Free M.B.A. Guide
Free MBA Resources

Masters of Business Administration Notes


About Us Advertise Contact us  Wednesday 22nd February 2017 Success Essentials
Advertising Management
Finance Management
Home Based Business
Industrial Relations
List of MBA Colleges
Marketing Management
Office Administration
Office Management
Organisational Behaviour
Organisational Theory
Personnel Administration
Principles of Management
Production Management
Sales Management
Tally - Accounting Software

Business and Profession Differ
Health services are not provided by shipping companies alone. There are such people as doctors, vaidyas and Hakeems, who have made healing their life's work, an have themselves studied all the known means of preventing it from arising and of treating it when it has arisen. The doctor, Vaidya or Hakeem, too, like the shipping company, aims at satisfying a human need, and offers services for doing so, and again, like the shipping company, for payment. Nevertheless he is not a businessman, and his work is called a profession, not a business.


Postini Alternative


A doctor or a lawyer is an expert in a particular branch of human knowledge, so is the businessman an expert in his own special activity. But they differ in the application of th expert knowledge. The doctor's or lawyer's work is purely and essentially of personal character. He comes into personal and intimate contact with the problems afforded by that patient's condition or the client's case. He is interested in and must apply himself for the moment solely to, the one particular case to which his attention is drawn. He has no concern with things in a general way. The work of the businessman, on the other hand, is the direct opposite of this. The troubles of one particular individual do not concern him at all: it is the mass of the population with which he has to deal. A human need begins to interest him only when it is wide spread and general. Form that moment is enters into the realm of practical business; it becomes a business proposition to find a means that will satisfy it.

Profit Motive and Service Motive

It is, therefore, only when a need, be it material or be it spiritual, transcends the particular and attains the general and ripens into a demand that it comes within the scope of business at all. For in private Enterprise it is purely a matter of profits. No one enters business for his health; he does so for th purpose of making money so that, like any other person, he may satisfy his various wants with the money that he earns. He seeks to earn his money by catering for the needs of other people and making a profit in doing so. The profit he earns is in fact the justification for his existence. Business is, as a consequence, founded on the exchange of goods, and the exchange to be fruitful should be made for mutual gains to both exchanger and the exchange. In a market economy or capitalistic production, no business, however big it maybe, can survive for any length of time if it is run on the noble doctrine of Nishkarma Karma of th Bhagavad Gita. An association with profits is thrust upon business by circumstances beyond its control and this association need not necessarily carry contamination with it, if it is remembered that profit is only th reward for the service that the businessman renders to the community.

Business in the sens is of two kinds: business that is productive from the socia point of view, and business that is productive from the profit point of view when it adds to the net sum of goods and services which men want. It is run for the benefits of individuals when it riches individuals without increasing th net sum of goods an services. Advertising, some forms of speculation and some middle men's activities are examples of business which are in th main productive from the individual point of view. Yet for all these and other such activities, price is freely paid, and therefore, they are 'business'. In the long run the test of sound business is the amount of gain or profit which its owner is able to make Jegally. Again that is to some extent an indication of his usefulness. Every servent is worthy of his hire, the businessman no less than others. The public desires a particular quality, and it is the function of the businessman to see that he gets it. It is his business to supply needs as they arise and he must have the means to judge whether he is being of use in his service or not. His profits are his guide. It is usually th hope of making a good profit that attracts men of ability to business. If a man felt that the best he could expect from hard work and long hours was a bare living, he probably would feel that the effort was not worth while. As the saying goes, “The game is not worth the candle”. So it is the hope of an adequate reward that induces men to go into business. If the hop of that reward is taken away capable men will not be willing to put into business the time and energy needed for success.

In public enterprise, however, profits cease to be the yard stick of success. Public service takes the place of private gain, and national or nationalized business works for th common good. It is organised and run int he interest of the people as human beings, men, women and children an not “the people, in their institutional role, as wage earners or voters or consumers.

Related Articles
Mixed Economy
Business and Economic System
Post Your Comments
Email ID
  Please enter this code in this box.
Tell a friend
Send this articles to a friend .
Your Name
Your Email ID
Friend's Email ID
  Please enter this code in this box.

© 2008 - Free MBA Reources -