Business: The term “business” describes the activities of individuals, institutions organizations to promote and distribute goods and services satisfying human wants in the society at large.
Objectives of business include the following.
a. Producing goods and services that satisfy customers’ needs and desires.
b. Creating employment opportunities.
c. Maintaining and improving the standard of living of people in the society for better health and well being.
d. Providing social amenities.
Classification of business according to the activities they engage in are as follows.
a. Basic extractive production such as farming, forestry, mining, fishing etc.
b. Processing or secondary production such as construction, manufacturing, printing, oil refinery etc.
c. Distribution (Commercial industry) such as retail and wholesale trading, transportation, warehousing, advertising etc.
d. Services-local state federal government services professional services such as law, surveying, medicine, insurance, real estate, finance, publicity, personal services.
TYPES OF BUSINESS ORGANISATION
The following are the major types of business units.
(i) The sole trader.
(ii) The partnership.
(iii) The limited liability companies-private and public.
(iv) The statutory corporations.
(v) The cooperative societies
(vi) The trade association chambers of commerce, employers and manufacturers Associations.
(vii) The civil services and local authorities.