2. Business is an Economic activity
which involves regular production and
or exchange of goods and services with
the main purpose of earning profits
through the satisfaction of human
wants.
According to B.O Wheeler -``Business is
an institution organized and operated
to provide goods and services to society
under the incentive of private gain.”
3. TYPES OF ECONOMIC ACTIVITY
ECONOMIC ACTIVITIES
BUSINESS
TRADE
INDUSTRY
BANKING
TRANSPORTATION
INSURANCE
WAREHOUSING
ADVERTISING ETC.
PROFESSION
MEDICAL
LEGAL
CHARTERED ACCOUNTANT.
EMPLOYMENT
MANAGER
CLERK
SALESPERSON
4. What is ‘business activity’?
The activities or operations carried out by a
business, example making goods, selling goods,
providing a service.
Any activity that is engaged in for the primary
purpose of making a profit. Business activities
can include things like production, operations,
marketing, and administration.
5. Categories of business activities
(1) Activities related to production of goods.
(2) Activities related to rendering of services.
(3) Activities related to distribution of goods.
(4) Activities rendering distribution Assistance.
(5) Activities which render Financial Assistance.
6. CLASSIFICATION OF BUSINESS ACTIVITIES
BASIS
FUNCTIONS
SIZE
OWNERSHIP
SMALL
SCALE
INDUSTRY
LARGE
SCALE
PUBLIC
SECTOR
PRIVATE
SECTOR
JOINT
SECTOR
TRADE
7. BUSINESS ACTIVITIES
INDUSTRY
COMMERCE
Trade
1 .EXTRACTIVE
2. GENETIC
3 .CONSTRUCTION
4.MANUFACTURING
---(a)Analytical Industry
---(b)Processing Industry
---(c) Synthetic Industry
1.HOME TRADE
2.FOREIGN TRADE
---(a)Import
---(b)Export
3.WHOLESALE TRADE
4.RETAIL TRADE
Aids to Trade
1.TRANSPORT
2.DISTRIBUTION
3.BANKING
4.WAREHOUSING
5.ADVERTISEMENT
6.INSURANCE
8. Constituent of production
which is involved in the
changing form of a good
at any stage from raw
materials to the finished
product.
14. We can classify business activity into three different sectors
according to what they do.
1
2
3
15. Agriculture
The production of
crops, such as
vegetables, &
animal farming.
Fishing
Fishing fleets and
fish farms .
1
Forestry
Planting, conserving
& felling timber.
Mining & Quarrying
Coal mines, oil and
natural gas extraction,
quarrying of all types
of stone.
16. Manufacturing
All businesses which
make or produce
goods.
Energy Production
Businesses that
provide electricity,
gas & water for our
homes.
2
Engineering
People employed in
manufacturing industries
sorting the design /
function of machinery &
equipments
Construction
Businesses which construct
buildings, motorways,
bridges, railways etc & any
body working on
construction sites such as
electricians
17. Private Services
Services offered by
privately owned
businesses, such as
banking , hotels
Travel agencies.
3
Voluntary Services
Services provided by charities, such as
environmental protection, global
development, global emergency response.
Public Services
Provided locally &
nationally by
government & local
authorities, such as
education, emergency
services, policing.
18. CHAIN OF PRODUCTION-The three sectors are linked in a sequence..
PRIMARY:
Growing & Felling trees
SECONDARY:
Furniture production
TERTIARY:
Furniture stores
