The purpose of the business
The first objective of a business is to survive through the struggle in a competitive market. Achieving other objectives of the business will be focused only when it can survive. How can other goals and objectives be achieved if the business does not sustain it?
Growth is another goal of the business. Business never stays in place. Increasing market share, development at the individual level, increasing productivity are the key to growing the business. For example, suppose an organization is in the market place at position no. In this case, his goal is to remove the No.1 organization and place himself in the No.1 seat. Whether it is 2 or 3 to 4 or no 2, it is an increase.
In the present age, performing social duties is one of the aims and objectives of the business. Every business organization is responsible to the society. They carry out some of those responsibilities. For example, they plant huge amounts of trees every year in Bangladesh because of the responsibility of the British American Tobacco Society. They spend a portion of their profits in this sector. The Dutch Bangla Bank offers scholarships to meritorious students every year. P&G spends a portion of their merchandise products in India on education for children and women. In this case, if he wanted a bat or a P&G, the entire profit could have been in their pocket. But from social responsibility they spend a portion. At other times, the government’s policy states that business enterprises must spend a certain part in the social sector and in the development of society. Because of this, you will find that the fountains in Dhaka City, Or sculpture or mural to be funded by various institutions. Business organizations are funded under Corporate Social Responsibility (CSR).
Profit / Profit (Two Perspectives)
In addition to the above mentioned objectives, making a profit is an important objective of the business. Every business is investing money to make a profit. Profit or profit can be seen from two perspectives. Business Perspectives and Economic Perspectives.
Business Profit is the difference between the income and expense of a business. A merchant determines the profit excluding all expenses and expenses (operating expenses, tax, etc.) from the income from which he sells his products. For example, an agile dealer sells an instant he excludes all expenses (such as all expenses related to the purchase of raw materials, shop rent, assistant’s salary, other expenses) to determine his profit. From a business perspective this is known as business profit. To achieve this profit, a business has to successfully meet its consumer needs and needs, take enough risks, manage the business effectively.
Economic Profit is what is left over from all the expenses and expenses from the income earned. As an economist and businessman, he determines profit by excluding all expenses, but he also calculates Opportunity Cost.
Opportunity CostBeing the choice of a thing, the cost of securing the next option is in our hands, so the Opportunity Cost. It seems a little complicated. To illustrate. Suppose you recently finished graduation. The job market is racing to get a job. At the same time you decided to do an MBA from a foreign university and apply and apply accordingly. You got a job and a salary of Rs.25 and you got the chance to get an MBA at an Australian university. So what do you do now? You decided to go on to do an MBA in Australia. At the same time, you gave up the chance to get a job with a salary of Rs. In your case, this is Tk 20 for the unrest cost. Economists always make profit calculations when it comes to cost-cutting in the face of profit calculations. And that’s because of the economic profit