Business

The English word business literally means to be engaged in any work. But the word business was not used in Bengali in such a wide sense. Here all legitimate economic activities including production and distribution for the purpose of making profit are called business. Economic work means doing any work for the purpose of earning money or income. He cannot be called a business if any work is related to economics. It must be legally valid, just as it is intended to be profitable. In business, production work is done through industry and sowing work is done through trade. Therefore, industry, trade and all its ancillary activities are for the purpose of making profit.

** The nature of business:

The nature of business is the general characteristic of a subject. On the other hand, the feature is something that is particularly noticeable. From time immemorial, business has been associated with the production and distribution of goods as a distinct occupation or economic activity. The nature or characteristics of such business are discussed below:

1. Profit Purpose:

The first and foremost feature of a business is that it is designed and operated with the expectation of making a profit. Excluding expenses from income is what is profit. The business of making a profit by buying at a lower price or selling at a lower price by selling at a higher price is considered as business. If someone buys or produces something for his own consumption, it is not considered a business. When a mother makes clothes for her child, it is not a business. But if you buy clothes and make clothes and sell them for profit, then it is a business.

2. Risks and uncertainties:

Risk and uncertainty are deeply involved in business. Risk is the possibility of financial loss and uncertainty is the state of not being able to do everything expected. Businesses carry the risk of loss in the hope of making a profit. Therefore, profit is called the reward of risk taking. The price of the product in the market may go down and various natural and unnatural hazards may cause loss. Therefore, the trader always has to walk with the burden of such risk and uncertainty in mind. It is not a business to deposit money in a bank at a fixed interest rate. Because there is no risk here. But investing money somewhere in terms of profit-loss is business.

3. Transaction Frequency:

Repetition of transactions refers to the repeated attempts to make a profit by buying and selling. In the case of business, transactions are performed repeatedly or continuously. A furniture dealer regularly makes custom-made furniture and delivers it. As a result his work is regarded as business. But if someone buys furniture for the house and sells it because they don't like it, then it is not considered as business. Sumon bought an old motorcycle. But if he makes a profit by buying and selling such motorcycles again and again, it will be considered as business.

4. Legal validity:

Legal validity means that no work is illegal according to the law. Business is a legitimate profession. So it must be legal. If one conducts illegal and unlawful activities despite the presence of other elements of the business, his work cannot be called business. If a business organization is formed for the purpose of selling goods by smuggling, there are other elements of the business; Such as- profit motive, risk and uncertainty, recurrence of transactions etc. but it cannot be considered as business as there is no legal validity of its purpose or action.

5. Independent occupation or scholarship:

Independent profession means a profession where its owner can decide all the activities on his own decision and not from others. Business is considered as an independent profession or livelihood in all societies. A businessman organizes and manages his business according to his own thinking. In his work he decides for himself. In this case, he is not obliged to obey the instructions of others. In partnership and otherwise the owners decide jointly. However, if a shareholder works for a company, then his job is seen separately from that of a businessman or an investor. Not traders or investors.

৬.Utilization and resource creation:

It is an important tool for business utility and surplus creation in all societies. Utility means the ability to make up for the lack of something. The business seeks to meet the needs of the people by creating various kinds of utilities through all its activities. The main branch of the business is the creation of the morphological utility of the product through industry.From wood to furniture, from iron ore to steel and from steel to various kinds of machinery - in each case the industry creates new utilities. It adds new value in each case. This increases the value of the asset. The government levies a tax on value addition, called VAT. Trade through its various activities creates proprietary, semantic, risky, spatial, temporal, and cognitive benefits. Reputation business ornaments. Which once established is considered a great asset to the business.

**Types of business:

The business is divided into three parts. For example: industry, trade, direct services. In business, the work related to its production is done through industry and the work related to distribution is done through trade. Other functions are considered to be productive auxiliary functions.