The primary function of any business is to create value for its customers by providing products or services that satisfy their needs or wants. However, there are several other important functions of a business that help it achieve its goals and objectives. Here are some of the key functions of business:
- Operations: This function involves the production of goods or services and the management of resources to ensure that they are produced efficiently and effectively.
- Finance: This function involves managing the financial resources of the business, including budgeting, accounting, financial reporting, and analysis.
- Marketing: This function involves identifying and understanding customer needs and wants, developing and promoting products and services, and building brand awareness and customer loyalty.
- Human Resources: This function involves managing the workforce, including recruitment, training, performance evaluation, and compensation.
- Information Technology: This function involves managing the company’s technology infrastructure, including hardware, software, and networks, to support the business’s operations and goals.
- Sales: This function involves identifying potential customers and persuading them to purchase the company’s products or services.
- Research and Development: This function involves developing new products, improving existing products, and conducting research to identify new business opportunities.
All of these functions work together to ensure that the business operates efficiently and effectively, and that it achieves its goals and objectives.
Functions of business
Following are the main functions of business
- Production
The main function of business is to produce goods and services. The production must be regular. The goods and services must be such which may satisfy human wants.
2 SALES
The sale is an other important function of business. If there is no sale then there is no business. The sale must be regular and at reasonable price. It is very difficult job because there is hard competition in each market.
- Finance
It is also an important function of business to secure the finance. Finance is required for the establishment and expansion of business. There are two sources of raising funds:
- Owner’s capital
- Borrowed funds
- Management function
The management function is also important for business. Management includes planning, motivating and controlling the efforts of others. The management also provides the direction for all subordinates.
- Innovation
In present time of competition, innovation is essential for the advancement of business. The businessman must try to find the new techniques of production because the business may not sell present output in future.
- Controlling
Controlling function is also very important for business. When the manager finds that performance in his area of controlling is falling, he takes quick action immediately.
- Accounting
It means to record the business activities. With proper accounts, the owner can know the actual performance of business and chances of fraud are reduced.
- Marketing
Through marketing, goods are moved from producers to consumers. So it is an important function for business. This function includes buying, selling, transportation, product designing and storage etc.
- Quality improvement
Quality of product must be improved to increase the sale. If quality of product is poor then business may suffer loss.
- Motivating
Motivation is an essential for increasing the efficiency of employees. Motivation encourages the employees to give their best performance.
- Research
Research is also an important function of business. Research is a search for new knowledge. By research. business becomes able to produce improved and new goods.
- Public relations
It is very important function to make friendly relations with public. In this way sales volume is increased.
