Here is a compilation of term papers on ‘Business’ for class 11 and 12. Find paragraphs, long and short term papers on ‘Business’ especially written for school and college students.
Term Paper on Business
Term Paper Contents:
- Term Paper on the Meaning of Business
- Term Paper on the Features of Business
- Term Paper on Business Ethics
- Term Paper on Business Environment
- Term Paper on the Global Issues of Business
Term Paper # 1. Meaning of Business:
The term Business may be defined as any activity which leads to the creation of utilities of goods and services for the satisfaction of human wants in return for a price. Business creates production, distribution and consumption utilities by removing all possible bottlenecks of form, persons, possessions, place, time, risk, finance and publicity that may stand against smooth interchange of goods and services.
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It is generally related recurring acts of buying, selling, procuring, collecting, improving, manufacturing and distributing goods and services for the satisfaction of human wants and for the personal gain of the businessman. So business is a complex of gainful human activities, the main objective of which is to create exchange and possess wealth in the form of physical output and useful services.
Term Paper # 2. Features of Business:
The features of business are:
(1) Creations of utilities
(2) Goods and services
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(3) Continuity in dealings
(4) Sale, Transfer or Exchange
(5) Profit motive
(6) Element of risk
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(7) Economic actives.
These points are to be elaborated:
(1) Creations of Utilities:
A business organisation creates utility in goods and services and delivers them to those who need them and who are willing to pay the price. It is responsible for the creation of place and time utilities. The utility creation activity is performed with profit motive.
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(2) Goods and Services:
Business generally deals with goods and services. Goods may be producers’ goods or consumers’ goods. Producers’ goods are used for further production of goods. These may be produced or procured. The consumers’ goods may be for immediate consumption or for future use. There is lot of hindrances for sending the goods from producers to users. Services are helping to remove hindrances and facilitate consumption. The services may be in the form of banking, insurance, transport, warehousing etc.
(3) Continuity in Dealings:
The dealings in goods and services become business only when they are undertaken as a regular basis. An isolated transaction does not become business. Continuity and recurrence is the essence of business operation.
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(4) Sale, Transfer or Exchange:
The basic feature of business is the sale, transfer and exchange of goods and services. The basis of sale is the transfer of ownership for a consideration called price. The transfer or exchange is facilitated by the common medium known as currency.
(5) Profit Motive:
The sole objective of business is to earn profit. It is the basic incentive to all business pursuits. It is needed for survival and facing uncertainties like trade cycle change in demand pattern and fluctuation in money markets. Further it is needed for expansion and diversification.
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This is the watch word of efficiency of all sectors both in the hands of private and public sectors. This has been proved beyond doubt of all organisations. The note of caution here is that the businessmen should charge a reasonable profit and it will be beneficial to both the business and society.
(6) Element of Risk:
In every business activity there is an element of risk and uncertainty. Risk implies the uncertainty of reward or the possibilities of loss. Uncertainty and risk is more prevalent in business. A successful businessman is one who meets the risk and uncertainty with effortless ease. This element keeps a businessman vigilant.
(7) Economic Activities:
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Economic activities are those which are related to the production and exchange of goods and services. These activities are undertaken with a profit motive. Any activity taken up without a profit is not an economic activity and is not a part of business.
Term Paper # 3. Business Ethics:
Ethics is derived from the Greek word ‘ethos’ which means person’s fundamental orientation towards life. Business ethics refer to the moral principle which should govern business activities. Business ethics provide a code of conduct for the managers. It refers to a set of moral principles which should guide the conduct of managers and employees in an organisation.
Ethics are concerned with what is right and what is wrong in human behaviour. They lay down the norms of behaviour of business. The pressing population of our times, the contraction of the world by communication networks and fast travel, the pressing interpersonal relationships is the forces that demand the development of ethical principles.
To be effective, sound ethics must be recognised by the top management and reflected in the policies of the firm. The firm’s ethical standards must be such that organisation members will confirm to these standards voluntarily. This how the business can best serve its own interests and those of the society as well.
It is difficult to avoid ethical issues in business as we do in other areas of life. In business most ethical questions fall into four levels which are not mutually exclusive.
They are:
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(1) Society
(2) Stakeholders
(3) Internal policy
(4) The individual.
(1) Society:
This is also known as societal. This deals with questions about the basic institutions in a society.
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(2) Stakeholders:
This is concerned with relations between the business enterprise people associated with it i.e. employees, customers, shareholders and government. The focus here is how a company should deal with external groups affected by its decisions and the stakeholders deal with the company.
(3) Internal Policy:
This represents relations between an organisation and its employees. The mutual rights and obligations are to be considered.
(4) Personal:
This is identified as the interaction between employees at various levels. These questions are related to the day-to-day issues of life.
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The ethical questions must be confronted at all levels of business activity. They are recognized as the ground rules of individual, company and social behaviour. All of us are engaged in ethical reasoning daily. We must analyse it explicitly and practice it daily. The tools of effective use of ethics in an organisation are Values, Rights, Duties, Moral Rules. Values mean the permanent drives in an organisation regarding performance.
Rights refer to the claims that entitle a person to take particular action. The scope of individual rights is limited by the right of others. Duties are the obligations to take specific steps or obey the law. Moral rules define proper behaviour in an organisation. Common morality is associated with the body of moral rules governing ordinary ethical problems.
To institutionalize ethics the steps are to be taken:
(i) Introduce corporate code of conduct.
(ii) Ethics committees.
(iii) Ombudsman offices to be created.
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(iv) Establish Judicial boards.
(v) Introduce Ethics-training programmes.
(vi) Develop social audit.
Term Paper # 4. Business Environment:
Every business organisation is operating in an environment.
The environment is classified into two groups. They are:
A. Internal Environment:
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Internal environment comprises of:
1. Owners or shareholders
2. Employees and who have a stake in business.
1. Responsibilities to Shareholders and Investors:
In corporate sector shareholders are the part-owners of the business and they provide capital and bear risks. They have a direct stake in business.
Investors are of two types. They are:
(i) Existing
(ii) Prospective.
The existing investors are interested in a steady rate of return as they are interested in safety, liquidity and profitability. The prospective investors are interested in knowing the image of the organisation in the minds of the public by its profitability and performance.
The responsibilities of the business towards shareholders and investors are:
(a) To ensure safety of investment.
(b) To provide a fair and regular dividend.
(c) To offer reasonable appreciation of capital through optimum use of resources.
(d) To provide regular, accurate and complete information about the working of the company.
(e) To provide reasonable opportunities for participation of shareholders in and
(f) To give equal treatment to all shareholders.
2. Responsibilities towards Employees:
Employees are the people who render services to the business in return for some remuneration. They are employed in business organisation of various levels. The employees are the human resources of the organisation. They are to be treated properly and their welfare must be the prime consideration of the employed. They must be the motivated lot with the object of getting the best out of them.
Further the management is to minimise the turnover ratio of employees.
So with this objective in view the responsibilities of employees are:
(a) To pay a regular wage/salary.
(b) To provide a proper and safe working conditions.
(c) To provide opportunities for training and self-development.
(d) To create a sense of belonging and dignity of labour.
(e) To provide welfare measures to employees.
(f) To facilitate their participation in decision making at their respective levels.
B. External Environment:
External environment consist of:
1. Consumers,
2. Government
3. Society and
4. Suppliers
These environmental groups provide strengths and opportunities to the business. In return, business has certain responsibilities towards these interest groups.
1. Responsibilities to Consumers:
A consumer is a person who buys the commodities of a business enterprise. He provides sales revenue the main source of income for a business unit. The object of an organisation is to create customers and maintain existing customers.
So the business unit has the following responsibilities towards its customers:
(a) To supply socially useful products to meet the needs of consumers.
(b) To ensure regular and adequate supply of goods.
(c) To provide standard quality products.
(d) To charge reasonable prices.
(e) To ensure fair distribution and steady supply of products.
(f) To handle consumer s complaints and grievances quickly.
(g) To provide after sales-service.
(h) To educate consumers about the new products and new uses of existing products.
(i) To provide benefits of cost reduction in the form of lowering prices,
(j) To avoid unfair trade practices.
2. Responsibilities towards Government:
Business organisations and the governments have much in ensuring economic and social development of the country.
Government involves business organisations as an agent of social policy or social reform. They are used as instruments regarding certain activities.
The responsibilities of the business towards the government are:
(a) To abide by the laws of the country.
(b) To pay taxes honestly and regularly.
(c) To co-operate with the government in solving problems like unemployment, poverty, price rise and import substitution.
(d) The business organisation is to realise that their enterprise cannot function without the support of the government and the public.
(e) To assist the government in achieving their objectives in the economic and the social front.
3. Responsibility towards Society:
Business organisations exist in the society for the benefit of the society. It is a part of the society and it should work for the betterment of the society. According to Peter F. Drucker, “the business enterprise should be so managed as to make the public good become the private good of the enterprise”.
This type of functioning will definitely improve the image of enterprise. By producing goods and services efficiently and by fair means the business organisation can contribute to the economic well-being of the community and its social up-liftment. They assist the society by providing financial and technical assistance to local bodies with reference to water supply, sanitation and public health.
They may also encourage cultural activities, promote arts, sports etc. They may encourage development of education and research. They may take up ideals of social justice without discrimination of any kind. They may encourage democratic institutions and assist national integration. Finally, they have to provide services in tune with the expectations of the society.
4. Responsibility towards Suppliers:
It is the duty of business firm to maintain healthy relations with suppliers with the object of ensuring proper supply of material at the right price. Dealing with suppliers should be based on integrity, impartiality and courtesy. Terms and conditions regarding the supply of goods must be reasonably being fair. The management must create healthy relations with the suppliers with the object of maintaining a very good image with the business world.
Conclusion:
To conclude it is suggested that business firms should act on the facts of business. They should seek their profits in a truly scientific way and use them for public good. The social responsibilities of business include high level of employment, high standard of living, swift economic progress, economic stability and national security. The interest of various groups of the society is not identical.
Investors want high-test return on investment. Employees expect better wages and working conditions. Consumers expect best quality goods at the lowest possible prices. Government wants the highest revenue. So it is the task of management to reconcile and balance the conflicting interests.
Earnest Dale has beautifully described the role played by a manager as an “arbiter among the various interest of publics affected by the business”.
Term Paper # 5. Global Issues of a Business:
Identifying the competitive strategy of a business operating in global markets can be a complex task. There is no simple formula for developing and implementing successful business strategies across national borders. A popular approach to this challenge is to “think globally, but act locally.” Following this logic, a business organization would emphasize the synergy created by serving multiple markets globally, but formulate a distinct competitive strategy for each specific market that is tailored to its unique situation.
Others argue that consistency across global markets is critical, citing examples such as Coca-Cola, whose emphasis on quality, brand recognition, and a small world theme has been successful in a number of global markets. There is wisdom in both perspectives, though the approach most appropriate to a business will depend on, the mission, goals, and characteristics of the organization.
Tailoring a business strategy to meet the unique demands of a different market requires that top managers understand the similarities and differences between the markets from both industry and cultural per perspectives. For example, since the 1970s, Japanese automobile manufacturers have.
Ought to blend a distinctively Japanese approach to car building with a sensitivity to North American and European values. Honda, the first Japanese manufacturer to operate a facility in the United States, has been most aggressive in this regard. In 2000, Mitsubishi was aggressively redesigning the Montero Sport to make it a “global vehicle” that could sell’ effectively in; world markets. In 2001, however, the carmaker dropped its “one size fits all” approach and began to emphasize design factors unique to the critical American market.
Given the intense competition in most markets in the developed world, strategic managers must remain abreast of opportunities that may exist in emerging economies. China, for example, boasts the world’s largest population and has been tabbed as a world economic leader within the next few decades. Its entrance into the World Trade Organization, declining import tariffs, and increasing consumer incomes suggest bright future for the nation.
At present, China remains a mix of the traditional lifestyle based in socialism and its own form of a neo Western economic development. Nowhere is this friction seen best than on the roads of the capital, Beijing, where crowds of bicycles attempt to negotiate traffic with buses and a rapid, if increasing number of personal automobiles. U.S-style traffic reports have ever become pervasive in a country where the world’s largest auto makers are fighting for a stake in what many experts believe will be a consumer automobile growth phase of mammoth proportions.
Western manufacturers such as Eastman Kodak, Proctor & Gamble, Group DANONE of France, and Siemens AG of Germany have already established a strong presence in China. A number of Western restaurants and retailers have also begun to expand aggressively into China, including U.S. based McDonald’s, Popeye’s Chicken, and Wal-Mart as the CEO of Yum, owner of KFC, Pizza Hut, and Taco Bell, put it, “China is an absolute gold mine for US.
French-based Carrefour has been one of the most successful retailers in China with 31 stores in 2003 and plans to double that number by 2005. Product mixes in the Chinese stores tend to be similar to those in the domestic market, with adjustments made for local preferences. For a number of firms, the only attractive prospects for growth lie in emerging economies such as China, Brazil, and Mexico.