User:Dharmendrac

INTRODUCTION TO BUSINESS ORGANIZATION


 * 1) Definition of business

> An organization or economic system where goods and services are exchanged for one another or for money. Every business requires some form of investment and enough customers to whom its output can be sold on a consistent basis in order to make profit. Simply put, it is "any activity or enterprise entered into for profit.There are many types of business, some is small scale business and some of are very large business. i.e sole proprietor is a small forms of business which is usually managed and controlled by only one person whereas multinational types of business is very large type of business organization which is globally managed and organized by more persons. The main motive to involve in business activity is to make profit and provide different types of products and services to the people.

To do the business, there is many risks which must be bear by the owner of the company in order to make profit. The statement  more risks more profit, less risks less profit ensures about the small scale business needs less capital for the established of such business compare to large scale business organization so that the owner of such company should bear less risk than the large one.There are many pros and cons having small and large scale business.

Pros of small scale business

a) Easy to start

b) Being your own boss

c) Pride of ownership

d) Leaving a legacy

e) No special taxes

f) Lower overhead costs

g) Quick to react to changing market conditions

cons of small scale business

a) Unlimited liability

b) limited financial resources

c) management difficulties

d) lack of few benefits

e) limited growth

f) limited of life span

h) Time commitment

In generally, the large scale business can be defined as the trade or exchange of products and services among several countries. there are separated many category or position of the job to the staff in order to run the business smooth and easy way. In this business, the owners of the company shared more capital to establish such business so that they can make more profit due to the scattered of business in many areas. This types of company take a vital role to develop the nation from providing different services not only the job opportunities to the unemployment people but also the taxes and so on. there is also a pros and cons of having large scale business which is given below.

Pros of large scale business

a) extra set of hand

b) additional knowledge

c) more and more money for investment

d) large size

e) more profit

f) they can make for engaged employee and customers

h) they are democratic

Cons of large scale business

a) less independence

b) potential conflict

c) divided profits

d) lack of separation from business

e) extensive paperwork

f) difficulty of termination

h) slow decision making process

I have included the simply form about the small and large business where you can find the definition of the business organization, pros and cons of the business organization and the some features of having the small and large scale business organization. I am a student not a professional author so if i any mistakes in my texts then please apologize me.

thank you

yours sincerely

Dharmendra chaudhary

Rautahat Nepal

Category:Business