Understanding Economic Systems, Business, and Manufacturing
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Economic Systems
Capitalist: Free market enterprise, private factors of production, and wage labor.
Socialist: No free enterprise market, state factors of production, and wage labor.
Mixed: Free enterprise market, mixed factors of production, and wage labor.
Basic Laws of the Market
- Anyone can buy or sell goods and services.
- There must be more than one company or individual offering the same goods and services.
- Mobility of production factors is essential.
Types of Markets
Perfect competition, monopoly, or oligopoly.
Business Structures
Legal Form:
- Single: (1 member)
- Sociedad Anonima (SA): (5+ members)
- Limited Liability Company (SL): (2-50 members)
- Civil Society: (2+ members)
- Corporate Society: (5+ members)
- Partnership: (2+ members)
- Limited Partnership: (5+ members)