{"id":2760,"date":"2023-02-19T16:10:46","date_gmt":"2023-02-19T16:10:46","guid":{"rendered":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/chapter\/learn-it-1d-what-is-business\/"},"modified":"2025-05-19T13:28:02","modified_gmt":"2025-05-19T13:28:02","slug":"learn-it-1d-what-is-business","status":"publish","type":"chapter","link":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/chapter\/learn-it-1d-what-is-business\/","title":{"raw":"Learn It 1.1.4: What Is Business?","rendered":"Learn It 1.1.4: What Is Business?"},"content":{"raw":"<h2>Comparing Types of Businesses<\/h2>\r\n<p>It's not until you look behind the scenes that you will see the differences between a for-profit and nonprofit business. The following graphic compares the attributes of for-profit and not-for-profit businesses and highlights differences and similarities.<\/p>\r\n<p><img class=\"aligncenter wp-image-7614 size-full\" src=\"https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4.png\" alt=\"Two overlapping circles. The circle on the left represents for profit businesses and the circle on the right represents nonprofit businesses. Characteristics in the for profit circle are: owned by individuals, partners, or shareholders; profit is used to pay owners, partners, or shareholders; and profits are subject to taxation by local, state, and federal authorities. Characteristics in the non profit circle are: generates revenues from contributions; operated by board of directors, trustees, or managers; profit is used to further the mission of the organization; and profits are NOT subject to taxation by local, state, and federal authorities. Characteristics in the part of the circles that overlap are: incurs expenses for operations; provides goods and services to customers; pays salaries to employees and managers; and generates revenues from sales.\" width=\"800\" height=\"632\" \/><\/p>\r\n<section class=\"textbox tryIt\">[ohm2_question height=\"470\" hide_question_numbers=1]3004[\/ohm2_question]<\/section>","rendered":"<h2>Comparing Types of Businesses<\/h2>\n<p>It&#8217;s not until you look behind the scenes that you will see the differences between a for-profit and nonprofit business. The following graphic compares the attributes of for-profit and not-for-profit businesses and highlights differences and similarities.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-7614 size-full\" src=\"https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4.png\" alt=\"Two overlapping circles. The circle on the left represents for profit businesses and the circle on the right represents nonprofit businesses. Characteristics in the for profit circle are: owned by individuals, partners, or shareholders; profit is used to pay owners, partners, or shareholders; and profits are subject to taxation by local, state, and federal authorities. Characteristics in the non profit circle are: generates revenues from contributions; operated by board of directors, trustees, or managers; profit is used to further the mission of the organization; and profits are NOT subject to taxation by local, state, and federal authorities. Characteristics in the part of the circles that overlap are: incurs expenses for operations; provides goods and services to customers; pays salaries to employees and managers; and generates revenues from sales.\" width=\"800\" height=\"632\" srcset=\"https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4.png 800w, https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4-300x237.png 300w, https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4-768x607.png 768w, https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4-65x51.png 65w, https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4-225x178.png 225w, https:\/\/content-cdn.one.lumenlearning.com\/wp-content\/uploads\/sites\/15\/2023\/02\/19132358\/L1.1.4-350x277.png 350w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/><\/p>\n<section class=\"textbox tryIt\"><iframe loading=\"lazy\" id=\"ohm3004\" class=\"resizable\" src=\"https:\/\/ohm.one.lumenlearning.com\/multiembedq.php?id=3004&theme=lumen&iframe_resize_id=ohm3004&source=tnh\" width=\"100%\" height=\"470\"><\/iframe><\/section>\n","protected":false},"author":21,"menu_order":7,"template":"","meta":{"_candela_citation":"[{\"type\":\"original\",\"description\":\"Reading: Profit and Purpose\",\"author\":\"Linda Williams and Lumen Learning\",\"organization\":\"\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"original\",\"description\":\"Practice Questions\",\"author\":\"Robert Danielson\",\"organization\":\"Lumen Learning\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"}]","pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"part":2754,"module-header":"learn_it","content_attributions":[{"type":"original","description":"Reading: Profit and Purpose","author":"Linda Williams and Lumen Learning","organization":"","url":"","project":"","license":"cc-by","license_terms":""},{"type":"original","description":"Practice Questions","author":"Robert Danielson","organization":"Lumen Learning","url":"","project":"","license":"cc-by","license_terms":""}],"internal_book_links":[],"video_content":null,"cc_video_embed_content":{"cc_scripts":"","media_targets":[]},"try_it_collection":null,"_links":{"self":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/2760"}],"collection":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/users\/21"}],"version-history":[{"count":8,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/2760\/revisions"}],"predecessor-version":[{"id":3857,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/2760\/revisions\/3857"}],"part":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/parts\/2754"}],"metadata":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapters\/2760\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/media?parent=2760"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/pressbooks\/v2\/chapter-type?post=2760"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/contributor?post=2760"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/content.one.lumenlearning.com\/introductiontobusiness\/wp-json\/wp\/v2\/license?post=2760"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}