evolution and fundamentals of business

Human activities

Activities performed by human beings to satisfy their wants and needs

economic activity

motive- to earn a living
ex- restaurant
business
profession
employment

non economic activities

motive- to satisfy social and emotional needs
ex - other cooking at home for child
charitable activities
social activities
political activities
religious activities

Business

Involves -purchase/production and sales of goods and services
motive- to earn profit
risk- highest
qualification- not required
code of conduct - not required
transfer of interest- possible post following formalities
capital investment- required as per nature and size of business

ex- shop, factory

profession

involves- providing professional skills and personalised services

motive - professional fees

risk- moderate

qualifications - academic qualifications required
code of conduct - as per governing institute or university
transfer of interest- not required
capital investment- limited capital for establishment
ex- doctor, CA, Lawyer