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Also found in: English - Vietnamese

free enterprise

/'fri:'entəpraiz/
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Explanation of "Free Enterprise"

Definition:
"Free enterprise" is a system in which businesses can operate with little government control. This means that individuals and companies can create and sell products, set their own prices, and compete in the market. The decisions about what to produce and how much to charge are mainly made by the market and the choices of consumers.

Advanced Usage

In more advanced discussions, you might talk about the benefits and challenges of free enterprise, such as innovation, competition, and economic growth, as well as issues like inequality and market failures.

Word Variants
  • Free Enterprise System (noun): The overall structure of how free enterprise functions.
  • Entrepreneur (noun): A person who starts and runs a business within a free enterprise system.
Different Meanings

While "free enterprise" primarily refers to an economic system, it can also imply the idea of personal freedom and opportunity in business.

Synonyms
  • Capitalism: A broader economic system that includes free enterprise.
  • Market Economy: An economic system based on supply and demand.
  • Private Enterprise: Emphasizes the role of private individuals and companies in the economy.
Idioms and Phrasal Verbs

While there are no direct idioms or phrasal verbs specifically for "free enterprise," you might encounter phrases related to business and competition, such as: - "Throw your hat in the ring": To enter a competition or contest, often in business. - "Cutthroat competition": Extremely fierce competition among businesses.

Summary

"Free enterprise" is an important concept in economics that highlights the role of individual choice and market forces in business. It is a fundamental idea in capitalist societies, promoting innovation and competition while also presenting challenges such as inequality.

Noun
  1. an economy that relies chiefly on market forces to allocate goods and resources and to determine prices

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