Business

Definition: Planning is the fundamental management function, which involves deciding beforehand, what is to be done, when is it to be done, how it is to be done and who is going to do it. It is an intellectual process which lays down an organisation's objectives and develops various courses of action, by which the organisation can achieve those objectives. It chalks out … [Read more...] about Planning

Definition: The term partnership, is used to mean a business structure wherein two or more individuals, come together for undertaking a lawful business and have agreed to share the profits and losses arising from it. The management and operation of the business should be performed either by all the partners or any of them, acting for all the partners. The Partnership is the … [Read more...] about Partnership

Definition: As the name suggests, 'sole' means 'only one' and 'proprietorship' implies 'ownership'. Hence, a sole proprietorship is a form of business organisation, wherein a single person owns, manages and controls, all the business activities and the individual who operates the business is called as a sole proprietor or, a sole trader. In this business unit, the sole … [Read more...] about Sole Proprietorship

Definition: Porter's five forces model, refers to a framework based on the competitive analysis, introduced by Harvard Business School Prof. Michael E. Porter. The model determines the intensity of competition in any industry is a mix of five competitive factors operating in different areas of the whole market. The framework is an outside-in strategy tool for the business … [Read more...] about Porter’s Five Forces Model

Definition: Commercial Paper or CP is defined as a short-term, unsecured money market instrument, issued as a promissory note by big corporations having excellent credit ratings. As the instrument is not backed by collateral, only large firms with considerable financial strength are authorised to issue the instrument. Features of Commercial Paper The maturity period of … [Read more...] about Commercial Paper

Definition: Total Quality Management, abbreviated as TQM is a people-oriented management system, wherein all the members of the organisation, makes continuous efforts so as to maintain high work standards, in all the operations of the company. Its main aim is to make a continuous increase in customer loyalty and satisfaction, at a constantly lower cost. In other words, … [Read more...] about Total Quality Management (TQM)

Definition: Strategic Business Unit (SBU) implies an independently managed division of a large company, having its own vision, mission and objectives, whose planning is done separately from other businesses of the company. The vision, mission and objectives of the division are both distinct from the parent enterprise and elemental to the long-term performance of the … [Read more...] about Strategic Business Unit (SBU)

Definition: Outsourcing, the name itself suggest its meaning, i.e. source from outside. It refers to a practice of contracting out the non-core and sometimes core activities of the organisation to a captive unit or a third party. It is a process, in which business-houses handover their regular or peripheral work to the external organisation, who has got experience and … [Read more...] about Outsourcing

Definition: Business Environment means a collection of all individuals, entities and other factors, which may or may not be under the control of the organisation, but can affect its performance, profitability, growth and even survival. Every business organisation operates in a distinctive environment, as it cannot exist in isolation. Such an environment influence business … [Read more...] about Business Environment

Definition: Entrepreneurship refers to the process of creating a new enterprise and bearing any of its risks, with the view of making the profit. It is an act of seeking investment and production opportunity, developing and managing a business venture, so as to undertake production function, arranging inputs like land, labour, material and capital, introducing new techniques … [Read more...] about Entrepreneurship