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Owners' equity consists of two sources of capital. They are
Innovation
The process of creating new ideas, products, or methods that bring improvement or address specific challenges.
Lateral Communication
The exchange of information between individuals at the same hierarchical level within an organization.
External Stakeholders
Individuals or groups outside of an organization who are affected by its activities and decisions, such as customers, suppliers, and the community.
Internal Differentiation
The division of labor and specialization within an organization that creates distinct roles and responsibilities.
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