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The dimension and scope of the business firm and its construction, management, and possession, broadly analyzed within the theory of the agency. Generally, a smaller business is extra flexible, whereas bigger companies, or these with wider ownership or more formal constructions, will normally tend to be organized as firms or partnerships. In addition, a enterprise that wishes to lift money on a stock market or to be owned by a broad range of individuals will usually be required to undertake a specific legal kind to take action. Studies have shown how firm acceptance and implementation of comprehensive security and well being administration methods reduce incidents, insurance costs, and staff’ compensation claims.