A business is defined by Wikipedia as a company or organized business undertaking designed for the benefit of the public. Businesses may be either for-profit or non-profitable entities that engage in public-oriented activities to meet a social need or further a charitable purpose. They also include government businesses and even non-government organizations, which are generally run for the benefit of the public. The word “business” has various other meanings in different contexts. It can mean dealing with goods and services, manufacturing, trading, banking, insurance, investment, purchasing, organizing, marketing, etc.
The main article on Business and its various aspects are available here. This main article covers the basic aspects of the Business as it is commonly used. However, a business can have other dimensions such as capital investment, human resources, financing, sales, operations, technology, geographic reach, government aid, marketing, and strategic management. Strategic management is a modern strategic management practice that integrates all the above-mentioned components.
Human Resources: Human resource is an aspect of business that has long been ignored in the main article. This is perhaps because of its importance to other types of businesses such as service businesses and retail businesses. But businesses must also take care of their human resource, especially those who perform specialized tasks. In fact, there is a growing trend of businesses outsourcing many of their human resources functions to third parties.
Intellectual Property: The main article on Business discusses the importance of intellectual property protection. But what exactly is intellectual property? Intellectual property is a term that includes all the intangible personal property that can be controlled by one or more persons. Examples of intangible personal property include patents, copyrights, trademarks, trade names, and designs. All of these are protected by different types of laws, including commercial law, corporate law, and intellectual property law.
Trade Unionism: Perhaps the most misunderstood feature of Business is its relation with trade unions. The main article talks about the impact of the rise of outsourcing and its associated problems on the labor market. Business, nevertheless, vehemently denies that it favors corporate ownership and argues that trade unions hurt employment. However, several studies have shown that workers are less productive and more likely to join the ranks of unemployed during times of economic downturn. Therefore, the main article concludes that both arguments are not necessarily true.
Sole proprietorship and incorporation: One of the features that Business loves to emphasize is its aversion towards incorporation and sole proprietorship. The main article rightly points out that even in countries like India where business entities have been highly encouraged, there is hardly any increase in corporate ownership. The reason for this is that, in India, business entities are treated just like any other private property, and ownership is only given to those who can generate sufficient profits through their activities. Therefore, the main article maintains that business entities cannot be treated as private property, and they cannot enjoy complete protection from state law.
Limited Liability Company (LLC): The main article maintains that, in India, an entrepreneur is only able to establish a limited liability company if he or she intends to use it for business purposes. Moreover, setting up an LLC involves the submission of the appropriate documents to the government. Apart, from all these formalities, the limited liability company enjoys almost full independence from the laws of its host country. An entrepreneur can choose to incorporate his business in any foreign country, but he or she will have to comply with all laws prevalent in India. Therefore, an entrepreneur has to decide between incorporating his business in India under the laws of India or in any foreign country, where he may not have the requisite resources to run his business efficiently.
Sole proprietor and partnership: Other features of the Business that are often misrepresented are its partial view towards corporations and limited liability companies. Both the corporate entity and the limited liability company enjoy some unique features of being a corporation or a partnership. Although in both cases, entrepreneurs may incorporate their businesses as sole proprietors, they are not entitled to enjoy certain privileges like the ones enjoyed by the partners in a partnership. However, in India, even if an entrepreneur wants to establish a sole proprietorship or a partnership, he or she is allowed to adopt a structure of operation that is similar to that of a corporation.