What is Business
Business is certain activity where there is a transaction of products and services in exchange of money. This transaction takes place between two people or groups of people. The relationship can be based on mutual and verbal understanding or a written agreement.
Explanation of Business
Business cannot be defined in certain words. Nor can it be taught in defined steps. There is no set definition for business. It really depends on what product or services you are going to give and how they are going to be bought by people. Market conditions, economy, circumstances and other factors also decide the way of doing business.
Business vs Job vs Shop
First of all business is not opening a shop as many people think. This is a good option for those who are rich enough to run their homes and are making money from their shop in addition. Business is a very large thinking. The goal of business is very different from a job or shop. In a job you have a set goal of earning a certain amount of salary per month. Similar can be said for a shop. While in business there is no limit to grow. In fact, business is to earn so much money in a little time that you can retire from your work. Now you can open a shop and sit there also. Or do whatever you can do with your skills. Do social work, help people in trouble or just live your life. That is what business is all about.
In business income cannot be guaranteed on a daily basis. Daily Income is not impossible but in most cases income is occasional. However, this occasional income can be more than the yearly income.
How to Do Business
Every business does have some common factor. We can help you cover those aspects with some examples. Rest you have to figure out by yourself. If you are going to do something that is already being done than it is not very difficult to gather knowledge about it. However, if you are going to do something new then you can gather knowledge only by doing it. We will also try to cover some aspects of a new idea to some extent.
Also ReadRate of Unemployment Around The World
Job vs Business Which is The Better Option
How to Learn Business
To Know about business or to learn business, the best way to do is to see examples of such business. Not every business is similar and nor it can teach you everything but you can learn something from every business. Besides, we are going to discuss more than one business so that you can learn more about business.
Learn Business From Examples
Let us learn from examples
Handbag Manufacturing For example, suppose you are manufacturing hand bags and you deliver them to some 30 shops in the locality every month. Let us see what you have to deal with. First of all you have to know the process of manufacturing hand bags. Next, you will need some workers to manufacture handbags if you cannot do it by yourself. Technically, you will need to produce 300 hand bags per month. Number of people required should be decided by the time taken to manufacture one handbag. You may need to hire a designer for designing. Then you will need some tools and raw material. After the bag is produced, you also have to supply them to the shop owners. Then you have to decide the price for the product. Here you have to consider certain factors like your profit and competitive price for the hand bag.
Let us say that you are earning 100 rupees on every product and you sell 10 handbags to every shop per month. This way you are running a business with a profit of 30 thousand per month. Irrespective of what you invest, this is your estimated earning. Obviously, sales can go down on some days, but they can also raise on some other days. This is a handsome amount of money to earn.
What you learn here is how much investment is required, the process from manufacturing to deliver and ups and down faced by you. Which shop sells more and which shop sells less. What is the best time in the year to sell bags etc.
Some expenses are also made. Some of these expenses are regular in nature i.e. they occur every month like the salary of the employees, price of raw material and other expenses. Some expenses are only one time and give results for a long time. For example, you need to buy tools only once and you have to pay the designer also one time for one design.
Designing Clothes Designing clothes is a business sector with unlimited possibilities. Daily new designs are hitting market and people wear them to make a fashion statement. There can be no limit to design clothes as designing is unlimited. One can carve a billion of designs on a piece of cloth. If you enter this arena, there is a lot of scope to grow.
For designing of clothes, you either need to have a good designer or you have to hire them. It is sign of a good entrepreneur to gather resources what they do not have. When you have the arrangement for designers, you will need to study the current market trends and latest designs from at least five to seven years ago. This will give you an idea of what is required to be designed and you will also make sure that you do not end up designing something that is already there.
Now you need to make contact with leading brands of clothes and offer them your designs. This is a rather tough task because almost all of them have a separate designing section. But your advantage is that you have a fully dedicated work for designing clothes. Their division is not likely to be devoted. You have to make this as your strong point. Plus your work also has to be very impressive. You have to give the designs a look that one cannot resist them. When you work with such dedication, you have a higher chance of getting success at what you do. There will be some struggle and of course you have to go to different brands one by one. But when they will start recognizing you, people will come to you for designs.
For doing this kind of work, initial investment is not very much. You need a place and some furniture. The size of place depends on the size of your team. For 2 to 10 people a 10ft x 10ft hall will do. As the size of the team grows, you can add more rooms. For a work like this, you donít need a great location for your place. Anywhere inside city lanes will do. Obviously, the location has to be easily accessible. You have to buy some furniture. Some furniture is very important for running a place properly. These furniture can be pretty expensive. However, you can choose good looking and cheap plastic furniture also and upgrade it later. When you are starting up something, people will understand and adjust with the furniture. However, you cannot do without any furniture. You can also minimize your investment by hiring few people in the start. You can also minimize this part of investment if you will partner with these new people.
Fancy Shoes Shoes are of many types. They come in all kind of shapes and designs. People are always looking for some great looking shoes. The thing with shoes is that they always wear out. Shoes can get dirty and old very easily. Because of the rough use shoes have, they donít have a long life. So, people buy them often. There are different kinds of shoes for different purposes. Jogging, shoes, formal shoes, casual shoes and sports shoes, all kinds of different shoes are available there in the market. You can also jump in the game to make money by selling your own shoes. All you need is a set of stunning designs which will attract people to your thing and make it sell.