Management - Overview of Business

1/15/2015

Overview Of Business

By Prof. Mohammed Aadil

The purpose
of Management

Business

Business is an

activity,
continuous

economic

which is related with

&
regular

production & distribution

of goods and services for
satisfying human wants

Mohammed Aadil - HLS

But are different in

different worlds.

Management - Overview of Business

1/15/2015

Human Needs

Value
concept

Definitions
NATURE OF
BUSINESS

Role of
Business

Economic
Development

To Satisfy
human
wants

Deals in
goods &
services

Marketing
&
Distribution

Exchange
of goods
& services

Deals in
numerous
transactions

Features
of
Business

Profit is
the main
Objective

Connected
with
production

Buyer &
Seller

Mohammed Aadil - HLS

Risks &
Uncertainties

Business
skills for
economic
success

Characteristics
of
Business

Uncertainty & Risks

Invests in space,
time, equipment &
skills

Minimising
Uncertainty & Risks

Scale of operation
consideration

Need for
Ownership &
Entrepreneurship

High Achievement
Motivation & single
purpose devotion

Management - Overview of Business

1/15/2015

Manufact
uring

Types of Business

Trade
Types of
Business

Businesses which deal in buying and selling of

goods/merchandise are known as trading businesses.
Examples - kiosks, hawking, market vending, grocery
shops, retail shops, supermarkets, wholesalers, etc

Those which transform or process raw materials

Manufacturing

and make products that are significantly different from the

inputs.

Examples Beverage, Metal, Chemical, Plastics, Textiles,

Extractive manufacturing etc

Service

Trade

Service

Businesses which provide services to their

customers by using the specialized skills of their
owners and workers.
- travel agencies, hair and beauty saloons, motor
vehicle repair garages, secretarial and computing service bureaus,
restaurants, hotels, lodges, transport companies, communication
companies, consultancy etc

Examples

Industrial
Sector

Mohammed Aadil - HLS

Management - Overview of Business

1/15/2015

&

GLOBALIZATION
Present

Past

GLOBALIZATION

Mohammed Aadil - HLS

Management - Overview of Business

1/15/2015

Causes of Globalisation
Improved Communications

Operate throughout the world., marketing

avenues

Improved Transport

Containerisation supports ship & air

transport

Causes of Globalisation
Free Trade Agreements

International Trade, Increasing wealth

and influence.

Causes of Globalisation
Global Banking

Growth of MNCs

Investment, produce & sell on a massive

scale
investment

Economic

Consumer Preferences

Types of
Globalization

Social

Political

investment

Mohammed Aadil - HLS

Management - Overview of Business

Cultural
Impact

AntiGlobalisation
Protests

1/15/2015

Effects of Globalisation

Changed
Food
Supply

Effects of
Globalisation
Environme
ntal
Damage

Less Job
Security

Division
of
Labour

No seasons

Effects of Globalisation

Effects of Globalisation
Environmental Damage

More transport

Mohammed Aadil - HLS

Management - Overview of Business

1/15/2015

Effects of Globalisation
Anti
Monoculture

Replacing

High
Standard
Living

Quality
Products

Small
producers s
hardship

Supply of
Raw
Materials

Indian
MNCs

Financial
Insecurity,
Unequal
opportunities

Never
Technology

Mohammed Aadil - HLS

Foreign
collaborati
on

Job
Security

Unemployment

Less
Wages

Management - Overview of Business

1/15/2015

Surah Ash Shuara: Ayat 181 - 183

Mohammed Aadil - HLS