NATURE AND PURPOSE OF BUSINESS sgnayagam的性质和宗旨的企业sgnayagam.pptVIP

CONCEPT OF BUSINESS Business may be defined as an economic activity involving the production and sale of goods and services undertaken with the motive of earning profit by satisfying human needs in the society. CHARACTERISTICS OF BUSINESS ACTIVITIES An economic activity. Production or procurement of goods and services. Sale or exchange of goods and services for the satisfaction of human needs. Dealings in goods and services on a regular basis. Profit earning. Uncertainty of return. Element of risks. INDUSTRY PRIMARY INDUSTRIES: These includes all those activities, which are connected with the extraction and production of natural resources and reproduction and development of living organisms, plants etc. SECONDRY INDUSTRIES: These are concerned with using the materials, which have already extracted at the primary stage. TERTIARY INDUSTRIES: These are concerned with providing support services to primary and secondary industries as well as activities relating to trade. COMMERCEcommerce is said to consist of activities of removing the hindrances of person, place, time, risk, finance information in the process of exchange of goods services.TRADETrade is an essential part of commerce . It refer to sale, transfer or exchange of goods. It helps in making the goods produced available to ultimate consumer or users.AUXILIARIES TO TRADEActivities which are meant for assisting trade are known as auxiliaries to trade. Auxiliaries to trade are briefly discussed below:-(i) Transport communication (ii) Banking and Finance(iii) Insurance(iv) warehousing(v)AdvertisingOBJECTIVES OF BUSINESSProfit may be regarded as an essential objective of business for various reasons :-(i) It is a source of income for business person(ii) It can be a source of finance for meeting expansion requirements of business.(iii) It indicates the efficient working of business.(iv) It builds up the reputation of a business enterprises. MULTIPLE OBJECTIVES OF BUSINESSThe objectives d