What is firm meaning?

A firm refers to an organization or business entity that is legally recognized and structured to operate in a particular industry. Its main purpose is to provide goods or services to customers in exchange for payment. Firms can take various forms, including sole proprietorships, partnerships, corporations, and limited liability companies. They are typically owned by private individuals, groups of individuals, or institutional investors. A firm may engage in various activities, such as production, distribution, marketing, research and development, and investment. Its success is typically measured by its profitability, market share, and growth rate.