What is business?
Business is an organization or enterprising entity
engaged in commercial, industrial or professional activities which is related with continuous and
regular production and distribution of goods and services for satisfying human
wants. The goals of the
business will vary based on the type of business and the business strategy
being used. Regardless of the preferred strategy, businesses must provide a
service, product, or good that meets a need of society in some way.
3 Types of Business
There are
three major types of businesses:
1. Service
Business
A service type of business provides
intangible products (products with no
physical form). Service type firms offer professional skills, expertise,
advice, and other similar products.
Examples of service businesses are:
salons, repair shops, schools, banks, accounting firms, and law firms.
2.
Merchandising Business
This type of business buys products
at wholesale price and sells the same at retail price. They are known as
"buy and sell" businesses. They make profit by selling the products
at prices higher than their purchase costs.
A merchandising business sells a
product without changing its form. Examples are: grocery stores, convenience
stores, distributors, and other resellers.
3.
Manufacturing Business
Unlike a merchandising business, a
manufacturing business buys products with the intention of using them as
materials in making a new product. Thus, there is a transformation of the
products purchased.
A manufacturing business combines raw materials, labor, and factory overhead
in its production process. The manufactured goods will then be sold to
customers.
Business I would like to run
If I have enough capital I want to run a business like
my big family that is oil business. this business may be trivial but not many
know that the income from this business is very large because the number of
vehicles in Indonesia is very much and of course the vehicle requires oil. My
first step is to open a branch of my family business and hire employees to
collect and process used oil, be a suplier to a big company. I also want to
establish cooperation or work in pertamina and I want to open my own gas
station, like my uncle do.
