05
Feb
09

What Is Business?

Business Meeting

Business is a word which is commonly used in many different languages. But exactly what does it mean? The concepts and activities of business have increased in modern times. Traditionally, business simply meant exchange or trade for things people wanted or needed. Today it has a more technical definition. One definition of business is the production, distribution,and sale of goods and services for a profit. To examine this definition, we will at its various parts.

First, production is the creation of services or the changing of materials into products. Next, the product need to be moved from the factory to the marketplace. This known as distribution.

Third is the sale of goods and services. Sale is the exchange of a product or services for money. Goods are products which people either need or want and the services are activities which a person or group perform for another person or organization.

Business, then, is a combination of all these activities : production, distribution and sale.

However, there is one other important factor. This factor is the creation of profit or economic surplus. Profit is the manoy that remains after all the expenses are paid. Creating an economic surplus or profit is, therefore, a primary goal of business activity.

***

Summary

  1. Business is the combination of all these activities such as a production, distribution and sale for a profit.
  2. Production is the the creation of services or the changing of materials into products.
  3. Distribution is the moving of goods from the factory to the marketplace.
  4. Sale is the exchange of a product or service for money.
  5. Profit is the money that remains after all the expenses are paid.

0 Responses to “What Is Business?”



  1. Leave a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s


SeJak 15 Juni 2008 KaMu taMu ke...

  • 401,490 Visitors

cHe_de.li.ci.ous

RSS Kamar Hikmah

  • An error has occurred; the feed is probably down. Try again later.

RSS Belajar Komputer

  • An error has occurred; the feed is probably down. Try again later.

RSS LiNtaS beRiTa

  • An error has occurred; the feed is probably down. Try again later.

RSS Kamar Info

  • An error has occurred; the feed is probably down. Try again later.

GudaNg FiLe

February 2009
M T W T F S S
« Jan   Mar »
 1
2345678
9101112131415
16171819202122
232425262728  

%d bloggers like this: