CORPORATION

GROUP1
Darwin Ellaso
Kimberly Samson
Robin Tolentino
Jhomar Alvarez
Jerald Millios
Ronalyn Panilag
Amy Alpay
Cathleen Caranto
CONTENTS

01 Definition of corporation

02 History of corporation

Social responsibility of
03 corporation

04 Example of corporation

Advantage and dis avantage of

05 corporation

Chararteristics and relo of

06 corporation
 CORPORATION

• What Is a Corporation? A corporation is  a legal entity that is separate and distinct from
its owners . Under the law, corporations possess many of the same rights and
responsibilities as individuals. They can enter contracts, loan and borrow money, sue and
be sued, hire empl oyees, own assets, and pay taxes.
Hi story of corporation
The word corporation comes from the Latin word “corporare” which means “to combine in one body”. The Romans were the
first to codify the notion of an organization as having an identity that was distinct from that of the persons who owned it or
belonged to it. The first such organizations were called publicani who purchased from the Roman state the right to collect
tax revenues. The Roman Republic also used private contractors to build the state’s infrastructure including its aqueducts,
temples, and roads. These contracts were awarded to publicani organizations. A publicani was typically a group of artisans
who would pool their resources to bid on a contract for a specific trade or business. Gradually, the publicani evolved into
large organizations that employed thousands of workers, had many investors, hired professional managers and likely
received from the state a grant of limited liability for their investors. In a foreshadowing of the modern MNC, the publicani
amassed enormous power within the Roman state, often bribing officials and manipulating state affairs in order to advance
their economic interests. In ancient Rome, corporations were also used for religious or community organizations..
 Social responsibility of corporation
Economic Responsibility
corporate social responsibility is a management concept where
- Firm has a responsibility to use the resources
companies integrate social and environmental concerns into their
available to produce goods and services for
society
business operations and interactions with their stakeholders

4 components of Corporate Social Responsibility

Legal Responsibility

- The law and regulations that all firms are 1. Economic Responsibility
expected to follow as they perform their daily 2. Legal Responsibility
functions 3. Ethical Responsibility
4. Discretionary Responsibility
E t h i c a l R e s p o n s i b i l i t y,

- Change over time Because they are based on

expectations of society

Discretionary Responsibility

- Firms are not considered unethical if they do

not participate in these discretionary
R e s p o n s i b i l i t y.
Example of corporation
SMC INFRASTRUCTURE

Our infrastructure department, SMC

Infrastructure, is in charge of the
country's largest infrastructure
network's construction, management,
a n d o p e r a t i o n . T h e Ta r l a c - P a n g a s i n a n -
La Union Expressway (TPLEX), the
S o u t h e r n Ta g a l o g A r t e r i a l R o a d
( S TA R ) , t h e S o u t h L u z o n E x p r e s s w a y
(SLEX), the Skyway System, and the
NAIA Expressway (NAIAX), as well as
t h e B o r a c a y A i r p o r t , t h e M RT- 7 r a i l a n d
road project, and the Bulacan Bulk
Wa t e r S u p p l y P r o j e c t , a r e a m o n g i t s
current projects.
 Example of corporation

T h e c h a i n w a s f o u n d e d i n 1 9 2 7 a s a n i c e h o u s e s t o r e f r o n t i n D a l l a s . I t w a s n a m e d To t e ' m S t o r e s b e t w e e n 1 9 2 8 a n d 1 9 4 6 . A f t e r 7 0 % o f t h e
c o m p a n y w a s a c q u i r e d b y a n a f f i l i a t e I t o - Yo k a d o i n 1 9 9 1 , i t w a s r e o r g a n i z e d a s a w h o l l y o w n e d s u b s i d i a r y o f S e v e n & I H o l d i n g s . 7 - E l e v e n .

February 29, 1984

Despite the aggravating political and economic adversities, PSC gamely opened its first 7-Eleven convenience store, located at the corner
o f E D S A a n d K a m i a s S t r e e t s i n K a m u n i n g , Q u e z o n C i t y.

7 - E l e v e n , I n c - C O R P O R AT I O N

 k n o w n a s T h e S o u t h l a n d C o r p o r a t i o n u n t i l A p r i l 1 9 9 9 - - i s t h e w o r l d ' s l a r g e s t o p e r a t o r, f r a n c h i s o r, a n d l i c e n s o r o f c o n v e n i e n c e s t o r e s , w i t h
m o r e t h a n 1 8 , 2 0 0 s t o r e s i n 1 8 c o u n t r i e s , t h e v a s t m a j o r i t y o f w h i c h c a r r y t h e 7 - E l e v e n b a n n e r.

The basic objective of sustainable profitability recognizes that the purpose of for-profit corporations is to create value for investors. The
requirement of lawful and ethical conduct ensures minimum standards of corporate social compliance.
example of corporation
APPLE INC

Apple Inc-was the world largest company in the

world,an American thech company is the most
valuable company in the world with the record
m a r k e t c a p i t a l o f $ 2 , 7 5 2 Tr i l l i o n , A p p l e i s t h e m o s t
s u c c e s f u l b r a n d wi t h t h e a r e v e n g e o f $ 2 7 5 b i l l i o n
d o l l a r s a s o f 2 0 2 1 , T h i m o t h y Do n a l d C o o k i s t h e
( C E 0 C h i e f E x e c u t i v e O ff i c e r ) I p h o n e M a c , w e a r a b l e
Homes ang Accessories,line of smart phones,base
on I O's operating system.

SAN MIGUEL CORPORATION

SMC is one of the world Philippines largest and most

diversified conglomerates,generating about 5.1% as of 2015
of the country's gross domestic product through its highly
integrated operations in beverages,food packaging fuel and
oil,powe and infrastructure.
 Advantae and dis avantage of corporation
A corporation is a business entity that is recognized by the government as a separate entity from its owners.
I n d i v i d u a l s o r o t h e r e n t i t i e s m a y o w n a c o m p a n y, a n d o w n e r s h i p c a n b e r e a d i l y t r a n s f e r r e d v i a t h e p u r c h a s e a n d s e l l i n g
o f s t o c k . B e c a u s e a c o r p o r a t i o n i s i t s o w n l i m i t e d e n t i t y, i t m a y g o t o a r b i t r a t i o n o n i t s o w n , a v o i d i n g p e r s o n a l
culpability for its owners.

A c o r p o r a t i o n i s a l e g a l e n t i t y t h a t i s d i s t i n c t a n d s e p a r a t e f r o m i t s o w n e r a n d   m o n i t o r w e b a c t i v i t y. C o r p o r a t i o n s e n j o y
m o s t o f t h e r i s i n g r e s p o n s i b i l i t i e s t h a t i n d i v i d u a l s p o s s e s s . T h e c o r p o r a t i o n h a s t h e r i g h t t o l e n d a n d b o r r o w m o n e y,
e n t e r c o n t r a c t s , h i r e e m p l o y e e s , a n d o w n p r o p e r t y.

H O W C O R P O R AT I O N W O R K S ?

A corporation is a distinct limited liability entity that provides liability protection for each owner's personal assets.
Corporations may engage in any commercial enterprise as well as the associated actions, such as entering into
c o n t r a c t s , h o l d i n g i n v e s t m e n t s , b o r r o w i n g m o n e y, h i r i n g p e o p l e , t r y i n g t o s u e , a n d b e i n g s u e d .

C O R P O R AT I O N W O R K I N G B O D I E S

Each shareholder has one vote per share in the election of directors. The Board of Directors supervises and often
employs a management team to run the corporation's day-to-day activities. In general, each corporation's owner owns a
proportion of the company depending on the number of shares the company has. The ownership of a company is simple
since its shares are easy to acquire and sell.
A D VA N TA G E S O F A C O R P O R AT I O N

- source of capital - A publicly-held corporation , in instance, may DISADVANTAGES OF A CORPORATION

generate significant funds by selling stock or issuing bonds.
- difficult to form - in comparison to other type of companies,
- build credibility - corporate business organizations are more corporations are more difficult to establish. This is because
stable than other types of business organizations. corporations are subject to stricter regulations than other types of
businesses.
- limited liability - a corporation's stockholders are solely
accountable for the amount of their investments. Their personal - double taxation - Corporations are independent legal entities that
might be beneficial for a variety of reasons. However, as a distinct
assets are safeguarded since the business body protects them
entity, a company is responsible for its own taxes. A company may
f r o m f u t u r e a c c o u n t a b i l i t y. distribute any profits to its shareholders in the form of dividends after it
has been taxed. Each shareholder's dividends are then taxed again.
This implies that profits earned by shareholders through corporations
- separate entity - corporations and their stockholders are also are subject to double taxation.
regarded separate entities. One of the key reasons corporations
- independent management / agency problem /conflict of stockholder
have limited liability is because of this.
and board- One of the issues with corporations is that their
- protection of personal financial loss - A corporation, more than management and stockholders are distinct. While this may benefit
both the firm and the shareholders, it can also be problematic. A
any other sort of business, protects its owners' personal assets
corporation's management serves as an agent for the corporation's
from liabilities. For example, if a corporation is sued, the shareholders. When management's goals do not line with those of the
shareholders are not personally accountable for debts and shareholders, agency problems happen.
responsibilities or legal duties.

- transfer of ownership - corporations have the benefit of

allowing its shareholders to transfer their ownership without
R O L E O F C O R P O R AT I O N
The purpose of corporation is to conduct a
lawful,ethical,profitable and sustainable business in order to
create value over the long run.

HOW DO CONTRIBUTE CORPORATIONS TO ECONOMY OT THE COUNTRY

They help price risk and provide capital and financial service for economic activity of
households,businesd,commercial ecosystems and government,they havethe highest total capital income of all
archetype and the highest taxes,Thwy also pay high wages.
REFLECTION:

Building a business is difficult, and you will devote time and effort
to it. It is challenging but necessary if the company is to succeed.
Joining a corporation and collaborating can help you grow your
business in a variety of ways, including increasing your
income.ilding a business is difficult, and you will devote time and
effort to it. It is challenging but necessary if the company is to
succeed. Joining a corporation and collaborating can help you
grow your business in a variety of ways, including increasing your
income.