Introduction to Business (MRK 151) Salman Ahmed Qurraishi

Chapter 1 Course Content Introduction to Business Business Definition Types of Business Business Objectives Preparing Business Plans Elements of Business Plan Implementing Business Plan Evaluation of Business Plan Business Management & Styles of Management Management Leadership Controlling Business Organisation & Administration Organisational Structures Functions & Roles Coordination of Organisational Roles Business Operations Design of Operation Supply Chain Management Cost Effectiveness of Operation Business Finance Understanding Capital & Its Sources Business Liabilities Business Assets Basics of Capital Budgeting Into. to Business (MKTG 101) Intro. to Business (MKTG 101)

Cont. Course Content Business Marketing Understanding Marketing Functions Selling & Distribution Strategic Marketing Business Accounting & Performance Measurement Basic Concept of Accounting Understanding Balance Sheet Understanding Profit & Loss Accounts Assessing Business Performance Trough Ratios & Scorecard. Business Environment Understanding Business Environment Environmental Impact on Business Analysing Business Environment Business Risks Types of Risks Managing Risks Business Rewards Types of Rewards; Monitory & Non-Monitory Distribution of Rewards Business Globalisation Reasons for Globalisation Strategies for Globalisation Roles for International Business Into. to Business (MKTG 101)

Course Content Introduction to Business Business Definition Types of Business Business Objectives Preparing Business Plans Elements of Business Plan Implementing Business Plan Evaluation of Business Plan Business Management & Styles of Management Management Leadership Controlling Business Organisation & Administration Organisational Structures Functions & Roles Coordination of Organisational Roles Business Operations Design of Operation Supply Chain Management Cost Effectiveness of Operation Business Finance Understanding Capital & Its Sources Business Liabilities Business Assets Basics of Capital Budgeting Into. to Business (MKTG 101)

Business(تجارة) Definition(تعريف) “Business refers to group(مجموعة) or individual (فرد) activities(أنشطة) with predetermined(سلفا) objectives(الأهداف) of creating(خلق) wealth(ثروة) through(من خلال) exchange(تبادل) of goods and services”. A business also known as(المعروف أيضا باسم): a) company, (شركة) b) enterprise, (مشروع)or c) firm (شركة) Business is a legally recognized(معترف بها قانونيا) entity(كيان) designed to provide(لتوفير) goods, services, or both to consumers or other businesses in exchange for money. Into. to Business (MKTG 101) Intro. to Business (MKTG 101)

Business Definition A typical business is an economic activity which is mostly privately owned and formed for earning profit that will increase the wealth of its owners. The owners and operators (management) of private, for-profit businesses have as one of their main objectives i.e. generating return in exchange for work and acceptance of risk. Businesses can also be formed not-for-profit or be state-owned Into. to Business (MKTG 101)

Forms of Business(أشكال الأعمال There are four forms of Business(أشكال الأعمال) Sole proprietorship(وحيد ملكية): Business owned by individual. Easy to form.(سهلة لجعل) less regulatory requirements.(أقل متطلبات التنظيمية) Less capital required.(أقل من المال شرط) Quick decision making.(اتخاذ القرار السريع) Partnership(شراكة): Two or more individuals(فرد) form partnership. Easy to form سهلة لجعل. Partners can agree on the amount of investment,(يمكن للشركاء الاتفاق على مبلغ الاستثمار) Partners can agree on Profit sharing and management of business. (يمكن للشركاء الاتفاق على تقاسم الأرباح وإدارة الأعمال.) Legal document such as partnership deed is preferable to avoid any conflict between partners.(وثيقة قانونية مثل الشراكة الفعل هو الأفضل لتجنب أي نزاع بين الشركاء.) Into. to Business (MKTG 101)

Forms of Business 3. Private Limited Company(المحدودة الخاصة): Its is a legal entity which is registered with governing body of the country such as Company House. The company has registered name with Ltd at the end of its name. There are legal requirements such as appointing Director (s), declare amount of capital, have a registered office and file annual return and business accounts with the regulatory body. The advantage is that Its liabilities are limited to the level of company assets. 4. Public Limited Company(العامة المحدودة): This is a large business with huge capital owned by general public. There are strict regulation to be followed and its annual accounts need auditing by independent firm of accountants. It normally has plc at the end of its name. Into. to Business (MKTG 101)

Types of Business(نوع العمل) Generally there are two types of business Small Businesses Large Businesses Into. to Business (MKTG 101)

Cont. Types of Business Small Businesses: Could be a sole proprietorship, partnership or private limited company. Small business is usually owned by owner manager. Main factor defining size of small business are: Small percentage of market share. They are managed by owner or partners without any formal organization and management structure. They are independent and do not form a part of any large enterprise. They have small capital not exceeding 10 million SR They are owned by individuals or families Quick decision-making Into. to Business (MKTG 101)

Cont. Types of Business Large Businesses: Large business is normally Private Limited Company or Public Limited Company with Capital exceeding 10 Million SR. Main factors of large business are: Large percentage of market share. Run by professional management Formal organization and management structure with large number of employees Operating over large geographical territory and could multinational Formal decision-making which could be slow and time consuming. Into. to Business (MKTG 101)

Business Objectives Business have two main objectives: Economic Objectives (اقتصادية موضوعية) Social Objectives (الهدف الاجتماعي) Into. to Business (MKTG 101)

Cont. Business Objectives Economic Objectives: Return on Investment (ROI). This refers to generating wealth for owners of business in the form of profit or dividends. Expanding business through diversification, merger and acquisition. Innovation and development for example creating new product or improving existing product. Seeking strong market position and high profitability. Into. to Business (MKTG 101)

Cont. Business Objectives Social Objectives: Creation of employment. Environmental change and development. Development of infrastructure. Development of small scale and ancillaryتبعية/additional industry. Into. to Business (MKTG 101)

Business Concerns(المخاوف الأعمال) Two major(رئيسي) business concerns are important to be aware of(مطلع على) and take(أخذ) necessary precautions(الاحتياطات اللازمة) to handle them(التعامل معها) Business Risk.(خطر عمل) Impact on society.(التأثير على المجتمع) Into. to Business (MKTG 101)

Cont. Business Concerns Business Risk: (خطر عمل) Business Risk: It is the Probability(احتمال) of loss inherent متأصل in a firm’s operations and environment عمليات والبيئة that(أن) may impair قد تضعف its ability to provide(قدرتها على توفير) returns on investment (استثمار). Every business involves risk of loss(ينطوي على مخاطر الخسارة) due to (بفضل): Change of Technology.(تغيير للتكنولوجيا) Change in Consumer preferences and fashion.(تغيير في أفضليات المستهلكين والأزياء.) Competition (منافسة) and new or alternate product development. Change in Government policies. تغيير في السياسات الحكومية تطوير المنتجات البديلة Into. to Business (MKTG 101)

Cont. Business Concerns The Impact on Society: (وأثرها على المجتمع) Every business influences(التأثيرات) society and gets influenced by the society(يحصل أثرت) some time called environmental impact. If business(إذا التجارية) turns outترغب to be successful(ناجح) it generates employment(يولد فرص العمل) for the locality in which it operates and raises living standard of the community. It helps developing infrastructure(تطوير البنية التحتية) i.e. road network, additional business, transport facilities (مرافق النقل)and civic amenities وسائل الراحة like water supply, hospital and educational institutions etc. الأثر البيئي يثير مستوى معيشة المجتمع أنه يساعد Into. to Business (MKTG 101)

Essentials for Good Business أساسيات للأعمال جيد Essentials for Good Business دقيق النظر Every business needs careful consideration and planning before it is started. Following factor are essential while starting business. بداية عامل التالية في حين البدء في الأعمال التجارية Into. to Business (MKTG 101)

Essentials for Good Business أساسيات للأعمال جيد Essentials for Good Business أهداف واضحة المعالم قابلة للتحقيق. Well defined attainable objectives. Based on proper planning such as financial feasibility. Proper organization structure. Clear distribution of duties and responsibilities. Competent management (إدارة المختصة)to respond (للرد)to changing environment (لبيئة متغيرة)such as(مثل) change (تغيير) in technology, change in fashion(موضة), change in government policies and impact(تأثير) of globalization(العولمة) Customer focused (ركز العملاء) marketing system(التسويق نظام) such as sale and after sale service(بيع وخدمة ما بعد البيع), distribution and promotion,(التوزيع والترويج) quality assurance.(ضمان الجودة) Good human resource policies to recruit appropriate staff(تعيين موظفين المناسبة), to retain staff(للاحتفاظ بالموظفين), to train and develop staff (لتدريب وتطوير الموظفين). يعتمد على التخطيط السليم مثل الجدوى المالية. الهيكل التنظيمي السليم. واضح توزيع الواجبات والمسؤوليات. Into. to Business (MKTG 101)

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