Business organizations exist to create value for customers. Their purpose is to produce goods and services that meet customer wants and needs. Proper management is essential for the success of a business organization. Effective management requires controlling resources like manpower, money, machines and materials, and focusing on economic factors like production, financing, and marketing. The role of economics is vital in business planning and operations.

2. They create investments,
employments, production,
and incomes.
Theymake and supply goods
and services to the economy.

3. Peter Drucker, a management
specialist
said that The purpose of
business is to create customer.
William Stanton, a marketing
expert
stated that The wants of the
customers should be identified
and satisfied.

5. -It is a form of
organization which
is owned by one
person.

6. EXAMPLES

7. -It is a form of
business organization in
which two or more
persons agree to own
and operate a business.

8. -It is a legal entity,
distinct and separate
from individuals who
own it.

9. EXAMPLES

11. Control production, financing,
processing and marketing of all
essentials goods all over the world.
Examples:

12. is a business organization
owned and operated by a
group of individuals for
their mutual benefit.

13. Factors of production are
privately owned and
managed.
 Both depend on business
efficiency to survive in a
competitive market.

14. Their activities and
operations are both
regulated and supervised
by the government.
Both enjoy a reasonable
degree of economic
freedoms

15. A cooperative is for service
while a corporation is for
profit.
 Membership in a cooperative is
open and voluntary while in a
corporation membership is only
for wealthy relatives and
friends.

16. Government in a
cooperative is democratic. It
is one man one vote and no
proxy voting. In the case of
a corporation, it is one share
one vote, and more shares
more votes. It is the rule of
the minority(richer
members).

17. Savings or net profits are
refunded to the members
of a cooperative on the
basis of their individual
patronage while in a
corporation, profits are
distributed to the
stockholders on the basis of
number of their shares.

19. BUSINESS MANAGEMENT
The activities associated with
running a company, such
as controlling, leading, monitori
ng, organizing, and planning.

20. The success of a business organization
depends on proper management.
Resources of the Organization:
 Manpower
 Money
 Machines
 Materials

21. Karl Marx said:
 What the employer has to pay the
worker is only enough to keep the
worker alive. What he collects from
the customer is the true value of the
labor put into the article. The
capitalist, in the process of
accumulating wealth for himself,
therefore robs and exploits the
worker.

23. Peter Drucker
 Management is primarily an economic
organ.
The role of economics in business
management is very vital.
Economic analysis is needed in
planning and operations of the
business organization.

24. The first job of management is
managing a business
The other jobs are managing
managers, and managing worker and
work.
The three jobs of management are
integrated, and are interdependent.

25. 1. Lifetime Employment System
2. Company-based Unions

26. 1. for the company
2. for their employees
3. for the customers