Tamilnadu Samacheer Kalvi 11th Commerce Notes Chapter 2 Objectives of Business Notes
→Human activity is an activity performed by a human being to meet his/her needs.
→ Activities undertaken with the object of earning money are called economic activities. Activities undertaken to satisfy social and psychological needs are called non-economic activities.
→ All economic activities result in production, procurement, distribution and consumption of goods and services.
→ The end result of a non-economic activity is the mental, emotional or psychological satisfaction of the person doing the activity.
→ Professions are those occupations which involve rendering of personal services of a special and expert nature.
→ According to James Stephenson business refers to “Economic activities performed for earning profits.”
→ According to H. Haney, “Business may be defined as a human activity directed towards producing or acquiring wealth through buying and selling of goods”.
→ Business activities are classified on the basis of size, ownership and function.
→ An enterprise is said to be a private enterprise where it is owned, managed and controlled by persons other than Government.
→ An enterprise is said to be a public enterprise where it is owned, managed and controlled by Government or any of its agencies or both.
→ Industry includes all those business activities which are connected with raising, producing or processing of consumer goods.
→ Goods must be produced or procured in order to satisfy human wants.
→ Economic objectives of business refer to the objective of earning profit.
→ Social objectives are those objectives of business, which are desired to be achieved for the benefit of the society.
→ The organizational objectives denote those objectives an organization intends to accomplish during the course of its existence in the economy like expansion and modernization.
→ Human objectives refer to the objectives aimed at the well-being as well as fulfillment of expectations of employees.