Concept of Business

Literally speaking the term “business” means to be busy. Hence, business includes all occupations, in which the people are busy in earning income either by production or purchase and sale or exchange of goods and services to satisfy the needs of other people so as to earn income or profit.

Business relates to the creation of three utilities viz.

a)      form utility through processing

b)      time utility through storage

c)      Place utility through transportation.