Business is a word that is often used in many different languages. But What exactly do you mean? Concepts, business activities grew in the smart time.
Tradicional, business simply means exchange or trade things that people needed or wanted. Today it has more technical definition. One business definition is the production, distribution and sale goods services profit. To examine this, we can look at her different parts.
The first, production is the creation of a service or a change of material in products. One example is the conversion of iron ore into metal parts for the car.
Next, these products should be transferred from factories on the market. This is known as distribution. The car could be transferred from a factory in Detroit to a store in Miami.
Third is the sale of goods and services. The sale is a product exchange in service for money. The car is sold to someone in exchange for money. Good products are people either need or want; eg cars can be classified as good.
Services, on the other hand, are the activities of a person or group performs for another person or organization. For example, a car mechanic. It provides services when repairing a car. The doctor also provides services leading counting on people who are sick.
Business then is a combination of all these activities of production, distribution and sales. However, there is one important factor. This factor. It is creating a profit or an economic surplus. The main goal in functioning
American business companies are making profits. Profit is money that remains after paying all costs. Creating an economic high or
Profit, therefore, is the primary goal of business activity.