Posted on: Monday, September 18, 2017
A Business organisation refers to any industrial, commercial or service rganisation which produces goods and or services for sale, or engages in distributing or assists in the process thereof. It is to represent any collection of business resources – factories, warehousing, machinery, material, employee etc.,and the planned use of which is limited within the framework of a one man business, partnership, company, are other form of business organisation.
In the words of Richard Norman Owens, “A business organisation is an enterprise engaged in the production or distribution of goods for sale in a market or rendering services for a price.”
In the words of Bayard O Wheeler, “A business firm is an institution, company or enterprise which is engaged in buying or selling, being owned by one person or group of persons, who manage it within certain laid down creative policies.”
Characteristics and Nature of Business Organisation :
(i) An association of persons or group.
(ii) A pluralistic institution.
(iii) Different forms.
(iv) Wide scope of activities.
(v) Coordination of resources.
(vi) Created utilities.
(vii) Intensity of capital.
(viii) Increasing trend in forming into combination.
(ix) Customer satisfaction.
(x) Dynamic Environment.
(xi) It is a system an organ of the society.
(xii) Customer orientation.
(xiii) Socio-economic institution.
(xiv) Operating in different sectors of the economy.
(xv) An institution with multiple objectives.
(xvi) Faster growth of service organisation.
(xvii) Global operation.
(xviii) Independent and separate role of entrepreneur and manager.
(xix) Innovations and marketing as basic functions.
(xx) Government control and regulation.
(xxi) Improves the standard of living of people.