Business and Commerce Fundamentals - Class XI

An organisation consists of several departments who work together to achieve a common goal. If they do not work together the activities will not be carried out efficiently and effectively and the goal will not be accomplished. 

A goods production company runs on manufacturing and supply of the manufactured goods, for this kind of a company to be a successful, it has to consider the factor of low cost of production as important to manufacture more goods at low cost and earn profits.

Business environment is a mixture of many factors and changes in some or the other factors continue to take place. Therefore, it is said that business environment is dynamic.

Business activity is an activity which is an engaged in primary purpose of making a profit, salary and wages are expenses to a business. Hence it is not a primary business activity. 

Vision statement is a statement that defines what company is and what it does whereas the main purpose of mission statement is to get across the ambitions of an organisation in short.

If a new venture is an manufacturing concern it should have operational plan because operational plan consists of raw material requirement, manufacturing requirement , output and all things related to manufacturing.

Management by Objectives (MBO) is a strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed to by both management and employees.

Singapore and Middle East countries are the best examples for entrepot trade- this is a true statement. Entrepot is mainly used to refer to duty-free ports with the high volume or re-export. At entrepot, goods do not face any import or export duties upon shipment from the port.

Social objective are those objectives of business, which are desired to be achieved for the benefit of the society. Since business operates in a society by utilizing its scarce resources, the society expects something in return for its welfare.

Social objective are those objectives of business, which are desired to be achieved for the benefit of the society. Since business operates in a society by utilizing its scarce resources, the society expects something in return for its welfare.

Small businesses contribute to local economies by bringing growth and innovation to the community in which the business is established. Owning and running your own business can be more satisfying and fulfilling than working for someone else. 

Peddlers carry their goods on wheeled carts and sell them to the consumers at their doors. Peddlers are probably the oldest kinds of retailers in the world. They
carry their goods around on bicycles, hand carts, carts, in baskets etc.
They set up in local markets and street corners etc. So they constantly
move around to reach to the maximum number of customers.

Industry is an economic activity where as Commerce is a business activity- this is a true statement. Industry is concerned with the procurement and processing of raw materials into finished goods and thus it is an economic activity. Commerce is classified as a business activity as the it  deals with the exchange of goods and services for value.