Shareholders of Tesco are owners of a limited company which stands apart from the business, which is a body in its own rights. If the company goes ‘bust’ the shareholder is protected by limited liability and does not lose all his or her money, just the money invested. Economic Sector: Tesco is a tertiary industry, because: Tertiary industry: are provided for the benefits of others. They are intangible and they often get used up at the time they’re consumed.

For example Tesco supply chocolates for consumers but Tesco doesn’t collect the raw materials or produces the chocolates in store. Most small businesses are sole traders. They don’t need to do anything except start trading. Examples include plumbers, hairdressers and newsagents. Partnership: Partnerships are not that common, but they occur in jobs like accountancy, solicitors and doctors. By law a business can have between 2 and 20 partners.

Partners have an equal say in making decisions and an equal share in profits, unless they have an agreement called deed of partnership that says different. Private Limited companies (ltd): Private means that shares can only be sold if all the shareholders agree. The shareholders are often all members of the same family. Private limited companies have Ltd after their name. Public Limited companies (plc): Public means that anyone can buy shares in the company, if they can find someone who wants to sell them.

Public Limited companies have Plc after their name. Firms generally become PLCs when they wish to expand. Co-operative: Co-operatives are owned by their workers. Producers co-operative are owned and controlled by the workforce and retail co-operatives are owned and controlled by their customers. Franchise: Franchise is a firm that has the right to sell another firm’s products. For example car manufactures sell cars through dealer franchise. Theses franchise trade under their own name but advertise that they sell manufacturer’s products.