Business involves the legal production, purchase, and sale of goods and services to earn a profit. It aims to create utility and fulfill societal needs. Key business functions include planning, production, purchasing raw materials, sales, insurance, market research, grading/standardization, advertising, and publicity. Businesses are economically and socially important by properly utilizing resources, encouraging savings and development, supplying goods/services, creating jobs, and improving standards of living. While early civilizations engaged in business for livelihood, it differs from an occupation in that special training/knowledge and membership in a professional organization are not required for business. The main objective of business is earning money/profit, unlike occupations which aim to provide services. Therefore, business

1. Basic Concept of Business

2. Definition of Business
The word ‘Business’ is come from the English words
‘Busi+Ness’. Business is the legal process of
production and purchasing and selling to earn profit.
 B.O Wheeler said , “Business is an institution
organized to provide goods and services to the society
under the incentive of gain.”
 Skinner said , “Business is the exchange of goods ,
services or money for mutual benefit or profit.”

3. Definition of Business
 In a word, “Business means creation of utility”.
From the functional point of view, the business is
related all kinds of legal works of producing , marketing
and exchanging products and services with the intension
to earn profit .

4. Functions of Business
There are many function need for running a business.
These are given below:-
 Planning : To make a plan is so essential for
production, distribution and investment. Without
planning any business can’t achieve their destiny.
 Production : Production or creating utility is the
primary function. By producing goods and delivering
services business organizations try to fulfill the needs of
the people.
 Purchase : To continue the process of production
businessmen purchase raw-materials from the suppliers.

5. Functions of Business
 Sale : Sale means transfer of the ownership of goods
and delivery services to another person.
 Insurance : In business there are many types of risks
such as deflation , price falling, fire and accident etc .
For that reason should take insurance policy.
 Market research : By market research businessmen get
the information about the customer’s need , demand ,
purchasing power , expectation.

6. Functions of Business
 Grading & Standardization : Grading means to
classify the products according to their criteria , quantity
, value and nature. Standardization means to divide the
product according to the quality.
 Advertisement & Publicity : Business organization
should make advertisement and publicity to create
customer and inform them about the shape ,size , quality
and price of production.

7. Importance of Business
There are many importance of business , these are
given below :-
 Economic Importance
1.Proper utilization
2.Division of labor
3.Utilization of developed technology
4.Encouraging savings
5.Increase government revenue
6.Growth of personal & national income
7.Development of banking and insurance

8. Importance of Business
 Social Importance
1.Supply of goods and service
2.Create employment
3.Improvement of the living standard
4.Development of efficiency , culture and industrial
arts
5.Urbanization
6.Help to industry
7.Development of International Relationship

9. Is Business an Occupation ?
People are involved in various works for livelihood .
Involving in the different occupation people are try to earn
money . For that reason early stage of civilization people
are involved in business to earn money for livelihood .
But in this moment there arises a question that :
“Is business an occupation”?

10. Is Business an Occupation ?
If we want to this question at first we should mention
difference between business and occupation . Difference in
below :-
A). Special knowledge is needed to be professional ,
But for businessman it is not essential .
B).Professional need to acquire knowledge by training
and experience . But in business it is not necessary.
C).To involve in any occupational organization is
needed to be a member of the representative professional
organization . But the persons who want to conduct
business need not do these activities.

11. Is Business an Occupation ?
D).In profession; main objective is to deliver service
for livelihood. But in business earning money or profit is
main objective.
E).People of any profession should follow the ethical
codes for the guidance of conduct , but the businessman
has no certain ethical codes as guidance of conduct.
From the analysis , we can say business is not treated as
profession . But all types of occupational works are
treated as profession.

12. Thank You