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Business Administration and Management

Overview

The business industry is made up of all types of companies. Among the fastest growing sectors in the United States are health care and medical, service, financial, construction, and transportation. Within these firms are specialized departments charged with specific duties and responsibilities. The top administrators direct the organization’s overall operations, devise strategies, and execute polices, while department managers oversee the employees and tasks within their purview and implement directives from the upper echelons. In the United States, nearly 10.5 million people are employed in business management positions, including those in administrative services and finance.

Developing and sustaining a profitable, successful business has always been a challenge. In today’s volatile economic climate, coupled with fast-changing technological advancements, businesses more than ever need administrators with skilled management techniques, business acumen, and proven problem-solving techniques.

Certain industries, particularly those experiencing growth, will likely offer administrative and managerial jobs to people with college degrees. Graduates with bachelor’s and master’s degrees in business administration are usually better poised for these openings than other employment seekers. In general, the business world taps those with skills and experience in management, finance, sales, marketing, policy development, employee relations, business writing, and leadership.

Recent trends in acquiring capital, franchise ownership, and minority-owned businesses are impacting the business industry. The 2007–2009 economic downturn made the availability of start-up capital from traditional sources much harder to obtain. In response, the phenomenon of crowdfunding, a collective effort to pool money for fledgling companies, has emerged on the Internet. Among the many crowdfunding platforms in operation today are Kickstarter and iFundWomen.

According to the International Franchise Association, the number of franchise businesses in the United States totaled 806,270 in 2023. Collectively, these businesses employed 8.7 million people. During the early 2020s, more than half the franchise industry was comprised of businesses in the real estate, healthcare, residential, business services, automotive, and retail categories, according to the organization. At 45 percent, quick service restaurants comprised the largest category, followed by table/full-service restaurants and retail food products and services, which each accounted for 13 percent of the industry.

In 2023, the U.S. Census Bureau released new data regarding minority- and women-owned businesses. Based on findings from its 2022 Annual Business Survey, which reflected 2021 data, minority-owned businesses totaled 1.2 million, accounting for 21 percent of the nation's 5.9 million employer firms. Women-owned businesses numbered 1.3 million, representing 22 percent of the total. Among minority-owned businesses, those owned by Asian individuals generated the largest receipts ($1.0 trillion). Hispanic-owned businesses generated receipts of $572.9 billion, followed by Black or African American-owned businesses ($183.3 billion), American Indian and Alaska Native-owned businesses ($54.4 billion), and Native Hawaiian and Other Pacific Islander businesses ($10.5 billion). According to the Department of Commerce's Minority Business Development Agency, minority-owned businesses are enterprises in which 51 percent, at minimum, are owned and operated by an ethnic minority.

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