Reviewed by Feb 19, 2021| Updated on
Business refers to an organised activity of engaging in any industrial, commercial or professional activity. A business may be carried on for profit or maybe a non-profit organisation.
Businesses are carried out in different forms such as sole proprietorship, Companies, Partnerships, Hindu Undivided Family, Association of individuals or Body of Individuals.
The basic form of business and less regulated are sole proprietorships and partnerships. A sole proprietorship is easy to start, maintain and carry on by a single person. In case two or more individuals desire to join together and do business, they can form a partnership. However, a partnership is governed by Partnership law in the respective country.
Businesses which are carried on as a non-profit organisation are generally constituted as a trust. The trust may be treated as an 'association of persons' or Individual'.
Companies and LLPs are organised formed of business. Their characteristic features include segregation of management and operations, organisation policy, organisational theory and strategic management.
Business begins with an idea, a business concept and with a name. A person starting a business enterprise carries out market research of the proposed area of operation for their product or service offerings. Large enterprises also frame a business plan, undertake a feasibility study of the proposed business offerings, as to whether the offerings would create value for the consumer.
In a broader sense, business constitutes an economic activity where goods and services are exchanged or bought and sold for money. Business enterprises have to register themselves under the laws of the state in which they operate. A business enterprise would invest money, employ assets, manpower and machinery. Businesses should comply with the laws and regulations concerning ownership and claims on the assets employed. Similarly, business enterprises must comply with the labour laws and social security laws with respect to the manpower employed.
There are a number of technologies taking significant place in the industry and modifying the way a business is carried out. Cloud computing, artificial intelligence, big data, data analytocs, and more.
Blockchain is another high-potential technology that facilotates crypto transactions. The technology is also being leveraged to ensure freshness, safety and sustainability across the food supply chain, by connecting farmers, distributors and retailers. Businesses implementing and updating itself with the latest technologies can change the countrys economy and lifestyle.