Quarrels among business associates have become common. The associates quarrel over what products the firm should sell, division of authority, selection of personnel, whether to bring family members into the business, whether to expand, and who is contributing most to the firm's success. Such feuding, which damages business relationships, occurs most frequently in what form of business?
A) Partnerships
B) Cooperatives
C) Corporations
D) Sole proprietorships
E) S-corporations

Question

Quizplus · Accepted Answer

Partnerships are a form of business where two or more people share ownership and management of the business, making it more likely for disagreements to arise. Unlike corporations or sole proprietorships, partnerships involve individuals with different perceptions, personalities, and strategies for managing the business. Therefore, to prevent quarrels among business associates in a partnership, it is crucial to establish clear goals, roles, and responsibilities and resolve conflicts through open communication and compromise.

Quarrels Among Business Associates Have Become Common