1. Students will be able to identify and/or define the following terms:
In this lesson, students will be able to identify characteristics of franchises, cooperatives, and nonprofit organizations.
Students will be able to identify and/or define the following terms:
Franchise
Cooperative
Nonprofit Organization
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2. Do Now Define the following terms in your notebook: Franchise
Cooperative
Nonprofit Organization

3. Other Organizations
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4. When you visit your local Ben and Jerry’s,
you are visiting a franchise.
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5. Franchise A franchise is a semi-independent business.
The owner of a franchise pays a fee to a parent company in exchange for the right to sell the parent company’s products.
The owner of the franchise must conform to the parent company’s rules.
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6. Many familiar restaurants are franchises.
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7. Cooperative
A cooperative is a business owned and operated by a group of people for their shared benefit.
There are consumer cooperatives, service cooperatives, and producer cooperatives.
Only members of the cooperative can enjoy the benefits of the cooperative.
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8. Farmers frequently form cooperatives to
sell their products.
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9. Nonprofit Organization
A nonprofit organization is a business that does not operate for profits.
Nonprofit organizations serve society.
The American Red Cross is an example of a nonprofit organization.
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10. The American Red Cross is a nonprofit
organization.
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11. There are many different forms of business
organizations in the United States.
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12. The Most Common Forms
Sole proprietorships, partnerships, and corporations are the most common forms of business organizations in the United States.
However, there are other types of business organizations.
It is important to understand the different types of business organizations.
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13. Microsoft is a corporation but not every business is a corporation.
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14. Nonprofit organizations serve society.
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15. All businesses are in the business
of serving customers.
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16. Questions for Reflection:
Why must the owner of a franchise pay a fee to a parent company?
Provide three examples of franchises.
What is a cooperative?
Why must a person be a member of a cooperative to benefit from the cooperative’s services?
Why are nonprofit organizations in the business of serving society?
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