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The scale and scope of the business firm and its construction, management, and possession, broadly analyzed in the theory of the agency Typically, a smaller business is more flexible, while larger companies, or those with wider ownership or more formal buildings, will usually are typically organized as firms or (much less usually) partnerships. In addition, a enterprise that needs to boost money on a inventory market or to be owned by a wide range of people will often be required to adopt a selected authorized form to do so.

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