Archive | Business

Development of Commerce: 5 Stages | Management

This article throws light upon the five stages of development of commerce. The stages are: 1. Primitive Stage 2. Barter Stage 3. Start of Trading 4. Town Economy Stage 5. International Trade. 1. Primitive Stage: In the olden days, the needs were very few and men produced only those things which they essentially needed and […]

10 Main Qualities of a Successful Businessman

This article throws light upon the ten main qualities of a successful businessman. The qualities are: 1. Knowledge of Business 2. Accuracy 3. Time Sense and Foresight 4. Alertness 5. Honesty and Morality 6. Initiative and Capacity to Make Decisions 7. Ability to Co-Operate 8. Consistency and Dependability 9. Energy 10. Personal Qualities. Quality # […]

6 Main Types of Business Ownership | Management

The different types of business ownership are:- 1. Single Ownership (Private Undertaking). 2. Partnership. 3. Joint Stock Company 4. Cooperative Organisation (Or Societies) 5. Public Sector 6. Private Sector. Type # 1. Single Ownership: Ownership when applied to an industrial enterprise means title to and possession of the assets of the enterprise, the power to […]

Differences between Trading and Marketing | Business

This article will help you to differentiate between trading and marketing. 1. Marketing is product oriented and trading is commodity oriented. 2. Trading is a correlation between products and the organization, marketing between people and the markets/products. 3. People are the sole deciding factor of success or failure in trading operations but in marketing the […]

Top 6 Forms of Financing a Merger

This article throws light upon the top six forms of financing a merger. The forms are: 1. Cash Offer 2. Equity Share Financing 3. Debt and Preference Share Financing 4. Deferred Payment 5. Leveraged Buy – Out 6. Tender Offer. Financing a Merger: Form # 1. Cash Offer: After the value of the firm to […]

Expansion of Business Concern | Financial Management

After reading this article you will learn about the Expansion of Business Concern:- 1. Reasons for Expansion of Business Concern 2. Forms of Expansion 3. Forms of Combination. Reasons for Expansion of Business Concern: Growth is always essential for the existence of a business concern. A concern is bound to die if it does not […]

10 Important Reasons for Merger

This article throw light upon the ten important reasons for mergers. The reasons are: 1. Economies of Scale 2. Operating Economies 3. Synergy 4. Growth 5. Diversification 6. Utilisation of Tax Shields 7. Increase in Value 8. Eliminations of Competition 9. Better Financial Planning 10. Economic Necessity. Reason # 1. Economies of Scale: An amalgamated […]

Financial Problems of Merger and Consolidation

This article throws light upon the five major financial problems of merger and consolidation. The financial problems are: 1. Cash Management 2. Credit Policy 3. Financial Planning 4. Dividend Policy 5. Depreciation Policy. Merger and Consolidation: Financial Problem # 1. Cash Management: The liquidity problem is the usual problem faced by acquiring companies. Before merger […]

7 Main Legal Aspects of a Business Merger

This article throws light upon the seven main legal aspects of business merger. The aspects are: 1. Analysis of Proposal by the Companies 2. Determining Exchange Ratios 3. Approval of Board of Directors 4. Approval of Shareholders 5. Consideration of Interests of the Creditors 6. Approval of the Court 7. Approval of Reserve Bank of […]

Business Functions: 7 Main Types of Business Function

This article throws light upon the seven main types of business function of a manufacturing undertaking. The types are: 1. Purchase Function 2. Productivity Function 3. Distribution Function 4. Accounting Function 5. Personnel Function 6. Research and Development 7. Financial Management and Economics. Type # 1. Purchase Function: Materials required for production of commodities should […]