The word entity has different meanings depending on the context in which it is highlighted. In the legal field this word is used to refer to a corporation or a company that will be considered as a legal person. The word entity can also be used to refer to the territorial divisions of which a State or country is composed. While in philosophy, this word is used to refer to everything that constitutes the essence of a being.
What is an entity
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Coming from medieval Latin entitas, the word entity is used to refer to everything that can be considered as a unit. In this sense, everything that, being concrete or abstract, exists and is therefore different from the rest can be considered as an entity. This is why this term can be used in a person, an animal, a company and, in some cases, it can be used to refer to a community that can be considered as a unit.
Uses of the word entity
Used mainly to refer to everything that represents a unit, there are several uses of the word entity that depend exclusively on the area in which it is applied.
For example, in the political sphere, this word is used to name the political or regional divisions that make up the territory of a State or country, in this case we speak of a sub-national entity. Likewise, within this scope, the social entity can be mentioned, a term that can be used to refer to an organization or institution.
On the other hand, within the political and social sphere, you can also find the Zionist or Zionist regime, which is the term used in Arab countries or those belonging to the Muslim world to refer to the State of Israel.
However, the use of the word Zionist entity is used in a hostile tone towards Israel, as a way of rejecting its existence, or with the intention of denying its right to exist, so the use of this phrase has been described as contemptuous and a clear reflection of racial hatred.
When it comes to philosophy, this word is used to refer to everything that somehow exists, regardless of whether it is referring to a person, animal, thing or even an organization.
Likewise, for some philosophers the entity is the spirit or the being that exists outside of physical reality, thus giving them the name of non-physical. This, however, has generated much debate in the world of philosophy, since it is an abstract concept that tries to recognize the existence of something that cannot be seen, smelled or touched, but which, according to many philosophers, exists and therefore exists. both can be considered an entity.
What is a federative entity
It is a unit that is territorially delimited and that, together with other federative entities, forms a State or nation. For example, in Mexico there are 32 federative entities, these are normally known as states and are the ones that make up the Mexican republic.
These have the particularity that they can participate in all government activities carried out by the federal systems of the nation and, because they have a high level of autonomy, they can act unilaterally in the processes authorized by the Constitution of their State, even having the power to participate. in the decisive questions and being able to be in opposition to the rational policies, since the federative entities have an effectively irrevocable power in the taking of these decisions.
What is an economic entity
This can be understood as any identifiable unit that is capable of carrying out economic activities, that is to say that the term economic entity is granted solely and exclusively to companies, organizations, institutions or work groups that are dedicated to the realization of economic activities.
These, in turn, must be constituted by the combination and work in groups of the financial resources of the unit, material resources and human resources, these led and duly administered by an effective and single control center, which will have the Obligation or the task of making each and every one of the decisions, as long as they are aimed at fulfilling the reasons or specific objectives for which the unit has been created.
It is important to mention that the personality of the economic entity is completely independent from that of the owners, shareholders or sponsors of the company.
Types of economic entities
Depending on the purpose for which it has been created, there are two types of economic entities:
Profit-making entity
A lucrative economic entity is one that is characterized by carrying out economic activities conducted and administered by an authority that is responsible for making decisions in order to compensate and reward each and every one of its investors for the expense they have made, this to through a good performance of the unit that generates sufficient profits to achieve a refund of the money to the owners.
Non-profit or non-profit entity
It can be said that an economic entity has non-profit purposes or is non- profit, when it uses its material resources in combination with its human resources to achieve the objectives for which it has been created and, these in turn, are directed Mainly for social causes and that are not intended to reimburse, to its investors or sponsors, the investment used as capital.
Characteristics of the entity with non-profit or non-profit purposes
- Its activities of sale of goods, production or provision of services have the sole purpose of fulfilling a social benefit.
- The sponsors or investors do not receive any type of profit or economic benefit for the services it provides.
- It is not necessary, or the participation of the owner in the activities of the company is not defined.
It is important to mention that, although a natural person can be treated as an economic entity, it cannot be confused with a legal person, since the latter has a treatment, in the legal field, different from that enjoyed by economic entities, both lucrative as a non-profit.
Other entity examples
Even when the most common uses given to the word have been explained, there are other examples of entity that are worth mentioning, because, although their use is not very common, they exist within the definition of said term.
Entity of birth
Although it is better known as a birth certificate, it is the document in which the main data about the birth of a person are exposed and presented, that is, the person's name, place of birth, date of birth, relevant data of the parents and place in which it has been presented.
In general, this document is written and prepared in a department belonging to the public administration of the nation, which in most countries is known as the Civil Registry.
As this is the first identity document of a person, it is common for parents to apply for it, only a few days after the birth of their son or daughter, since in this way, the infant is registered in the country's system and is considered one more citizen of the nation.
Accounting entity
Within the economic sphere, an accounting or accounting entity is the entity in charge of controlling the resources of a unit, as well as accepting the necessary responsibilities and complying with the commitments that are needed to carry out the economic activity.
Within this accounting system, the accounting entity is of great importance since it is this who defines and decides what is necessary and what may become relevant for each of the actors who fulfill their role and function within the accounting environment.
Database entity
The database entity, as its name describes it, is the entity in charge of representing an object or a concept of physical space and describing it in a database, that is, through the use of tables, concept maps or models of hierarchization (all with their information backed up in a database), the database entity has the objective of keeping track of a specific real world environment.
For example, most schools make use of the database entity to keep track of their students, taking into account the level of study of each one, the classes they attend daily, the grade point average they take. so far and even data as basic as your name and surname.
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