| Free Enterprise - Defined
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The Basics:
- An "enterprise" is one or more persons working together in a business venture. It is a person, a company, a corporation, a family of related corporations, etc.
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On the other hand, the word "enterprise" (as in the term "free enterprise") refers to the system in which business activity takes place.
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- An enterprise intends to make a profit.
- Fair payment for the time and talent expended.
- Reasonable reward for doing a good or better job
- Fair return for investment risk.
- Steady growth over time.
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- "Free enterprise" is a economic environment which enables all enterprises to prosper from good ideas and hard work, i.e., producing products and providing services.
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As Commonly Promoted:
| Free enterprise is a business environment where one can make a profit, unimpeded by government involvement or regulation [period]
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Ref. definitions
- "Business governed by the laws of supply and demand, not restrained by government interference, regulation or subsidy."
- "The trade carried on in a free-market economy, where resources are allocated on the basis of supply and demand"
- "Business governed by the market forces of demand and supply, un-restrained by undue government interference through excessive controls and regulations. In general, a synonym for capitalism."
- "an economic and political doctrine holding that a capitalist economy can regulate itself in a freely competitive market through the relationship of supply and demand with a minimum of governmental intervention and regulation."
- "The freedom of private businesses to operate competitively for profit with minimal government regulation."
- "The freedom of private businesses to operate competitively for profit with minimal government regulation."
- "the economic doctrine or practice of permitting private industry to operate under freely competitive conditions with a minimum of governmental control"
- "Free enterprise is an economic
system that provides individuals
the opportunity to make their
own economic decisions, free
of government constraints, and
as private profit-potential
businesses . . . . . . . .
. . . . . ..The system allows for the privilege of
individual ownership of property and the
means of production. The key ingredient of
the free enterprise system is the right of
individuals to make their own choices in
the purchase of goods, the selling of their
products and their labor, and their participation
in business structure."
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A More-Complete Definition:
Free enterprise is a business environment where one can make a fair profit
... in a free market that is
- based upon supply and demand where
- neither the supply nor the demand is constrained by private entities
- such as cartels, monopolies, oligopolies, and closed trade associations
- through coercion, intimidation, predatory pricing, etc.
- and where government regulation is limited to
- protecting the general interest and safety of the public and
- acting as an umpire in what otherwise would likely be an unfair and unfree game.
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Ref. definition
- "freedom of private business to organize and operate for profit in a competitive system without interference by government beyond regulation necessary to protect public interest and keep the national economy in balance"
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True free enterprise is more accurately defined by this more-complete definition.
- It is supported by those who recognize that "Big Brother" has turned out to actually be large corporate enterprises - to an equal or greater extent than the government.
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Where the government has gotten overly involved, it typically has been at the behest of a segment of the private sector seeking favoritism for additional easy profits.
Please see:
Ref. source
1.www.merriam-webster.com
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| Please also see Objectives of Free Enterprse, Capitalism, Business, and Corporations. |
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