chief executive officer (CEO): - Correct Answer The person responsible for the firm's overall performance. co-operative: - Correct Answer An organization that is formed to benefit its owners in the form of reduced prices and/or the distribution of surpluses at year-end. common stock: - Correct Answer Shares whose owners usually have last claim on the corporation's assets (after creditors and owners of preferred stock) but who have voting rights in the firm. conglomerate merger: - Correct Answer A merger of two firms in completely unrelated businesses. corporate governance: - Correct Answer The relationship between shareholders, the board of directors, and other top managers in the corporation. divestiture: - Correct Answer Occurs when a company sells part of its existing business operations to another company.