Introduction To Business Chp # 01 “Nature & Scope Of Business”
Table Of Contents
1. Concept of business: ................................................................................................................ 6
2. General definition of business: ................................................................................................ 6
3. Organization:............................................................................................................................ 6
4. Types of organization: .............................................................................................................. 6
4.1. Profit organization: ........................................................................................................... 6
4.2. Government Organization: ............................................................................................... 7
4.3. Not for profit Organization: .............................................................................................. 7
5. DIVISION OF BUSINESS ON THE BASIS OF GOODS AND SERVICES .......................................... 7
5.1. Manufacturing Business: .................................................................................................. 7
5.2. Merchandising Business: .................................................................................................. 7
5.3. Services:............................................................................................................................ 7
6. Activities Excluded From Business: .......................................................................................... 7
6.1. Social Services Activities:.................................................................................................. 7
6.2. Personal Consumption Activities:..................................................................................... 8
6.3. Illegal Activities:................................................................................................................ 8
6.4. Religious Activities:........................................................................................................... 8
7. Definitions Of Business By Some Experts: ............................................................................... 8
7.1. According To Urwick & Hunt: ........................................................................................... 8
7.2. According To Davis:........................................................................................................... 8
7.3. According To Ronald: ........................................................................................................ 8
8. Characteristics Of Business: ..................................................................................................... 8
8.1. Deals In Goods & Services: ............................................................................................... 8
8.2. Series Of Deals:................................................................................................................. 8
8.3. Profit: ................................................................................................................................ 9
8.5. Capital:.............................................................................................................................. 9
8.6. Creation Of Utilities: ......................................................................................................... 9
9. FACTORS OF PRODUCTION: ..................................................................................................... 9
9.1. Land: ................................................................................................................................. 9
9.2. Labor:................................................................................................................................ 9
Page 1 of 21
Created By HAMEED ULLAH
,Introduction To Business Chp # 01 “Nature & Scope Of Business”
9.3. Capital:............................................................................................................................ 10
9.3.1. Money Capital: ........................................................................................................ 10
9.3.2. Real/Physical Capital: .............................................................................................. 10
9.4. Enterprise/ Entrepreneur: .............................................................................................. 10
10. COMPONENT OF BUSINESS................................................................................................ 10
10.1. Industry: ......................................................................................................................... 10
10.2. Primary Industries: ..................................................................................................... 10
10.2.1. Extractive Industry: ................................................................................................. 10
10.2.2. Genetic Industry: ..................................................................................................... 11
10.3. Secondary Industries: ................................................................................................. 11
10.4. Types Of Secondary Industries: ...................................................................................... 11
10.4.1. Constructive Industry: ............................................................................................. 11
10.4.2. Manufacturing Industry: ......................................................................................... 11
10.5. Services industry: ........................................................................................................ 11
11. Commerce: ......................................................................................................................... 11
11.1. Types Of Commerce: ...................................................................................................... 11
11.2. Trade: .............................................................................................................................. 11
11.2.1. Home Trade: ............................................................................................................ 11
11.2.2. Foreign Trade: ......................................................................................................... 11
11.3. Aid To Trade: ............................................................................................................... 12
11.4. Types Of Aid To Trades: .................................................................................................. 12
11.4.1. Transportation:........................................................................................................ 12
11.4.2. Insurance: ................................................................................................................ 12
11.4.3. Warehousing: .......................................................................................................... 12
11.4.4. Banking:................................................................................................................... 12
11.4.5. Advertisement:........................................................................................................ 12
11.4.6. Mercantile Agent: ................................................................................................... 12
11.4.7. Communication: ...................................................................................................... 12
12. Objectives Of Business: ...................................................................................................... 12
12.1. Economic Objectives:.................................................................................................. 13
12.1.1. Profit Earning: ......................................................................................................... 13
Page 2 of 21
Created By HAMEED ULLAH
, Introduction To Business Chp # 01 “Nature & Scope Of Business”
12.1.2. Creating Markets: .................................................................................................... 13
12.1.3. Technological improvement: ................................................................................... 13
12.2. Social Objectives: ........................................................................................................ 14
12.2.1. Supply Of Standard Quality Goods: ........................................................................ 14
12.2.2. Avoidance Of Anti-Social Activities: ........................................................................ 14
12.2.3. Welfare Of Employees: ........................................................................................... 14
12.2.4. Avoidance Of Pollution: .......................................................................................... 14
12.2.5. Provide Employment:.............................................................................................. 14
12.2.6. Co-operation With Government: ............................................................................ 14
12.3. Human Objectives: ..................................................................................................... 14
12.3.1. Job Satisfaction: ...................................................................................................... 14
12.4. Providing opportunities to Employees: ...................................................................... 14
12.5. Thinking Of Modern Business: ....................................................................................... 15
12.6. Well-being Of Employee: ................................................................................................ 15
12.7. Developed Employee Skills & Abilities: ...................................................................... 15
12.8. Positive Work Space:................................................................................................... 15
12.9. National Objectives:.................................................................................................... 15
12.9.1. Use Of National Resources:..................................................................................... 15
12.9.2. Co-operation With Government: ............................................................................ 15
12.9.3. Export Promotion: ................................................................................................... 15
13. IMPORTANT OF BUSINESS IN PRESNT DAY LIFE ................................................................. 15
14. Importance of business:..................................................................................................... 15
14.1. Mass Production Of Goods: ........................................................................................ 16
14.2. Expansion Of Market: ................................................................................................. 16
14.3. Communication And Transportation: ......................................................................... 16
14.4. Innovations: ................................................................................................................ 16
14.5. Insurance: ................................................................................................................... 16
14.6. Employment: .............................................................................................................. 16
14.7. Source Of Revenue: .................................................................................................... 16
14.8. Urbanization: .............................................................................................................. 16
14.9. Business Supplies Services:......................................................................................... 16
Page 3 of 21
Created By HAMEED ULLAH
Table Of Contents
1. Concept of business: ................................................................................................................ 6
2. General definition of business: ................................................................................................ 6
3. Organization:............................................................................................................................ 6
4. Types of organization: .............................................................................................................. 6
4.1. Profit organization: ........................................................................................................... 6
4.2. Government Organization: ............................................................................................... 7
4.3. Not for profit Organization: .............................................................................................. 7
5. DIVISION OF BUSINESS ON THE BASIS OF GOODS AND SERVICES .......................................... 7
5.1. Manufacturing Business: .................................................................................................. 7
5.2. Merchandising Business: .................................................................................................. 7
5.3. Services:............................................................................................................................ 7
6. Activities Excluded From Business: .......................................................................................... 7
6.1. Social Services Activities:.................................................................................................. 7
6.2. Personal Consumption Activities:..................................................................................... 8
6.3. Illegal Activities:................................................................................................................ 8
6.4. Religious Activities:........................................................................................................... 8
7. Definitions Of Business By Some Experts: ............................................................................... 8
7.1. According To Urwick & Hunt: ........................................................................................... 8
7.2. According To Davis:........................................................................................................... 8
7.3. According To Ronald: ........................................................................................................ 8
8. Characteristics Of Business: ..................................................................................................... 8
8.1. Deals In Goods & Services: ............................................................................................... 8
8.2. Series Of Deals:................................................................................................................. 8
8.3. Profit: ................................................................................................................................ 9
8.5. Capital:.............................................................................................................................. 9
8.6. Creation Of Utilities: ......................................................................................................... 9
9. FACTORS OF PRODUCTION: ..................................................................................................... 9
9.1. Land: ................................................................................................................................. 9
9.2. Labor:................................................................................................................................ 9
Page 1 of 21
Created By HAMEED ULLAH
,Introduction To Business Chp # 01 “Nature & Scope Of Business”
9.3. Capital:............................................................................................................................ 10
9.3.1. Money Capital: ........................................................................................................ 10
9.3.2. Real/Physical Capital: .............................................................................................. 10
9.4. Enterprise/ Entrepreneur: .............................................................................................. 10
10. COMPONENT OF BUSINESS................................................................................................ 10
10.1. Industry: ......................................................................................................................... 10
10.2. Primary Industries: ..................................................................................................... 10
10.2.1. Extractive Industry: ................................................................................................. 10
10.2.2. Genetic Industry: ..................................................................................................... 11
10.3. Secondary Industries: ................................................................................................. 11
10.4. Types Of Secondary Industries: ...................................................................................... 11
10.4.1. Constructive Industry: ............................................................................................. 11
10.4.2. Manufacturing Industry: ......................................................................................... 11
10.5. Services industry: ........................................................................................................ 11
11. Commerce: ......................................................................................................................... 11
11.1. Types Of Commerce: ...................................................................................................... 11
11.2. Trade: .............................................................................................................................. 11
11.2.1. Home Trade: ............................................................................................................ 11
11.2.2. Foreign Trade: ......................................................................................................... 11
11.3. Aid To Trade: ............................................................................................................... 12
11.4. Types Of Aid To Trades: .................................................................................................. 12
11.4.1. Transportation:........................................................................................................ 12
11.4.2. Insurance: ................................................................................................................ 12
11.4.3. Warehousing: .......................................................................................................... 12
11.4.4. Banking:................................................................................................................... 12
11.4.5. Advertisement:........................................................................................................ 12
11.4.6. Mercantile Agent: ................................................................................................... 12
11.4.7. Communication: ...................................................................................................... 12
12. Objectives Of Business: ...................................................................................................... 12
12.1. Economic Objectives:.................................................................................................. 13
12.1.1. Profit Earning: ......................................................................................................... 13
Page 2 of 21
Created By HAMEED ULLAH
, Introduction To Business Chp # 01 “Nature & Scope Of Business”
12.1.2. Creating Markets: .................................................................................................... 13
12.1.3. Technological improvement: ................................................................................... 13
12.2. Social Objectives: ........................................................................................................ 14
12.2.1. Supply Of Standard Quality Goods: ........................................................................ 14
12.2.2. Avoidance Of Anti-Social Activities: ........................................................................ 14
12.2.3. Welfare Of Employees: ........................................................................................... 14
12.2.4. Avoidance Of Pollution: .......................................................................................... 14
12.2.5. Provide Employment:.............................................................................................. 14
12.2.6. Co-operation With Government: ............................................................................ 14
12.3. Human Objectives: ..................................................................................................... 14
12.3.1. Job Satisfaction: ...................................................................................................... 14
12.4. Providing opportunities to Employees: ...................................................................... 14
12.5. Thinking Of Modern Business: ....................................................................................... 15
12.6. Well-being Of Employee: ................................................................................................ 15
12.7. Developed Employee Skills & Abilities: ...................................................................... 15
12.8. Positive Work Space:................................................................................................... 15
12.9. National Objectives:.................................................................................................... 15
12.9.1. Use Of National Resources:..................................................................................... 15
12.9.2. Co-operation With Government: ............................................................................ 15
12.9.3. Export Promotion: ................................................................................................... 15
13. IMPORTANT OF BUSINESS IN PRESNT DAY LIFE ................................................................. 15
14. Importance of business:..................................................................................................... 15
14.1. Mass Production Of Goods: ........................................................................................ 16
14.2. Expansion Of Market: ................................................................................................. 16
14.3. Communication And Transportation: ......................................................................... 16
14.4. Innovations: ................................................................................................................ 16
14.5. Insurance: ................................................................................................................... 16
14.6. Employment: .............................................................................................................. 16
14.7. Source Of Revenue: .................................................................................................... 16
14.8. Urbanization: .............................................................................................................. 16
14.9. Business Supplies Services:......................................................................................... 16
Page 3 of 21
Created By HAMEED ULLAH
