What Are The Essential Features Of Business? List Different Objectives Of Business.

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What Are The Essential Features Of Business? List Different Objectives Of Business.

There are several essential features of the business that are common to most businesses, regardless of their size or industry. These features include:

Production or provision of goods or services: Businesses produce or provide goods or services that meet the needs or wants of their customers.

Exchange of goods or services: Businesses engage in the exchange of goods or services with others in order to earn a profit.

Profit-seeking: Businesses aim to generate a profit by selling goods or services at a higher price than it costs to produce them.

Risk-taking: Businesses involve a certain level of risk, as there is no guarantee of success.

Legal organization: Businesses can be organized as sole proprietorships, partnerships, corporations, or other legal entities.

Continuous operation: Businesses typically operate on a continuous basis, with the goal of generating revenue and profit over the long term.

There are many different objectives of the business, and the specific objectives of a particular business will depend on its industry, size, and target market. Some common objectives of business include:

To generate a profit: One of the primary objectives of most businesses is to generate a profit by selling goods or services at a higher price than it costs to produce them.

To grow and expand: Many businesses aim to grow and expand their operations in order to increase their market share and revenue.

To provide employment: Businesses can provide employment opportunities for people in their local community or region.

To improve society: Some businesses aim to make a positive impact on society by providing goods or services that address important social or environmental issues.

To increase shareholder value: For publicly traded companies, one of the primary objectives is to increase shareholder value by maximizing profits and increasing the value of the company’s stock.

To achieve a competitive advantage: Businesses often aim to achieve a competitive advantage over their rivals by offering unique products or services, improving efficiency, or adopting innovative technologies.

In conclusion, the essential features of business include the production or provision of goods or services, exchange of goods or services, profit-seeking, risk-taking, legal organization, and continuous operation. There are many different objectives of the business, including generating a profit, growing and expanding, providing employment, improving society, increasing shareholder value, and achieving a competitive advantage.

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