JUNIOR ACHIEVEMENT

an educational organization of the United States and Canada that offers young people of high-school age the opportunity to gain business experience by organizing and operating their own small businesses under the guidance of volunteer advisers from business and industry. The Junior Achievement program was founded by Horace A. Moses of Springfield, Mass., and incorporated in 1926. Its major growth occurred after World War II. The Junior Achievement company is the basic unit. The boys and girls are its board of directors, labour force, and sales staff. In the autumn the youngsters elect officers, decide on the product the company will make and sell, and determine the amount of working capital that the firm will need to begin production. They sell capital stock to parents, friends, teachers, and others. No one person can own more than five shares, and every member of the company must own at least one. When the company has raised its capital, a bank account is opened, and raw materials are purchased. The company applies for its Junior Achievement charter, pays rent, and buys the small tools that it needs. Complete books are kept. In the spring the companies go out of business. Inventory is sold, all debts are paid, and, if the company has been profitable (most of them are), the stockholders receive their investment back along with a liquidation dividend. Each company is guided by three adult advisers, and average company membership is 15. National headquarters are in New York City.