By:Joseph Kenny Businesses are everywhere. They are the units that perform most of the economic activity in our economy. Most businesses exist to generate a profit. There are some businesses that exist to perform a function other than profit, such as cooperatives and non-profit organisations. The traditional definition of a business is an entity that brings together time, effort and capital in order to produce a profit. There are different ways of classifying businesses but here are the main types: These take raw materials and make finished products, which they then sell. They make a physical good such as a car or a sofa. Service businesses do not produce a physical product but offer a service to consumers. They make a profit by charging for their skills and labour. Retailers and distributors. These businesses facilitate the chain of supply. They buy goods from the producers or wholesalers and sell them on to consumers at a higher price. Agriculture and mining. These businesses are also known as extraction industries as they make their profit by taking raw materials out of the ground. Forestry, fishing and coal mining would be in this group. Financial businesses include banks, insurance companies and investment funds. They offer financial services to consumers and other businesses and generate a profit by managing capital for others. Utilities are companies that provide vital public services like heat, electricity, gas, water and sewage treatment. Real estate is the business of buying, selling and developing land and buildings. These can range from homes to commercial properties to factories. Transportation businesses move people and goods around the world. These would include taxi and bus companies, freight companies, shipping companies and airlines. Businesses can either be privately owned or publicly owned by the government. Government usually regulates business for a variety of purposes. This will include collecting corporate taxes. Also certain business pose a risk to the public and so must be regulated. Some businesses, especially extraction and manufacturing but also others, have a significant impact on the environment. If they were left unregulated, they could, while carrying out their functions for profit, do irreparable harm to the environment. Others, such as drug companies and pharmaceuticals must be regulated so that safety and health standards can be maintained. Drugs must be monitored so that any that begin to cause serious side effects are quickly taken off the market. Most people hold the view that it would not be successful to have businesses regulate themselves when it comes to vital areas of the public interest. Article Source: http://www.redsofts.com/articles/ Joseph Kenny is the webmaster of the loan information site www.ukpersonalloanstore.co.uk. At the Personal Loan Store you can find some of the latest personal loans explained in detail. More Articles from Business Category: How To Be More Successful By Using Effective Time Management Tools Team Working - Personality Profiling Can Help Are You Losing Focus? Use These Time Management Tips To Get It Back Is Your Company At Risk? Make Good Use Of A Certificate Of Insurance How Do You Avoid Online Survey Scams Partner Up In Business With A Joint Venture Agreement Learn to Control Your Retirement Investments, Earn Higher Returns, Invest in Real Estate, Franchises Available Mentoring Programs Why Are Online Surveys So Popular How Do You Create An Income From Online Surveys Tips To Starting A Successful Internet Business The Qualities Of An Effective Executive Summary Do Your Employees Know The Ground Rules? 5 Tips for Collecting on Past Due Accounts Helping Children to Understand Alternative Energy

Soft Categories
Audio & Mp3   Business & Finance   Desktop Enhancements   Games   Home & Education   Internet   Multimedia & Design   Security & Privacy   Software Development   System Utilities   Web Development