Business Essentials 13e - 2022 PDF

business essentials This page intentionally left blank business essentials THIRTEENTH EDITION Ronald J. Ebert Ricky W. Griffin Please contact https://support.pearson.com/getsupport/s/ with any queries on this content Cover Images by toodesign/Shutterstock; bearsky23/Shutterstock; and kor...

business essentials This page intentionally left blank business essentials THIRTEENTH EDITION Ronald J. Ebert Ricky W. Griffin Please contact https://support.pearson.com/getsupport/s/ with any queries on this content Cover Images by toodesign/Shutterstock; bearsky23/Shutterstock; and kornn/Shutterstock. Copyright © 2022, 2019, 2016 by Pearson Education, Inc. or its affiliates, 221 River Street, Hoboken, NJ 07030. All Rights Reserved. Manufactured in the United States of America. This publication is protected by copyright, and permission should be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise. For information regarding permissions, request forms, and the appropriate contacts within the Pearson Education Global Rights and Permissions department, please visit www.pearsoned.com/ permissions/. Acknowledgments of third-party content appear on the appropriate page within the text. PEARSON, ALWAYS LEARNING, and MYLAB are exclusive trademarks owned by Pearson Education, Inc. or its affiliates in the U.S. and/or other countries. Unless otherwise indicated herein, any third-party trademarks, logos, or icons that may appear in this work are the property of their respective owners, and any references to third-party trademarks, logos, icons, or other trade dress are for demonstrative or descriptive purposes only. Such references are not intended to imply any sponsorship, endorsement, authorization, or promotion of Pearson’s products by the owners of such marks, or any relationship between the owner and Pearson Education, Inc., or its affiliates, authors, licensees, or distributors. Library of Congress Cataloging-in-Publication Data Names: Ebert, Ronald J., author. | Griffin, Ricky W., author. Title: Business essentials / Ronald J. Ebert, Ricky W. Griffin. Description: Thirteenth edition. | New York, NY : Pearson, | Includes bibliographical references and index. Identifiers: LCCN 2020051760 | ISBN 9780136862680 (hardcover) Subjects: LCSH: Industrial management—United States. | Business enterprises—United States. Classification: LCC HD70.U5 E2 2022 | DDC 658—dc23 LC record available at https://lccn.loc.gov/2020051760 ScoutAutomatedPrintCode ISBN 10: 0-13-686268-3 ISBN 13: 978-0-13-686268-0 For Sutton, who may one day be in charge of everything! —R. W. G. This page intentionally left blank brief contents Preface xix About the Authors xxvii PART 1 The Contemporary Business World 1 The U.S. Business Environment 2 2 Understanding Business Ethics and Social Responsibility 34 3 Entrepreneurship, New Ventures, and Business Ownership 70 4 Understanding the Global Context of Business 102 Part 1: Integrative Learning Portfolio 132 PART 2 Managing the Business 5 Managing the Business 136 6 Organizing the Business 168 7 Operations Management and Quality 196 Part 2: Integrative Learning Portfolio 234 PART 3 People in Organizations 8 Employee Behavior and Motivation 238 9 Leadership and Decision Making 272 10 Human Resource Management and Labor Relations 300 Part 3: Integrative Learning Portfolio 334 PART 4  rinciples of Marketing: Building Relationships with P Customers for Competitive Advantage 11 Marketing Processes and Consumer Behavior 338 12 Developing and Pricing Products 372 13 Distributing and Promoting Products 402 Part 4: Integrative Learning Portfolio 432 PART 5 Managing Information for Better Business Decisions 14 Information Technology (IT) for Business 436 15 The Role of Accountants and Accounting Information 468 Part 5: Integrative Learning Portfolio 502 PART 6 The Financial System and Issues in Financial Management 16 Understanding Money and the Role of Banking 506 17 Managing Business Finances 538 Part 6: Integrative Learning Portfolio     vii 574 viii    Brief Contents Appendices Appendix I: Risk Management 579 Appendix II: The Legal Context of Business 583 Appendix III: Managing Your Personal Finances 589 Appendix IV: Unions and Labor Management 601 Glossary 617 Index 637 contents Preface xix The Law and the Real World 38 About the Authors xxvii Individual Values and Morals 38 Business and Managerial Ethics 38 Assessing Ethical Behavior 40 Part 1 T  he Contemporary Business Company Practices and Business Ethics 42 World Social Responsibility 44 The Stakeholder Model of Responsibility 45 1 The U.S. Business Entrepreneurship and New Ventures: Paying a Living Wage 46 Environment 2 Contemporary Social Consciousness 47 Chapter Opening Case: Reinventing an American Areas of Social Responsibility 48 Icon 4 Responsibility Toward the Environment 48 Business, Profit, and the External Environment 6 Finding a Better Way: Mission Zero 49 Business and Profit 6 Responsibility Toward Customers 51 The External Environments of Business 7 Responsibility Toward Employees 54 Finding a Better Way: Saving the World One Camp Responsibility Toward Investors 55 Stove at a Time 8 Implementing Social Responsibility Programs 55 Economic Systems 10 Approaches to Social Responsibility 56 Factors of Production 10 Social Responsibility and the Small Business 58 Types of Economic Systems 12 The Government and Social Responsibility 58 Entrepreneurship and New Ventures: Luxury on a How Governments Influence Business 59 Budget 13 How Business Influences Government 59 The Economics of Market Systems 15 Managing Social Responsibility 60 Demand and Supply in a Market Formal Organizational Dimensions 61 Economy 15 Informal Organizational Dimensions 61 Private Enterprise and Competition in a Market Evaluating Social Responsibility 62 Economy 17 Managing in Turbulent Times: Unintended Economic Indicators 19 Consequences of Doing the Right Thing 63 Economic Growth, Aggregate Output, and Standard of summary of learning objectives key terms Living 20 questions & exercises building a business: Economic Stability 23 continuing team exercise team exercise Managing in Turbulent Times: Coronavirus: exercising your ethics cases endnotes The Global Economic Impact of Disease 25 Managing the U.S. Economy 26 3 Entrepreneurship, New Ventures, Developing Skills in Your Career 27 and Business Ownership 70 summary of learning objectives key terms Chapter Opening Case: Staying Ahead of the questions & exercises building a business: Curve 72 continuing team exercise team exercise exercising your ethics cases endnotes What Is a Small Business? 73 The Importance of Small Business in the 2 Understanding Business Ethics U.S. Economy 73 Popular Areas of Small Business Enterprise 75 and Social Responsibility 34 Finding a Better Way: The Rise of the Gig Chapter Opening Case: EpiPen: Balancing Morals Economy 76 and Profits 36 Entrepreneurship 77 Ethics in the Workplace 37 Entrepreneurship Goals 77 Individual Ethics 37 Entrepreneurial Characteristics 78     ix x    Contents Starting and Operating a New Business 78 Barriers to International Trade 123 Understanding Distinctive Competencies 79 Economic Differences 123 Crafting a Business Plan 80 Legal and Political Differences 123 Starting the Small Business 80 summary of learning objectives key terms Financing the Small Business 82 questions & exercises building a business: continuing team exercise team exercise Trends, Successes, and Failures in New Ventures 83 exercising your ethics cases endnotes Trends in Small Business Start-Ups 83 Entrepreneurship and New Ventures: Small Part 1: Integrative Learning Portfolio 132 Investment, Big Payoff 85 Crafting a Business Plan 132 Reasons for Failure 86 Case: Ford Motor Company 133 Reasons for Success 86 Finding Your Path: Careers in Business 135 Noncorporate Business Ownership 87 Sole Proprietorships 87 Partnerships 88 Cooperatives 89 Part 2 Managing the Business Corporations 89 The Corporate Entity Types of Corporations 90 91 5 Managing the Business 136 Chapter Opening Case: Alphabet Soup 138 Managing in Turbulent Times: The Changing Winds The Management Process 139 of Fortune 92 Basic Management Functions 139 Managing a Corporation 93 The Science and the Art of Management 142 Special Issues in Corporate Ownership 93 Becoming a Manager 143 summary of learning objectives key terms questions & exercises building a business: Types of Managers 144 continuing team exercise team exercise Levels of Management 144 exercising your ethics cases endnotes Areas of Management 145 Entrepreneurship and New Ventures: Innovations 4 Understanding the Global in Management 146 Context of Business 102 Management Roles and Skills 147 Managerial Roles 147 Chapter Opening Case: Nothing Magical About Alibaba 104 Basic Management Skills 149 The Contemporary Global Economy 105 Strategic Management: Setting Goals and Formulating Strategy 151 The Major World Marketplaces 106 Setting Business Goals 151 Finding a Better Way: Car Wars: China Versus Mexico 108 Types of Strategy 153 Trade Agreements and Alliances 108 Finding a Better Way: Managing the Contingent Workforce 154 International Trade 111 Formulating Strategy 155 Balance of Trade 111 A Hierarchy of Plans 157 Balance of Payments 112 Contingency Planning and Crisis Exchange Rates 113 Management 157 Forms of Competitive Advantage 114 Contingency Planning 158 Managing in Turbulent Times: Brexit 2020 115 Crisis Management 158 International Business Management 116 Managing in Turbulent Times: When Data Disaster Going International 116 Strikes 159 Levels of International Involvement 117 Management and the Corporate Culture 159 Entrepreneurship and New Ventures: Women Building and Communicating Culture 160 Entrepreneurs Grow Global 118 Changing Culture 161 International Organization Structures 119 summary of learning objectives key terms Understanding the Cultural Environment 120 questions & exercises building a business: Values, Symbols, Beliefs, and Language 120 continuing team exercise team exercise Employee Behavior Across Cultures 121 exercising your ethics cases endnotes  Contents    xi 6 Entrepreneurship and New Ventures: Nothing Like Organizing the Business 168 a Home-Cooked Meal 208 Chapter Opening Case: The Skinny 170 Layout Planning 209 What Is Organizational Structure? 171 Quality Planning 211 Organization Charts 171 Methods Planning 211 Determinants of Organizational Structure 172 Operations Scheduling 212 Entrepreneurship and New Ventures: Sometimes The Master Operations Schedule 212 Flatter is Better 173 Detailed Schedules 213 The Building Blocks of Organizational Staff Schedules and Computer-Based Scheduling 214 Structure 173 Project Scheduling 214 Job Specialization 174 Operations Control 215 Departmentalization 175 Materials Management 216 Finding a Better Way: Inventing Holacracy 176 Quality Control 217 Establishing the Decision-Making Hierarchy 177 Quality Improvement and Total Quality Distributing Authority: Centralization and Management 218 Decentralization 177 The Quality-Productivity Connection 218 The Delegation Process 179 Managing for Quality 218 Managing in Turbulent Times: Keeping the Managing in Turbulent Times: Fasten Your Seat Organizational Tools Sharp 180 Belts, Please 219 Three Forms of Authority 181 Tools for Total Quality Management 220 Basic Forms of Organizational Structure 182 Adding Value Through Supply Chains 222 Functional Structure 182 The Supply Chain Strategy 223 Divisional Structure 182 Outsourcing and Global Supply Chains 224 Matrix Structure 183 Finding a Better Way: Social Responsibility in the International Structure 185 Supply Chain 224 New Forms of Organizational Structure 185 summary of learning objectives key terms Informal Organization 187 questions & exercises building a business: continuing team exercise team exercise Informal Groups 187 exercising your ethics cases endnotes Organizational Grapevine 187 Intrapreneuring 188 Part 2: Integrative Learning Portfolio 234 summary of learning objectives key terms Crafting a Business Plan 234 questions & exercises building a business: continuing team exercise team exercise Case: Ford Motor Company, 1909–1928 235 exercising your ethics cases endnotes Finding Your Path: Careers in Business 237 7 Operations Management and Part 3 People in Organizations Quality 196 Chapter Opening Case: Made from Scratch 198 8 Employee Behavior and What Does Operations Mean Today? 199 Motivation 238 Growth in the Services and Goods Sectors 200 Chapter Opening Case: Building a Culture of Creating Value Through Operations 201 Hospitality 240 Differences Between Service and Goods Manufacturing Forms of Employee Behavior 241 Operations 202 Performance Behaviors 241 Operations Processes 203 Organizational Citizenship 241 Business Strategy as the Driver Counterproductive Behaviors 242 of Operations 205 Managing in Turbulent Times: The Changing Faces The Many Faces of Production Operations 205 of Employee Rights 243 Operations Planning 206 Individual Differences Among Employees 243 Capacity Planning 207 Personality at Work 244 Location Planning 208 Attitudes at Work 247 xii    Contents Matching People and Jobs 249 Emerging Issues in Leadership 286 Psychological Contracts 249 Strategic Leadership 286 The Person-Job Fit 251 Ethical Leadership 286 Basic Motivation Concepts and Theories 251 Virtual Leadership 286 Classical Theory 251 Managing in Turbulent Times: Leadership Beyond Early Behavioral Theory 252 the Bottom Line 287 Entrepreneurship and New Ventures: The Leadership, Management, and Decision Opportunity to Begin Again 255 Making 288 Contemporary Motivation Theory 256 The Nature of Decision Making 288 Strategies and Techniques for Enhancing Rational Decision Making 290 Motivation 258 Behavioral Aspects of Decision Making 291 Reinforcement/Behavior Modification 259 summary of learning objectives key terms Using Goals to Motivate Behavior 259 questions & exercises building a business: continuing team exercise team exercise Finding a Better Way: It’s an Actual Circus Out exercising your ethics cases endnotes There 260 Participative Management and Empowerment 260 Work Teams and Team Structures Job Enrichment and Job Redesign 261 261 10  uman Resource Management H Modified Work Schedules and Alternative and Labor Relations 300 Workplaces 262 Chapter Opening Case: Putting Employees First 302 summary of learning objectives key terms The Foundations of Human Resource questions & exercises building a business: Management 303 continuing team exercise team exercise The Strategic Importance of HRM 303 exercising your ethics cases endnotes HR Planning 304 The Legal Context of HRM 306 9 Leadership and Decision Equal Employment Opportunity Compensation and Benefits 307 306 Making 272 Labor Relations 307 Chapter Opening Case: Leadership by Health and Safety 308 Design 274 Other Legal Issues 308 The Nature of Leadership 275 Staffing the Organization 309 Leadership and Management 275 Recruiting Employees 310 Leadership and Power 276 Selecting Employees 310 Early Approaches to Leadership 277 Compensation and Benefits 311 Trait Approaches to Leadership 277 Wages and Salaries 311 Behavioral Approaches to Leadership 278 Incentive Programs 312 The Situational Approach to Leadership 279 Benefits Programs 312 Leadership Through the Eyes of Followers 280 Finding a Better Way: Reinventing the Transformational Leadership 281 Workforce 313 Charismatic Leadership 281 Developing the Workforce 314 Entrepreneurship and New Ventures: Charisma Training and Development 314 and Message 282 Performance Appraisal 316 Special Issues in Leadership 282 Entrepreneurship and New Ventures: A Match Leadership Substitutes 283 Made by Artificial Intelligence 318 Leadership Neutralizers 283 New Challenges in the Changing Workplace 319 The Changing Nature of Leadership 284 Managing Workforce Diversity 319 Leaders as Coaches 284 Managing Knowledge Workers 320 Gender and Leadership 284 Contingent and Temporary Workers 320 Finding a Better Way: Women Leading the Way 285 Managing in Turbulent Times: The Union’s Job Is Cross-Cultural Leadership 285 Never Done 321  Contents    xiii Dealing with Organized Labor 322 B2B Buying Behavior 360 Unionism Today 322 Social Media and Marketing 361 Collective Bargaining 323 The International Marketing Mix 362 summary of learning objectives key terms Entrepreneurship and New Ventures: Farming questions & exercises building a business: Your Niche 363 continuing team exercise team exercise Small Business and the Marketing Mix 364 exercising your ethics cases endnotes Small-Business Products 364 Small-Business Pricing 364 Part 3: Integrative Learning Portfolio 334 Small-Business Distribution 365 Crafting a Business Plan 334 Small-Business Promotion 365 Case: Ford Motor Company, 1929–1947 335 summary of learning objectives key terms Finding Your Path: Careers in Business 337 questions & exercises building a business: continuing team exercise team exercise exercising your ethics cases endnotes Part 4 Principles of Marketing: Building Relationships with Customers for Competitive Advantage 12  eveloping and Pricing D Products 372 Chapter Opening Case: The Thirty-Thousand 11  arketing Processes and M Dollar Bag 374 Consumer Behavior 338 What Is a Product? 375 The Value Package 375 Chapter Opening Case: More Than Just Meatballs 340 Finding a Better Way: Free College for Everyone 376 What Is Marketing? 341 Classifying Goods and Services 376 Delivering Value 341 The Product Mix 378 Goods, Services, and Ideas 343 Developing New Products 379 Relationship Marketing and Customer Relationship Management 343 The New Product Development Process 379 The Marketing Environment 344 Entrepreneurship and New Ventures: Can Beds Come in Boxes? 380 Developing the Marketing Plan 347 Product Mortality Rates 380 Managing in Turbulent Times: A Santa Fe Icon 347 The Seven-Step Development Process 381 Marketing Strategy: Planning the Marketing Mix 349 Variations in the Process for Services 382 Marketing Strategy: Target Marketing and Market Segmentation 352 Product Life Cycle 383 Stages in the PLC 383 Identifying Market Segments 352 Extending Product Life: An Alternative to New Geographic Segmentation 352 Products 385 Demographic Segmentation 352 Identifying Products 385 Geo-Demographic Segmentation 353 Determining Prices 388 Psychographic Segmentation 353 Pricing to Meet Business Objectives 388 Behavioral Segmentation 353 Price-Setting Tools 389 Marketing Research 354 Pricing Strategies and Tactics 391 The Research Process 355 Pricing Strategies 391 Research Methods 356 Managing in Turbulent Times: The High Cost of Finding a Better Way: Reaping Rewards with Price Wars 393 Karma 357 Pricing Tactics 394 Understanding Consumer Behavior 357 International Pricing 395 Influences on Consumer Behavior 358 summary of learning objectives key terms The Consumer Buying Process 358 questions & exercises building a business: Organizational Marketing and Buying Behavior 359 continuing team exercise team exercise Business Marketing 359 exercising your ethics cases endnotes xiv    Contents 13  istributing and Promoting D Part 5 M  anaging Information for Better Business Decisions Products 402 Chapter Opening Case: Chaos Theory at Work 404 14 Information Technology (IT) for The Distribution Mix 405 Business 436 Intermediaries and Distribution Channels 405 Chapter Opening Case: Think Before You Click 438 Distribution Strategies 407 Information Technology Impacts: A Driver of Changes for Business 439 Channel Conflict and Channel Leadership 408 Creating Portable Offices: Providing Remote Access to Instant Information 439 Wholesaling 408 Enabling Better Service by Coordinating Remote Merchant Wholesalers 408 Deliveries 439 Agents and Brokers 409 Creating Leaner, More Efficient Organizations 440 The E-Intermediary 409 Enabling Increased Collaboration 440 Entrepreneurship and New Ventures: Dispensing Enabling Global Exchange 441 Hope 410 Providing Flexibility for Customization 441 Retailing 410 Providing New Business Opportunities 443 Types of Brick-and-Mortar Retail Outlets 410 Improving the World and Our Lives 443 Nonstore Retailing 411 IT Building Blocks: Business Resources 444 Finding a Better Way: The Store of the Future The Internet and Other Communication May Be Coming to You 412 Resources 444 Online Retailing 412 Networks: System Architecture 447 Physical Distribution 414 Entrepreneurship and New Ventures: Warehousing Operations 414 Speaking Loud and Clear: The Future of Voice Transportation Operations 415 Technology 449 Distribution Through Supply Chains as a Marketing Information Systems: Harnessing the Competitive Strategy 416 Power of IT 450 The Importance of Promotion 416 Leveraging Information Resources: Data Warehousing Promotional Objectives 416 and Data Mining 450 Promotional Strategies 417 Types of Information Systems 451 The Promotional Mix 417 Managing in Turbulent Times: Better Care, Advertising 418 Lower Costs 452 Personal Selling 420 IT Risks and Threats 454 Personal Selling Tasks 421 Hackers 455 Managing in Turbulent Times: The Last Identity Theft 456 Mile 421 Intellectual Property Theft 456 The Personal Selling Process 422 Computer Viruses, Worms, and Trojan Horses 457 Sales Promotions 422 Spyware 457 Direct (or Interactive) Marketing 423 Spam 457 Publicity and Public Relations 424 IT Protection Measures 458 summary of learning objectives key terms Preventing Unauthorized Access: Firewalls 458 questions & exercises building a business: Preventing Identity Theft 458 continuing team exercise team exercise Preventing Infectious Intrusions: Antivirus Software 458 exercising your ethics cases endnotes Protecting Electronic Communications: Encryption Software 459 Part 4: Integrative Learning Portfolio 432 Avoiding Spam and Spyware 459 Crafting a Business Plan 432 Ethical Concerns in IT 459 Case: Ford Motor Company, 1948–1965 433 Finding a Better Way: Gleaning Wisdom from the Finding Your Path: Careers in Business 435 World Wide Web 460  Contents    xv summary of learning objectives key terms questions & exercises building a business: Part 5: Integrative Learning Portfolio 502 continuing team exercise team exercise Crafting a Business Plan 502 exercising your ethics cases endnotes Case: Ford Motor Company, 1965–2008 503 Finding Your Path: Careers in Business 505 15  he Role of Accountants and T Part 6 T  he Financial System Accounting Information 468 Chapter Opening Case: CSI: Wall Street 470 and Issues in Financial What Is Accounting, and Who Uses Accounting Management Information? 471 Financial Versus Managerial Accounting Certified Public Accountants 472 471 16  nderstanding Money and U the Role of Banking 506 Private Accountants and Management Accountants 474 Chapter Opening Case: Where Did All the Money Forensic Accountants 474 Go? 508 Entrepreneurship and New Ventures: Skimming What Is Money? 509 Off the Top 476 The Characteristics of Money 509 Federal Restrictions on CPA Services and Financial The Functions of Money 510 Reporting: Sarbox 476 M-1: The Spendable Money Supply 510 The Accounting Equation 477 M-2: M-1 Plus the Convertible Money Supply 511 Assets and Liabilities 477 Credit Cards and Debit Cards: Plastic Money? 513 Owners’ Equity 478 The U.S. Financial System 513 Managing in Turbulent Times: U.S. Versus the Financial Institutions 513 World 479 The Growth of Financial Services 515 Financial Statements 479 Managing in Turbulent Times: Getting Serious with Balance Sheets 479 Credit Standards 517 Income Statements 481 How Financial Institutions Create Money and Are Statements of Cash Flows 483 Regulated 517 The Budget: An Internal Financial Statement 484 How Money Is Created 518 Reporting Standards and Practices 485 How Banks Are Regulated 518 Revenue Recognition and Activity Timing 485 The Federal Reserve System 519 Full Disclosure 485 The Structure of the Fed 519 Analyzing Financial Statements 486 Finding a Better Way: A Better Way to Pay? 520 Solvency Ratios: Borrower’s Ability to Repay The Functions of the Fed 521 Debt 486 The Tools of the Fed 522 Profitability Ratios: Earnings Power for Owners 487 The Changing Money and Banking System 523 Activity Ratios: How Efficiently Is the Firm Using Its Government Intervention for Stabilizing the Resources? 487 U.S. Financial System 523 Bringing Ethics into the Accounting Equation 488 Anticrime and Antiterrorism Regulations 524 AICPA’s Code of Professional Conduct 488 The Impact of Electronic Technologies 524 Violations of Accounting Ethics and GAAP 489 Entrepreneurship and New Ventures: Managing Finding a Better Way: Analytics and the Future of a Risky Business 526 Auditing 490 International Banking and Finance 526 Internationalizing Accounting 490 Currency Values and Exchange Rates 527 International Accounting Standards Board 491 The International Payments Process 529 Why One Set of Global Practices? 491 International Bank Structure 529 summary of learning objectives key terms summary of learning objectives key terms questions & exercises building a business: questions & exercises building a business: continuing team exercise team exercise continuing team exercise team exercise exercising your ethics cases endnotes exercising your ethics cases endnotes xvi    Contents 17  anaging Business M Part 6: Integrative Learning Portfolio 574 Finances 538 Crafting a Business Plan 574 Case: Ford Motor Company, 2008–Present 575 Chapter Opening Case: Fire On the Ground 540 Finding Your Path: Careers in Business 577 Maximizing Capital Growth 541 The Time Value of Money and Compound Growth 541 Common Stock Investments 542 Appendices Investing to Fulfill Financial Objectives 543 Reasons for Investing 544 Appendix I: Risk Management 579 Most Mutual Funds Don’t Match the Market 544 Coping with Risk 579 Exchange-Traded Funds 545 Insurance as Risk Management 580 Entrepreneurship and New Ventures: Social Capital Is Making the World a Better Place 545 The Business of Trading Securities 546 Appendix II: The Legal Context of Primary and Secondary Securities Markets 546 Business 583 Stock Exchanges 546 The U.S. Legal and Judicial Systems 583 Nonexchange Trading: Electronic Communication Types of Law 583 Networks 548 The U.S. Judicial System 584 Individual Investor Trading 549 Business Law 585 Tracking the Market Using Stock Indexes 550 Contract Law 585 Finding a Better Way: Finding a Way to Fund Life Tort Law 585 After Work 552 Property Law 586 The Risk–Return Relationship 553 Agency Law 587 Investment Dividends (or Interest), Appreciation, Commercial Law 587 and Total Return 554 Bankruptcy Law 587 Fantasy Stock Markets 555 Managing Risk with Diversification and Asset The International Framework of Business Law 588 Allocation 555 Financing the Business Firm 556 Appendix III: Managing Your Secured Loans for Equipment 556 Personal Finances 589 Working Capital and Unsecured Loans Building Your Financial Plan 589 from Banks 557 Assessing Your Current Financial Condition 590 Angel Investors and Venture Capital 558 Developing Your Financial Goals 591 Sale of Corporate Bonds 558 Making Better Use of the Time Value of Becoming a Public Corporation 560 Money 592 Going Public Means Selling Part Ownership Planning for the “Golden Years” 592 of the Company 560 Time Value as a Financial-Planning Tool 593 Managing in Turbulent Times: Winners and Losers 561 Conserving Money by Controlling It 594 Stock Valuation 561 Credit Cards: Keys to Satisfaction or Financial Handcuffs? 594 Market Capitalization 562 Save Your Money: Lower Interest Rates and Faster Choosing Equity Versus Debt Capital 563 Payments 594 Regulating Securities Markets 565 Financial Commitments of Home Ownership 595 The Securities and Exchange Commission 565 How Much House Can You Afford? 595 Regulations Against Insider Trading 565 Cashing Out from Tax Avoidance (Legally) 598 summary of learning objectives key terms The IRA Tax Break 598 questions & exercises building a business: continuing team exercise team exercise Protecting Your Net Worth 598 exercising your ethics cases endnotes Why Buy Life Insurance? 599  Contents    xvii What Does Life Insurance Do? 599 The Future of Unions 605 How Much Should I Buy? 599 Contemporary Union Structure 606 Why Consider Term Insurance? 599 Locals 606 How Much Does It Cost? 600 Laws Governing Labor-Management Relations 607 Appendix IV: Unions and Labor The Major Labor Laws 607 Management 601 How Unions Are Organized and Certified 609 Collective Bargaining 611 Why Do Workers Unionize? 601 Reaching Agreement on Contract Terms 611 The Evolution of Unionism in the United Contract Issues 611 States 601 When Bargaining Fails 613 Early Unions 602 Administering a Labor Agreement 614 The Emergence of the Major Unions 602 endnotes Unionism Today 603 Trends in Union Membership 604 Glossary 617 Trends in Union-Management Relations 604 Index 637 Trends in Bargaining Perspectives 605 This page intentionally left blank preface Wearing the Hats There’s an old adage about people wearing different “hats.” This usually means that people have different roles to play in different settings. For example, your roles may include student, child, spouse, partner, employee, friend, and/or parent. Each of these roles needs a different hat—when you play the role of a student, for example, you wear one hat, but when you go to your part-time job, you put on a different hat. From the perspective of business, there are a variety of different hats that you might wear: The Employee Hat. One hat is as an employee working for a business. Many people wear this hat during the early stages of their career. To wear the hat successfully, you will need to understand your place in the organization—your job, how to work with others, and so on. You’ll begin to see how to best wear this hat as you study organizing business enterprises in Chapter 6 and how organizations manage people in Chapter 10, as well as in several other places in this book. The Employer or Boss Hat. It is also likely that one day other people will be work- ing for you. You’ll still have your own job responsibilities, of course. But you’ll now also need to know how to manage other people—how to understand, lead, and motivate them and the social and legal parameters that affect how you deal with them. Chapters 3, 5, 8, and 9 provide information about how you can best wear this hat, although the manager’s hat runs throughout the entire book. The Consumer Hat. Even if you don’t work for a business, you will still wear the hat of a consumer. Whenever you fill your car at Shell, buy an airline ticket from Delta and charge it on Visa, order a new backpack from Amazon, buy clothes at H&M, or stream a movie on Netflix, you’re consuming products created by busi- ness. To wear this hat effectively, you need to know how to assess the value of what you’re buying, your rights as a consumer, and so on. We discuss how you can best wear this hat in Chapters 4, 7, 11, 12, and 13. The Investor Hat. The final business hat is that of an investor. You may buy a business or work for a company that lets you buy its stock. You may also invest in companies by buying their stock or shares of a mutual fund. For you to invest wisely, you must understand some basics, such as financial markets, business earn- ings, and the costs of investment. Chapters 4, 15, 16, 17, and Appendix III will help you learn how to best wear this hat. Many people wear more than one of these hats at the same time. Regardless of how many hats you wear or when you may be putting them on, it should be clear that you have in the past, do now, and will in the future interface with many businesses in dif- ferent ways. Knowing how to best wear all these hats is what this book is all about. New to This Edition Chapter Updates All facts, figures, and examples have been updated throughout the book to reflect the most current information available. Similarly, all of the end-of-chapter material has been revised and updated. Integrated coverage of the 2020 COVID-19 pandemic and resulting economic fallout has also been integrated throughout the book. Detailed chapter-by-chapter updates are summarized below.     xix xx    Preface Chapter 1 New Opening Case about Harley-Davidson New Entrepreneurship and New Ventures box about luxury items on a budget Finding a Better Way box updated All economic and financial data updated to the most current figures available Chapter 2 New Opening Case about EpiPens New Entrepreneurship and New Ventures box about the concept of living wages New and/or updated examples throughout Finding a Better Way box updated New Managing in Turbulent Times box about Honey Pot Chapter 3 Updated Opening Case about Netflix and Reed Hastings All data and related information about small businesses and business ownership updated to the most current figures available New Finding a Better Way box about the rise of the gig economy New Entrepreneurship and New Ventures box focusing on microfinance New Managing in Turbulent Times box about Shake Shack Chapter 4 New Opening Case about Jack Ma and Alibaba All data and related information about global business activity updated to the most current figures available Discussion of USMCA, the trade agreement between the United States, Mexico, and Canada that replaces NAFTA Updated discussion of Brexit Updated Finding a Better Way box about manufacturing in Mexico and China New Entrepreneurship and New Ventures box about women entrepreneurs in international business New Managing in Turbulent Times box about Brexit Chapter 5 Updated Opening Case about Alphabet and Google New Finding a Better Way box about managing the contingent workforce Updated Entrepreneurship and New Ventures box about Sal Kahn and Kahn Academy New Managing in Turbulent Times box about data breaches Chapter 6 New Opening Case about Spotify New Finding a Better Way box about Holacracy New Entrepreneurship and New Ventures box about flat organization structures Updated Managing in Turbulent Times box about Illinois Tool Works  Preface    xxi Chapter 7 Updated Opening Case about Cheesecake Factory Updated data and statistics about manufacturing and service sectors New Finding a Better Way box about social responsibility in the Patagonia supply chain Updated Entrepreneurship and New Ventures box about meal delivery services Updated Managing in Turbulent Times box about the airline industry Chapter 8 New Opening Case about Hilton Hotels Finding a Better Way box about Cirque du Soleil Updated Entrepreneurship and New Ventures box about entrepreneur Sophia Amoruso New Managing in Turbulent Times box about employee rights Chapter 9 Updated Opening Case about Brad Smith Updated Finding a Better Way box about Ruzwana Bashir, founder and CEO of Peek Updated Entrepreneurship and New Ventures box about John Paul DeJoria, a serial entrepreneur New Managing in Turbulent Times box about Howard Schultz, former CEO of Starbucks Chapter 10 Updated Opening Case about Wegman’s New Finding a Better Way box about NerdWallet New Entrepreneurship and New Ventures box about the role of artificial intel- ligence in HR Updated diversity statistics and data Chapter 11 New Opening Case about IKEA New Finding a Better Way box about the Expensify Card Updated Entrepreneurship and New Ventures box about small-acreage farming New Managing in Turbulent Times box about Iconik, a Santa Fe coffee shop Chapter 12 New Opening Case about marketing luxury handbags New Finding a Better Way box about the State University of New York’s efforts to provide free tuition for lower-income students New Entrepreneurship and New Ventures box about BedInABox Updated statistics about brand value Updated Managing in Turbulent Times box about Uber xxii    Preface Chapter 13 Updated Opening Case about product delivery innovations Updated statistics and data about online retailing and advertising expenditures New Finding a Better Way box about trends in retailing Updated Entrepreneurship and New Ventures box about Algramo Updated Managing in Turbulent Times box about the role of automation and ­robotics in logistics Chapter 14 Entire chapter substantially revised to reflect the very latest research and practice related to information technology Revised Opening Case about information security, especially as it relates to individuals Extended discussion of data mining Extended discussion of enterprise resource planning Revised Finding a Better Way box about crowdsourcing Revised Entrepreneurship and New Ventures box about voice recognition technologies Revised Managing in Turbulent Times box about the role of IT in health care Chapter 15 Updated Opening Case about accounting scandals Revised Finding a Better Way box about the role of analytics in auditing Updated statistics and data for all in-text examples Updated examples about unethical and/or illegal accounting practices Updated Entrepreneurship and New Ventures box about how weak financial ­control systems can hurt businesses New Managing in Turbulent Times box about differences in accounting standards between the United States and other countries Chapter 16 Updated statistics and data about M-1, M-2, and interest rates New Finding a Better Way box about Venmo Updated Entrepreneurship and New Ventures box about BlackRock Updated Managing in Turbulent Times box about credit standards Chapter 17 Updated Opening Case about Fogo de Chão Updated information about global stock exchanges Updated information about trends in bull and bear markets Revised Finding a Better Way box about pension plans and retirement planning New Entrepreneurship and New Ventures box about crowdfunding Updated Managing in Turbulent Times box about technological innovations in stock trading  Preface    xxiii New Features This edition also adds a new feature called Integrative Learning Portfolio found at the end of each part. The three elements in each of these features are intended to help integrate various topics across different chapters. One element is called Crafting a Business Plan. This element focuses on the various stages in developing a business plan. The second element is an integrative case focusing on Ford Motor Company. Over the course of all six parts of the book, this case illustrates all aspects of business as they relate to Ford. Finally, the third element is called Finding Your Path. This element looks at job market trends, starting sala- ries, and various career paths. In addition, they also each have an employability compo- nent that examines how students can improve their prospects for finding an attractive job. Cases As described above, all cases have been updated or replaced. Covering a wide variety of topics and organizations, including Spotify, Netflix, and Wegmans, these real-world cases introduce relatable topics that draw students into the content of each chapter. Nothing Magical About Alibaba I n September 2019 on his birthday and coinciding with the 20th anniversary of Alibaba, Jack Ma announced his retirement in a tearful speech to 80,000 Alibaba employees, during which he took the stage in a rock star costume, Maciej Bledowski/Alamy Stock Photo complete with wig and guitar. The path to that stage was a circuitous one. It took Ma Yun, aka Jack Ma, 4 years to pass the stringent entrance exams for college in China before he received a degree in English. He worked his way through graduate school, teaching English, to earn a degree in business but couldn’t land a job in the tough Chinese job market. In the mid-1990s, a trip to the United States opened his eyes to the opportunities emerging on the Internet. Back in China, he started building rudimen- tary websites for Chinese companies. Two failed business Busy Chinese consumers rely attempts later, in 1999, he founded what is now known as the Alibaba Group, a family on a variety of marketplaces for of online wholesale and retail companies. buying and selling goods. These include both traditional “physical” The empire began with Alibaba.com, a business-to-business platform that allowed markets as well as online markets even small businesses access to a vast network of sellers. Building upon this success, like Alibaba. Ma launched Taobao and Tmall.com, retail sites targeting the burgeoning Chinese middle class. One key to the success of these sites is Alipay, a financial services firm that provides safe transactions, accounting for as much as 80 percent of online Current Events sales. Through Alipay, money is held in escrow until the quality of goods is confirmed. This protection has helped to overcome concerns about subpar and fake goods and inadequate remedies through the Chinese legal system. The author has added new coverage of the COVID-19 pandemic and its economic In 1978, China moved away from its socialist roots, whereby the government (in the form of the Chinese Communist Party) owned the factories and farms, toward a more impact, social unrest, the withdrawal of Great Britain from the European Union, the free-market economy that China itself calls a “socialist market economy.” This rela- tively new version of China allows individuals to own property and own businesses 128 part 1 The Contemporary Business World in ways that had been previously restricted. Jack Ma was able to take advantage of increasing diversity of the labor force, the continuing impact of social media, trends both the growing socialist market economy and the increase of personal wealth in key terms China. Coupled with the rise of smartphone ownership in China, Alibaba transformed in information technology, and fluctuations in the U.S. economy. He has also added the way Chinese citizens shopped. In 2019, Alibaba accounted for 80 percent of China’s online shopping, and total sales dwarfed other e-commerce companies like absolute advantage (p. 114) foreign direct investment (FDI) (p. 120) outsourcing (p. 117) coverage of emerging new employment relationships. All data and statistics have also Amazon Association of Southeast Asian Nations and Agreement General eBay. on Tariffs and power orientation (p. 122) (ASEAN) (p. 110) Ma took the(GATT) Trade company public in September (p. 110) 2014, raising protectionism $25 billion overnight and (p. 124) balance of payments (p. 112) making him one of(p.the globalization 105)richest men in the world,quotadespite (p. 124) the fact that he is a Chinese been updated to the most current information available. balance of trade (p. 111) branch office (p. 119) citizen,goal andorientation the influx(p.of123) import (p. 105) to expand almost socialin capital from selling stock exponentially. orientation the United (p. 121) strategic alliance (p. 120) States allowed Alibaba business practice law (p. 125) importer (p. 117) subsidy (p. 124) cartel (p. 125) Marketing has played independent agent (p.a119)big part in the company’s success. China is experiencing a tariff (p. 124) comparative advantage (p. 115) high volume of unmarried international firm (p. 118)citizens, and Alibaba managed time orientation to(p. usurp 123) an informal holiday, End-of-Chapter Activities dumping (p. 125) embargo (p. 124) euro (p. 114) called licensing Singles arrangement Day, on November local content law (p. 125) Valentine’s Day. In firm multinational 2009, (p. 119) (p. 118) trade 11 each year deficit (p. (11.11), 111) that trade surplus (p. 111) marketing gurus at Alibaba uncertainty began is similar to the American launching orientation Double 11 deals (p. 123) European Union (EU) (p. 109) to bolster salescompetitive national during theadvantage lull before (p.Christmas, 116) and States–Mexico–Canada United they hit a magic button. Sales went Five kinds of chapter-ending involvement activities—to reinforce and practice the use exchange rate (p. 113) export (p. 105) through one 24-hour the American North roof, andFree (NAFTA) period, Alibaba (p. Alibaba 109) Tradetrademarked Agreement “Singles posted $17.8 billion Day.” (p. Agreement World TradeJust in sales. On109) Singles Day 2016, in just Organization 3 years later, the company of chapter concepts—are back by popular demand! exporter (p. 117) offshoring (p. 117) (WTO) (p. 110) more than doubled the 2016 record, with over $38 billion in sales in that 24-hour period, questions & exercises M04_EBER2680_13_SE_C04.indd 104 12/11/2020 14:43 QUESTIONS FOR REVIEW 4-7. Research and identify a protectionist tariff imposed by the United States. Do you support that tariff? If so, why? 4-1. What are the advantages and disadvantages of global- ization? Give examples. 4-8. Do you think that a firm operating internationally is bet- ter advised to adopt a single standard of ethical conduct 4-2. What are the three possible levels of involvement in or to adapt to local conditions? What are the advantages international business? Give examples of each. and disadvantages of adapting to local conditions? 4-3. What are the elements of national competitive advan- tage? Give a current, real-world example of each APPLICATION EXERCISES condition. 4-4. Describe the five international organizational structures. 4-9. Identify a manufactured product (car, bike, computer, etc.) you think is made in the United States. Do some research and try to determine where the component QUESTIONS FOR ANALYSIS parts are made. How much of your chosen product is 4-5. Make a list of five things you own, such as an item of actually made in the United States? List the parts and furniture, a vehicle, electronics, and other consumer their countries of origin and identify the competitive goods, making sure that each one was made in a dif- advantage that you believe each place holds. ferent country. Develop a hypothesis about why each 4-10. China is one of the fastest-growing markets in the product was made in that particular country. world. Use Web or database research to uncover how 4-6. Choose a current trade agreement or alliance and to best describe China according to the five cultural describe current events and their effect on international dimensions. Cite the sources for your information. trade between the parties. Solving Teaching building a business: and continuing team Learning exercise Challenges ASSIGNMENT Meet with your team members and discuss your new business venture within the context of this chapter. Develop specific 4-12. Are there likely to be any export opportunities for your products or services? Why or why not? If you are able to export your product, will it need to be adapted to sell in foreign markets? Many students who take Introduction to Business courses have difficulty seeing the responses to the following: 4-11. Are you likely to acquire any of your materials, prod- 4-13. To what extent, if any, will your new venture be affected by social and cultural differences, economic differences, relevance of course topics to their lives and future careers. This reduces the willing- ucts, or services from abroad? Why or why not? and/or legal and political differences across cultures? ness of many students to prepare for class and to be engaged during class. We use the following resources to engage students with the content and to highlight how M04_EBER2680_13_SE_C04.indd 128 12/11/2020 14:43 Introduction to Business is relevant and important for their employability and careers. xxiv    Preface “What’s in It for Me?” Students sometimes question the value of a particular major, class, or textbook. We have worked tirelessly to make sure that you see the value of this class and book. To help with this, each chapter opens with a special feature we call “What’s in It for Me?” This feature is intended to reinforce the notion of different roles, as described above. While each of the various roles—employee, employer, boss, consumer, and investor—are all important, this feature highlights some of the key implications for the different roles for each chapter. Understanding the Global Context of Business chapter 4 115 Applied Learning goods that it can produce Opportunities Comparative Advantage A country has a comparative advantage in more efficiently or better than other nations. If businesses Throughout BusinessComparative Advantage the ability to produce some products more efficiently than others Cases and nation Features in a given country can make computers more efficiently than they can make auto- mobiles, then that has a comparative advantage in computer manufacturing. Managing in Turbulent Times In general, both absolute and comparative advantages translate into competitive advantage. Brazil, for instance, can produce and market coffee beans knowing full well that few other countries have the right mix of climate, terrain, and altitude to enter the coffee bean market. The United States has comparative advantages in the Students learn from disappointments, challenges, and opportunities real compa- computer industry (because of technological sophistication) and in farming (because of large amounts of fertile land and a temperate climate). South Korea has a com- nies face. parative advantage in electronics manufacturing because of efficient operations and cheap labor. As a result of each country’s comparative advantage, U.S. firms export computers and grain to South Korea and import smartphones from South Korea. South Korea can produce food, and the United States can build smartphones, but each New features look at the effects of the COVID-19 pandemic, leadership in a virtual nation imports certain products because the other holds a comparative advantage in the relevant industry. world, and workplace bullying. National Competitive Advantage In recent years, a theory of national competitive advantage has become a widely accepted model of why managing in turbulent times Brexit 2020 The European Union was formed after World War II to foster economic cooperation. Being part of the single market gave businesses easy access to all 500 million customers in the member countries and allowed consumers and companies to purchase goods and services from across the continent Creativa Images/Shutterstock free of most tariffs and restrictions. It also allowed the rela- tively free movement of people across borders, much as the people of the United States are free to move from state to state. Even so, the British people had never been fully invested in the EU. In 2015, as part of his campaign for reelection, British Prime Minister David Cameron promised to put a referendum on the ballot asking voters to decide if they wanted to exit the European Union (EU). The outcome he hoped for was a Meanwhile, in 2019, the Trump administration renegotiated mandate from the public to remain with the EU, but on the day the long-standing North American Free Trade Agreement and of the vote, with a 72 percent turnout, 51.9 percent of voters rebranded it the United States–Mexico–Canada Agreement opted to leave. The pivotal issues turned out to be more socio- (USMCA). When NAFTA took effect in 1994, it transformed the logical than economic: mostly a British desire for sovereignty U.S. economy. It opened opportunities for businesses to seek and a fear of immigrants pouring into the country. Cameron, inexpensive labor. It also reduced prices for consumers and who had relied on the benefits of belonging to the EU as the created open access to products (particularly produce) from cornerstone of his administration, resigned his post. all three economies. The 2019 modification requires Mexico to In July 2016, the Queen appointed Home Secretary Theresa ensure higher wages and increased legal protections for work- May as prime minister, and the actual transition, now called ers, and also includes provisions that increase copyright, pat- Brexit, was left to her. After 3 years of struggling to broker a ent, and trademark protections to make them more consistent deal between the United Kingdom and the other members of and compatible with U.S. practices. the EU that would be acceptable to all parties, May resigned As the economic and political climates continue to change, and the PM spot went to Boris Johnson. On January 31, 2020, we see traditional, long-standing relationships, treaties, and the United Kingdom finally started its 11-month transition out trade organizations struggling to keep up, and the process is of the EU. not always neat and tidy, or even logical. Finding a Better Way M04_EBER2680_13_SE_C04.indd 115 12/11/2020 14:43 This boxed feature reveals examples of organizations that are “finding a better way” to meet business challenges and describes how they are doing it. 108 part 1 The Contemporary Business World finding a better way Car Wars: China Versus Mexico In today’s competitive global economy, businesses strive for Vario images GmbH & Co.KG/Alamy Stock Photo every possible advantage. Many manufacturers, for example, locate their factories in countries that have an ample supply of low-cost skilled labor. During the 1980s and 1990s, the place to be was Mexico. Hundreds of factories were built just across the U.S.–Mexican border, and workers streamed to the region from other parts of Mexico for stable and well-paying jobs. But in the late 1990s, the world started to shift. Mexican prosperity, fueled in part by its role as a center of manufacturing, led to increases in the cost of living, fol- lowed quickly by wage increases so workers could keep up. At about that same time, China began to emerge as an attrac- tive manufacturing alternative. Wages in China were roughly one-third the wages in Mexico, and there was no shortage of in the United States, causing what many deem to be an uneven workers eager to take steady jobs in factories making products playing field that takes jobs away from U.S. workers. for other countries. China’s boom was Mexico’s bust as one Because of these socioeconomic shifts, Mexico made company after another reduced or eliminated manufacturing enormous gains in the automobile sector. Companies such there and moved to Asia. as Nissan, Honda, Volkswagen, and Mazda invested billions In more recent years, the situation started to tilt back of dollars in Mexican companies, and by 2019 the country as in Mexico’s favor. As China’s economy flourished, its labor a whole was producing about 350,000 units a month, rivaling costs crept higher and higher, and when U.S. manufacturers production by China, even as the U.S. auto market was in a factored in shipping costs, producing auto parts in Mexico slump from too much inventory. By December, exports had once again became more cost effective. Time differences tanked, but just 2 months later, in early 2020, when COVID-19 between the United States and China also make phone and all but shut down China’s capacity to produce parts, video conferencing difficult. In addition, U.S. companies have Japanese and U.S. manufacturers turned full force to Mexico. taken flak for China’s business practices. Companies are often So, the battle for competitive advantage continues, and the heavily subsidized by the government, and low-paid workers back-and-forth nature of the industry and its resultant ups are not offered the same benefits and protections as workers and downs will likely continue for the foreseeable future. China, one of the world’s most densely populated countries, has also emerged as an important consumer market and now boasts one of the world’s largest econo- mies. Although its per capita income remains low, the sheer number of potential  Preface    xxv Entrepreneurship and New Ventures This updated boxed feature shows students entrepreneurs who have really made a difference, some in large firms, others in smaller start-up companies. 118 part 1 The Contemporary Business World entrepreneurship and new ventures Women Entrepreneurs Grow Global In 2008, Laurel Delaney started writing a blog, Women Entrepreneurs Grow Global, or wegg, focused on helping women entrepreneurs expand their businesses internationally. Delaney knew through personal experience that women-owned exporting businesses faced unique challenges. Inspired by an International Trade Centre report that “women-owned SMEs that export tend to earn more, pay more, employ more people and be more productive than firms that only operate domestically,” Delaney aimed to create a one-stop-shop resource where women could easily access educational resources. Laurel Delaney/WEGG In 2015, after observing that many of her clients were newer businesses with little extra funding for continuing edu- cation or start-ups, Delaney incorporated as a 501(c)(3) to take advantage of grant and sponsorship funding. She expanded her online reach with different platforms like webinars and social media with catchy names like wegginars and Twitter Laurel Delaney has helped over 1,800 weggchats, and began to offer one-to-one peer mentoring. women entrepreneurs expand into By early 2020, wegg had served over 1800 women business international markets. owners and entrepreneurs. Its services now include access to specialists who provide tailored support and education and a VIP program for women CEOs to access operational, legal, and Beyond all the practical knowledge provided by wegg, strategic support. Though primarily serving its clients online, Delaney stays focused on her original goal: “I wanted to allowing them to access support from anywhere, wegg also change the landscape for women from being risk-averse to offer