Problem:
The three types of organizations we are selecting here are:
1) Sole Entrepreneurship/Proprietorship;
2) Partnership (Firm) and
3) a Company/Corporation.
All the three are different in structure. We will discuss here the scope of innovation and adavantages/disadvanteges of each of them, and their structure etc.
When to set up which type and how are the problems faced by the businessmen. Each type has its own plus and minus points and require to be dealt with properly. An individual can not set a firm or a company legally. He has to restrict his operations within a sole enterprise unit system, but the need of coping with demand of the product may provide avenues as well as dictate for expansion.
This expansion again will depend on the type of the organization that will cater to the demand of the product, opportunities available and above all the capability of the original promoters.