NEEDS OF LIFE?

NEEDS OF LIFE;

                               THE BASIC NEEDS OF A HUMAN BEING ARE ROTI (FOOD) , KAPRA (CLOTH) AND MAKAN (SHELTER) AND SUCH NEEDS CAN ONLY BE FULFILLED THROUGH BUSINESS ACTIVITIES. MOREOVER, THE ROLE OF BUSINESS IS ALSO IMPORTANT IN PROVIDING THE FACILITIES OF MODERN TIME. I. E., MOBILE PHONES,
CARS PLANES AND COMPUTER ETC.

PRODUCTION;

                            EVERY PERSON WANTS TO PURCHASE GOODS ACCORDING TO HIS NEED AND CHOICE. DUE TO THIS , THE BUSINESS ENTERPRISES PRODUCE A VARIETY OF GOODS BASED ON THE LIKING AND DISLIKING OF THEIR CUSTOMERS TO REMAIN/EXIST IN THE MARKET.

SOUND ORGANIZATIONAL STRUCTURE?

SOUND ORGANIZATIONAL STRUCTURE;

                                                                              SOUND ORGANIZATIONAL STRUCTURE IS BASIC ELEMENT OF SUCCESSFUL BUSINESS BECAUSE IT BRINGS BENEFITS TO THE BUSINESS AND MAKES IT PROSPER. DIVISION OF WORK AND GOOD RELATIONSHIP BETWEEN OWNER AND WORKERS ARE GUARANTOR OF SUCCESS FOR THE BUSINESS .
REASONABLE PROFIT;    

                                            THE FIRST AND FOREMOST OBJECTIVE OF A BUSINESS IS TO EARN PROFIT. A SUCCESSFUL BUSINESSMAN EARNS REASONABLE PROFIT AFTER RENDERING USEFUL SERVICES OR PROVIDING QUALITY PRODUCTS TO THE PEOPLE.

IDEAL LOCATION;

                                 THE SUCCESS OF BUSINESS IS VERY MUCH DEPENDENT ON THE SITE OR PLACE OF BUSINESS.SO,THE TRADER SHOULD TRY TO ESTABLISH HIS BUSINESS IN THAT AREA WHERE FACTORS OF PRODUCTION ARE EASILY, ABUNDANTLY AND CHEAPLY AVAILABLE.

TRAINED STAFF;
                           
                               TRAINED STAFF (EMPLOYEES) PLAYS IMPORTANT ROLE IN THE SUCCESS OF BUSINESS.THE TRAINED STAFF SAVES THE BUSINESS FROM LOSS,EVEN IN UNFAVOURABLE CONDITIONS,DUE TO THEIR EXPERIENCE AND BROAD VISION.

MODERN MACHINERY;

                                           THE USE OR ROLE OF MODERN MACHINERY IN THE SUCCESS OF BUSINESS IN QUITE PROMINENT.THE USE OF MACHINERY CAUSE TO INCREASE IN PRODUCTION IMPROVE QUALITY OF PRODUCT AND LESS WASTAGE OF RAW MATERIAL.

REGULAR DEMAND;

                                     REGULAR DEMAND OF BUSINESS PRODUCTS IS THE KEY TO SUCCESSFUL BUSINESS BECAUSE REGULAR SALE DEPENDS ON CORRESPONDING REGULAR DEMAND OF PRODUCT.SO,OWNER MAKES EFFECTIVE ARRANGEMENTS FOR CREATING DEMAND OF HIS PRODUCT.

INNOVATION;

INNOVATION;

                          INNOVATION MEANS TO DISCOVER NEW MEANS FOR IMPROVING THE GOODS AND SERVICES. IN MODERN ERA THERE IS A TOUGH COMPETITION IN THE MARKET. THEREFORE, A BUSINESSMAN HAS TO INTRODUCE NEW GOODS ACCORDING TO THE LATEST FASHION AND DESIGN FOR THE SUCCESS OF BUSINESS.

USE OF TECHNOLOGY;

                                             USE OF TECHNOLOGY IS ANOTHER IMPORTANT ELEMENT
OF SUCCESSFUL BUSINESS. A BUSINESSMAN USES TECHNOLOGY AND MODERN METHODS OF PRODUCTION ACCORDING TO THE NATURE OF BUSINESS. THIS 
STRATEGY HELPS TO INCREASE THE PRODUCTION AND PROFIT MARGIN.

QUALITY PRODUCTION;    

                                               THE OWNER OF SUCCESSFUL BUSINESS ALWAYS TRIES TO IMPROVE THE QUALITY OF PRODUCT. QUALITY PRODUCTS NOT ONLY STRENGTHEN THE GOODWILL OF BUSINESS BUT ALSO INCREASE THE PROFIT.

INCREASE IN SALE;

                                       SALE OF GOODS OR SERVICES IS AN IMPORTANT FUNCTION
OF BUSINESS AND IT CANNOT BE FLOURISHED WITHOUT SALE. SO, THE MARKETING DEPARTMENT SHOULD BE VERY EFFECTIVE AND EFFICIENT IN SUCCESSFUL BUSINESS. IN THIS REGARD , THE ADVERTISEMENT AND AGENTS CAN PLAY VITAL ROLE.

                                                

LARGE CLAPITAL?

LARGE CAPITAL;

LARGE CAPITAL OR FINANCE IS REQUIRED FOR SUCCESSFUL OPERATION OF BUSINESS. IT HAS THE SAME IMPORTANCE IN BUSINESS AS BLOOD IN HUMAN BODY . IT PLAYS A VITAL ROLE IN THE ESTABLISHMENT AND EXPANSION OF A BUSINESS. BUSINESSMAN CAN MANAGE FINANCE/CAPITAL THROUGH EQUITY OR LOANS.

PLANNING;

GOOD PLANNING PLAYS AN IMPORTANT ROLE IN THE SUCCESS OF BUSINESS. PLANNING MEANS TO DECIDE WHAT, HOW AND WHEN THE WORK HAS TO BE PERFORMED. IT IS ALSO HELPFUL IN FIXING THE RESPONSIBILITY OF EACH WORKER AND TO DELEGATE THE AUTHORITIES.PROFIT OF BUSINESS DEPENDS UPON SUCCESSFUL AND EFFECTIVE PLANNING.

ELEMENT OF A GOOD BUSINESS?

EXPERT MANAGEMENT;

HUMAN FACTOR PLAYS IMPORTANT ROLE IN IMPROVING THE PERFORMANCE OF A BUSINESS.EFFECTIVE AND GOOD MANAGEMENT SOLVES MANY PROBLEMS OF  THE BUSINESS. THEREFORE , GOOD MANAGEMENT IS NECESSARY TO RUN THE BUSINESS EFFICIENTLY AND EFFCTIVELY.

.

CHARACTERISTICS OF BUSINESS?

EXCHANGE OF IDEAS;

THE EXPERTS OF DIFFERENT DEPARTMENTS EXCHANGE THEIR VIEWS FOR THE SMOOTH WORKING AND PROMOTION OF BUSINESS. SOMETIMES, THE TRADERS AND CUSTOMERS ALSO SHARE THEIR IDEAS FOR THE GROWTH OF BUSINESS.

CREATING CUSTOMERS;            

PROFITS ARE CREATED BY GOD OR BY THE FORCES OF NATURE. THEY ARISE FROM THE BUSINESSMEN'S EFFORTS BY SATISFYING THE NEEDS AND WANTS OF CUSTOMERS. A BUSINESSMAN CAN EARN PROFITS ONLY WHEN THERE ARE ENOUGH CUSTOMERS TO BUY AND PAY FOR HIS GOODS AND SERVICES. THE CUSTOMER IS THE FOUNDATION OF BUSINESS AND KEEPS IT IN EXISTENCE.

INNOVATION;

BUSINESS UNDERGOES DYNAMISM  AND CHANGE, IN THESE DAYS OF COMPETITION A BUSINESS CAN BE SUCCESSFUL ONLY WHEN IT CREATES NEW DESIGNS, BETTER QUALITY, IMPROVED TECHNIQUES, NEW VARIETIES, ETC. MODERN SCIENCE AND TECHNOLOGY HAVE CREATED A GREAT SCOPE FOR INNOVATION IN THE BUSINESS WORLD.

SERVICES  OF MIDDLEMEN;

MOST OF THE TIME , AGENTS OR MIDDLEMEN NOT ONLY HELP IN MAKING CONTACT BETWEEN BUYER AND SELLER, BUT ALSO ASSIST FOR THE FORMATION OF SALE OR PURCHASE CONTRACTS. THE REMUNERATION OF THESE AGENTS IS CALLED COMMISSION.

CULTURE.

THE CULTURE AND CIVILIZATION CANNOT BE IGNORED DURING THE PROCESS OF PRODUCTION OF GOODS AND SERVICES,BECAUSE A CUSTOMER ALWAYS CONSIDERS HIS CULTURAL AND SOCIAL VALUES IN BUSINESS DEALINGS.

CHARACTERISTICS OF BUSINESS?

1=EMPLOYMENT;
A BUSINESS IS EXPECTED TO PROVIDE THE MEANS OF LIVELIHOOD TO THE MEMBERS OF SOCIETY. THUS, A BUSINESS IS NOT ONLY A GOOD SOURCE OF SELF EMPLOYMENT FOR ITS OWNERS BUT ALSO OFFERS VARIETY OF JOBS TO OTHER PEOPLE LIKE AGENTS, TRANSPORTERS AND BANKERS ETC.

2=REGULAR TRANSACTIONS;
A  BUSINESS INVOLVES A SERIES OF DEALINGS. A SINGLE TRANSACTION CANNOT BE CALLED BUSINESS. FOR INSTANCE, IF A STUDENT SELLS HIS BOOK TO SHOPKEEPER OR TO A STUDENT,IT IS NOT A BUSINESS.ON THE OTHER HAND IF HE REGULARLY PURCHASES AND SELLS BOOKS IN HIS SPARE TIME,THEN IT WILL BE CONSIDERED AS HIS BUSINESS.

3=CREATION OF UTILITY;
UTILITY IS AN  ECONOMIC TERM.IT REFERS TO THAT CHARACTERISTIC OF A CERTAIN COMMODITY, WHICH  CAN SATISFY  ANY HUMAN NEED AND WANT. A BUSINESS CREATES UTILITY IN DIFFERENT GOODS AND SERVICES, WHICH DELIVER SATISFACTION TO ENTIRE SOCIETY.

4=TRANSACTIONS FOR A PRICE;
IN BUSINESS, GOODS AND SERVICES ARE PRODUCED OR EXCHANGED FOR SOME CONSIDERATION  (PRICE). IF THERE IS NO SALE, TRANSFER OR EXCHANGED FOR PRICE, IT WILL NOT CONSTITUTE BUSINESS. BUT COOKING FOOD AND SELLING IT TO OTHERS FOR A PRICE BECOMES BUSINESS.

CHARACTERISTICS OF BUSINESS?

1.GOODS AND SERVICES;
Irrespective of its scale,every business deals with sale, purchase, production and exchange of goods or services for some consideration. For the purpose, there are many factories, bank, insurance companies, doctors and lawyers etc. are in  working.
2.PROFIT MOTIVE:
A business is not the charity. Earning of profit and acquiring of wealth are the primary objectives of every business. If an enterprise doesn't have the aim of earning profit, it wouldn't be a business. Moreover, if a business does not earn profit then it cannot survive for long.
3.ELEMENT OF RISK:
No doubt, business is started with a view to earn profit but it has to cope with some uncontrollable factors such as change in demand, taste, fashion and degree of competition etc. Hence, a business cannot run without some elements of risk.
4.MANAGEMENT;
Management is the backbone of a business. Every business, irrespective of its size and nature, has management to manage and control the various factors of production. The concept and importance of management is explained with the help of a experience person.
5.CAPITAL;
Capital is a basic and essential part of every business. No person can even imagine carrying on business without capital. In case of shortage of funds, the owners may obtain loan from their friends, relatives and financial institutions.

BUSINESS ACTIVITIES?

THE RANGE OF BUSINESS ACTIVITIES IS VERY WIDE.AS WHEELER HAS PUT IT ,"BUSINESS",LIKE WEATHER,IS WITH US EVERY DAY.BUYING AND SELLING,HIRING AND FIRING ,PRODUCING AND FINANCING,THESE ARE BUT A FEW OF THE MANY BUSINESS ACTIVITIES WHICH DAILY INFLUENCE THE LIVES OF ALL OF US DIRECTLY OR INDIRECTLY".

IS THE BUSINESS AN ECONOMIC ACTIVITY?

BUSINESS IS AN ECONOMIC ACTIVITY

BECAUSE IT IS CONCERNED WITH THE CREATION OF WEALTH. IT IS CARRIED ON IN ORDER TO EARN A LIVELIHOOD.AS AN ECONOMIC ACTIVITY, BUSINESS INVOLVES THE SALE,TRANSFER OR EXCHANGE OF  GOODS AND SERVICES. PRODUCTION OR PURCHASE OF GOODS AND SERVICES FOR
PERSONAL CONSUMPTION OR FOR PRESENTING AS A GIFT DOES NOT CONSTITUTE BUSINESS.FOR EXAMPLE , IF A HOUSEWIFE COOKS FOOD FOR HER FAMILY,IT IS NOT BUSINESS BECAUSE NO SALE IS INVOLVED. ON THE OTHER HAND , IF SHE COOKS FOOD AND SELLS IT TO OTHERS, IT WILL BECOME BUSINESS PROVIDED IT IS DONE ON REGULAR BASIS AND WITH THE AIM OF EARNING PROFIT .

NATURE OF BUSINESS

THE MEANING AND NATURE OF BUSINESS CAN ALSO BE EXPLAINED WITH THE HELP
OF FOLLOWING POINTS:

1=BUSINESS IS A HUMAN ACTIVITY:
BUSINESS IS PURELY A HUMAN ACTIVITY. IT IS THE HUMAN BEING WHO STARTS BUSINESS,EARNS PROFIT AND MANAGES DIFFERENT FACTORS RELATED TO THE BUSINESS.
2=BUSINESS IS A SYSTEM:
BUSINESS IS A SYSTEMATIC AND SOUND ARRANGEMENT OF VARIOUS FACTORS, WHICH NEEDS TO THE FULFILLMENT OF PARTICULAR OBJECTIVE ACCORDING TO A WELL-ESTABLISHED STRATEGY.A BUSINESS ENTERPRISE IS A COMBINATION OF A VARIOUS SUB-SYSTEMS.
3=BUSINESS IS A SOCIAL PROCESS;
BUSINESS IS A PROCESS, WHICH IS RUN BY THE OWNERS WITH THE HELP OF EMPLOYEES, PROFESSIONALS AND CUSTOMERS, THESE PEOPLE ARE THE PART OF SOCIETY WHOSE WELFARE IS THE RESPONSIBILITY OF BUSINESS . THUS THE BUSINESS IS A SOCIAL PROCESS.  

DEFINITION OF BUSINESS?

1="Business is an enterprise engaged in the production and distribution of goods for sale in market or rendering services for a price.
2="Business may be defined as human activity directed towards producing or acquiring wealth through buying and selling goods"
3="

Business is an institution organized and operated to provide goods and services to society under the incentive of private gain."

CONCEPT OF BUSINESS?

CONCEPT OF BUSINESS?

Business involves regular or recurring purchase and sale of goods and services with the purpose of earning profits through the satisfaction of human needs. Repeated dealings rather than a single isolated transaction constitute business. Business may be distinguished from other activities by the fact that goods and services created or purchased are meant for sale and not for personal consumption.

BUSINESS CATEGORIES?

We should focus to decide ,"SHORT TERM" business benefits or "LONG TERM'' business benefits

specially by self written start.

CONCEPT OF BUSINESS? 
The literal meaning of term "Business" is a state of being busy.It is a wider term and may be explained as an activity in which different persons exchange something of value, whether goods or services, for mutual gain or profit. It is an organized or systematic activity involving the satisfaction of human wants.

HOW TO START A BUSINESS?

Initially a person needs money,time,working team,confidence,management team and many skills to start a business.