1. BizWorld
Ben Franklin Intermediate School
Week 3 – Tuesday, March 9th
Spring 2010
Production and Presentation by Mr. Tong and Mr. Limon
Ben Franklin Intermediate School
1
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

2. Review
Agenda Circle of Life The Embracer
Review
CEO Marvin Montoya Delrich Mendoza
Company of the Week
CFO Patricia Dalao Joseph Garcia
New Topics
COO Kenesha Monea Alyssa Mendoza
Performance
P f
VP of Sales Juan Beteta Malik Jones
VP of Marketing Ian Buan Sabrina Vaz
VP of Manufacturing Vincent Frias John Mark West
Ben Franklin Intermediate School
2
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

3. Review
Agenda
Agenda
• Please seat yourselves with your companies:
Review − Circle of Life
− The Embracer
Company of the Week
• Review
New Topics − Profit Equation
− Jobs in the Corporation
Performance
P f
• Objectives
− To identify one way in which new companies can raise cash
to pay start-up expenses
− To incorporate new friendship bracelet companies
− Guest Speaker
− Mimi Kwan – ABC 7 KGO-TV
Mi i K KGO TV
Ben Franklin Intermediate School
3
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

4. Review
Review – Profit Equation - $3 Biz Bucks
Agenda
• Three new business were incorporated in town last month. In the
first
fi t month of b i
th f business P t i i ’ P d generated $3 317 i
Patricia’s Prada t d $3,317 in
Review
revenue; Kenesha’s Forever 16 brought in $1,288; and Juan’s
Sports Shop received $5,512. Patricia’s Prada had $1,727 in total
Company of the Week expenses for the month, Kenesha’s Forever 16 had $937 in
expenses and Juan’s Sports Shop paid $3,275 in total expenses
New Topics last month.
• Which company was the most successful in its first month of
Performance
P f business? Why?
Business Revenue Expenses Profit
Patricia’s Prada
Kenesha’s Forever 16
Juan’s Sports Shop
Ben Franklin Intermediate School
4
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

5. Review
Review – Profit Equation Answer
Agenda
• Three new business were incorporated in town last month. In the
first
fi t month of b i
th f business P t i i ’ P d generated $3 317 i
Patricia’s Prada t d $3,317 in
Review
revenue; Kenesha’s Forever 16 brought in $1,288; and Juan’s
Sports Shop received $5,512. Patricia’s Prada had $1,727 in total
Company of the Week expenses for the month, Kenesha’s Forever 16 had $937 in
expenses and Juan’s Sports Shop paid $3,275 in total expenses
New Topics last month.
• Which company was the most successful in its first month of
Performance
P f business? Why?
Business Revenue Expenses Profit
Patricia’s Prada $ ,
$3,317 $ ,
$1,727 $ ,
$1,590
Kenesha’s Forever 16 $1,288 $937 $315
Juan’s Sports Shop $5,512 $3,275 $2,237
Ben Franklin Intermediate School
5
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

6. Review
Review - Jobs in the Corporation
Agenda
• Chief Executive Officer (CEO) – is responsible for leading the team and
managing the smooth operation of the company and it’s employees
it s employees.
Review
• Chief Financial Officer (CFO) – is focused on leading the team in
making sure all money is accounted for and the company is making a
Company of the Week profit
• Chief Operating Officer (COO) – is responsible for managing the
New Topics company's day-to-day operations; for your friendship bracelet company,
the COO is focused on leading the team in creating a quality product and
Performance
P f
an attractive design that will appeal to customers
• Senior Vice President of Sales – is focused on leading the team in
making customers happy and selling a lot of products
• Senior Vice President of Marketing – is focused on leading the team in
promoting the company, product or service
• Senior Vice President of Manufacturing – is focused on leading the
team in making the product as easily and inexpensively as possible.
Ben Franklin Intermediate School
6
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

7. Review
Company of the Week
Agenda
Review • Time Warner, Inc.
• Public Company (Ticker: TWX)
Company of the Week
• Founded i 1985
F d d in
New Topics • Headquarters – New York, NY
• CEO – Jeffrey Bewkes
Performance
P f
• Leading media and entertainment company; has
3 business segments
− Networks: cable television networks
− Filmed Entertainment: feature film, television
and home video production and distribution
− Publishing: magazine
Ben Franklin Intermediate School
7
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

8. Review
Agenda
Review
• HBO (Home Box Office)
Company of the Week
New Topics
• Time Inc.
Performance
P f
• o Ben Franklin Intermediate School
8
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

9. Review
Agenda
Review
• Warner Brothers
Company of the Week
New Topics
Performance
P f
• Turner Broadcasting System
Ben Franklin Intermediate School
9
• o
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

10. Review
Agenda
Review
• 12 Months Stock Chart
NYSE:TWX - Share Pricing
Company of the Week 35
33
31
New Topics 29
27
25
Performance
P f
23
21
19
17
15
3/9/2009
4/6/2009
5/4/2009
6/1/2009
9/7/2009
2/8/2010
3/8/2010
10/19/2009
11/16/2009
11/30/2009
12/14/2009
12/28/2009
3/23/2009
4/20/2009
5/18/2009
6/15/2009
6/29/2009
7/13/2009
7/27/2009
8/10/2009
8/24/2009
9/21/2009
10/5/2009
11/2/2009
1/11/2010
1/25/2010
2/22/2010
NYSE:TWX - Share Pricing
Ben Franklin Intermediate School
10
• o
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

11. Review
Agenda
• Company Fi
C Financials
i l
Review
($ in millions)
Company of the Week
2009
New Topics
Market Cap $35,128
Performance
P f
Revenue 25,785
Expenses 23,317
Profit 2,468
Ben Franklin Intermediate School
11
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

12. Review
Agenda
Guest Speaker Questions
Review • Mimi Kwan
• KGO-TV (ABC 7)
Company of the Week
• Vice President of Public Affairs
New Topics • Entertainment Industry
• Her responsibilities is to work with local community organizations
Performance
P f to help them get their messages on the air including AIDS Walk,
March for Babies, Top Scholars and others.
• Please write down one question you have for Ms. Kwan.
Ben Franklin Intermediate School
12
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

13. Review
Incorporate
Agenda
• Incorporate is the act of forming a corporation; incorporating
means th t the state is recognizing the company as an
that th t t i i i th
Review
independent organization
− The Circle of Life, Inc.
Company of the Week
− The Embracer, Inc.
New Topics
• Founder is the one who establishes a business
Performance
P f
− Your company receives $1BB and your CFO will track the
cash
− Please turn to page S31 – Company Ledger
Ben Franklin Intermediate School
13
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

14. BizWorld
Ben Franklin Intermediate School
14
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

15. Review
Company Ledger
Agenda
• The cash received is capital and will be recorded as a deposit on
the C
th Company L d
Ledger.
Review
Company of the Week
New Topics
− Capital is defined as money or material wealth used to
p
produce more money y
Performance
P f
− Deposit is defined as money put into an account
• Please take the next 5 minutes to update the Company Ledger
− The CFO is responsible for keeping the master copy
− All employees have to help the CFO complete the ledger
Ben Franklin Intermediate School
15
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

16. Review
New Vocabulary
Agenda
• Finance is the management of expenses, cash, revenue and profit
Review − Your CFO is in charge of the finance for your company
• Entrepreneur is a person who organizes, operates and takes on
Company of the Week the risk of a business venture
• Everyone is an entrepreneur in their company
New Topics
Performance
P f
Ben Franklin Intermediate School
16
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

17. Review
Incorporate
Agenda
• The CEO of each company will visit the State Government (Mr.
Limon) to incorporate the company and receive a stock
Li )t i t th d i t k
Review
• Why do you incorporate?
Company of the Week − Protect personal money and possessions
− Attract investors in exchange for partial ownership (stock)
New Topics
− Stock is a share of a company that represents
ownership in the company
p p y
Performance
P f
Ben Franklin Intermediate School
17
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

18. Review
Agenda
Review
Company of the Week
New Topics
Performance
P f
Ben Franklin Intermediate School
18
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

19. Review
Raising Capital
Agenda
• Question – What are some of the expenses you think you will need
to t t
t start your friendship bracelet company?
f i d hi b l t ?
Review
Company of the Week • Question – How do new companies pay for these expenses?
New Topics
Performance
P f
Ben Franklin Intermediate School
19
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

20. Review
Venture Capital
Agenda
• Next week, you will need to raise capital (cash) in order to cover
the
th costs of starting your business.
t f t ti b i
Review
• One way in which an entrepreneur can raise capital is to sell
shares of stock in his or her company to a venture capitalist
Company of the Week
(VC).
(VC)
New Topics • A venture capitalist is a person who invests cash in new and
innovative businesses. VCs should be thought of as “partners in
Performance
P f
the business , because they are interested in the success of the
business”,
business for their own benefit.
• It is your responsibility to convince the VC that investing in
y
your company will p y off in the future
p y pay
Ben Franklin Intermediate School
20
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

21. Review
Investing in Start-ups with High Growth Potential
Agenda
Review
Company of the Week
Growth
h
New Topics
VC Investment
Performance
P f
5+ Years
Time
Ben Franklin Intermediate School
21
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

22. Review
How Do Venture Capitalist Make Money?
Agenda
Review 1) The Company goes public (IPO) – the company sells shares of it
stock in the open market
Company of the Week − IPO – Initial Public Offering
New Topics
2) The company is bought by another company (M&A)
Performance
P f − M&A – M
Mergers and A
d Acquisitions
i iti
Ben Franklin Intermediate School
22
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

23. Review
The Pitch
Agenda
• Each company will pitch to the Venture Capitalist (VC)
Review • The pitch is a presentation made to convince the VC to invest in
your company
Company of the Week • Mr. Limon and I will buy shares based on the quality of your pitch
• A better pitch will result in a higher price per share
New Topics
• Each company will need to raise a total of $15-20 BB
Performance
P f • Next
N t week your company will be making the pitch
k ill b ki th it h
Ben Franklin Intermediate School
23
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

24. Review
Business Plan
Agenda
• A business plan is a formal statement of a set of business goals,
the
th reasons why th are b li
h they believed attainable, and th plan f
d tt i bl d the l for
Review
reaching those goals.
• With your company, discuss the business plan ideas and complete
Company of the Week
the Business Plan Worksheet (Page S10)
New Topics
Performance
P f
Ben Franklin Intermediate School
24
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics

25. Review
Agenda
Guest Speaker
Review
• Mimi Kwan
Company of the Week
• KGO-TV
KGO TV (ABC 7)
)
New Topics • Vice President of Public Affairs
• Media and Entertainment Industry
Performance
P f
• Her responsibilities is to work with local community organizations
to help them get their messages on the air including AIDS Walk,
Guest Speaker
March for Babies, Top Scholars and others.
• WORK HARD and WORK SMART
Ben Franklin Intermediate School
25
• Critical Thinking • Communication • Teamwork • Leadership • Innovation • Professionalism • Ethics