Types of functions of business 1

• Economie

Let's Begin

Think about starting a surfboard business that sells boards you design and make. Would your business be involved in production or procurement?

Chapter 6

Section 2:Types and functions of businesses

Pages 99-103

Objectives

Identify the functions of businesses

Examine the importance of each functions

Discuss on interdependence of functions

Functions of businesses

1.Production and Procurement

2.Marketing

3.Management

4.Finance and Accounting

What are the functions of businesses?

Can we do without a function or are they all important? Give reasons.

1.Production is the process of creating, expanding,  manufacturing, or improving goods and services.

2. Procurement is the buying and reselling of goods that have already been produced. 

3.Marketing is the process of planning, pricing, promoting,

selling, and distributing ideas, goods, and services.

Management is the process of achieving company goals by

planning, organizing, leading, controlling, and evaluating the

effective use of resources.

Finance is the business or art of money management. It

requires analyzing fi nancial statements to make future decisions. 

Accounting involves maintaining and checking records, handling bills, and preparing fi nancial reports for a business.

Which function deals with the buying and reselling of goods that have already been produced?

1. Accounting
2. Management
3. Production
4. Procurement

How does the management function help the business?

The functional areas of business depend on each other.  If the products are too high-priced, then more effi cient procedures will have to be implemented. This will involve management and production. 

Think a dress maker’s sales have been decreasing. The accounting and finance departments have noted the drop in sales. How will you help to manage the drop? Which department will be involved?

Do you think there will a conflict between the different functions of the businesses?Explain

Ask questions to your friends and give the output here.