Characteristics of Business
A business is a group of activity
which keeps a person or group actively involved in work for some monetary gain.
In other words, we can say that it is a wide term which includes all single or
multiples activity which are directed towards earning profit/salary and
generating capital through some goods, services or productions.
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| Characteristics of Business |
On the behalf of the definition, we
mention some characteristics of business-
Use/utility-creation
& transfer: - A
business always creates and transfers of multiples things for use in terms of production
or goods and services for exchange. In production pipeline, we change the shape
the raw materials into finish goods for multiple use. We call it use/utility of
things.
Goods
and Services: -
Every business has some productions like goods and services. Some goods are for
immediate use like food chain but for some goods require some time like
clothes, furniture and car etc. Some are productive goods or capitals good like
tools, machine, building etc.
Risk: - it means the possibility or
chance for bearing a loss. Risk is a part of business life and it is always
associates with it. Mostly, we have two type of risk – calculated and
uncalculated risk. Calculated risk is always be insured but uncalculated risk never
be calculated like change in tech, change in demand of goods and labor problem.
Profit/Monetary
gain: - Any business
always associates with monetary gain or profit. Other words we can say that
business means earning money and creation of wealth in terms of production of
goods and services.
