Objectives of Business

OBJECTIVES OF BUSINESS

Introduction

Human Activities

Human activity is an activity performed by a human being to meet his/her needs and wants or may be for personal satisfaction. Human activities can be categorised into economic and non-economic activities. The chart below gives a snapshot of human activities.

I. Economic Activities

Activities  undertaken  with  the   object   of earning money are called economic activities.

Examples:

·           Production of goods by manufacturers

·           Distribution of goods by wholesalers

·           Selling by retailers

·           Medical advice rendered by physicians

·           Accounting practice by chartered accountants

II. Non-Economic Activities

Activities undertaken to  satisfy  social  and psychological needs are called non- economic activities.

Examples:

·           Cooking food for family

·           Celebrating festivals

·           Watching movies in a theatre

·           Doing meditation

Economic Activity Vs. Non-Economic Activity