Definitions
- Referring to a large business entity that is legally recognized as a separate entity from its owners. - Talking about a company that has issued stocks and is owned by shareholders. - Describing a business that operates on a larger scale and has more complex organizational structures.
- Referring to a business entity that provides goods or services in exchange for money. - Talking about a group of people who work together towards a common goal. - Describing a business that operates on a smaller scale and has simpler organizational structures.
List of Similarities
- 1Both refer to business entities that provide goods or services.
- 2Both can be owned by individuals or groups of people.
- 3Both can have employees who work towards a common goal.
- 4Both can generate revenue and profits.
- 5Both can operate in various industries and sectors.
What is the difference?
- 1Size: Corporations are typically larger than companies and have more complex organizational structures.
- 2Ownership: Corporations issue stocks and are owned by shareholders, while companies can be owned by individuals or groups of people.
- 3Legal status: Corporations are legally recognized as separate entities from their owners, while companies may or may not have legal recognition as separate entities.
- 4Scope: Corporations often operate on a global scale, while companies may operate on a local or regional scale.
- 5Structure: Corporations have a more formal and hierarchical structure, while companies may have a more informal and flexible structure.
Remember this!
Corporation and company are both terms used to describe business entities that provide goods or services. However, the difference between corporation and company lies in their size, ownership, legal status, scope, and structure. A corporation is typically larger, has more complex organizational structures, and is owned by shareholders. Whereas, a company can be owned by individuals or groups of people and may or may not have legal recognition as a separate entity.
