Trademark

Any symbol, word or combination thereof used to represent or identify a product. A service mark means the same thing, but identifies a service.

A trademark is a device, word or combination of words, or symbol that indicates the source or ownership of a product or service. A trademark can be a name, such as Adidas, or a symbol, such as McDonald's golden arches, or it can be a combination of the two, such as when the NIKE name is written with the "swoosh" symbol beneath it. In very limited cases, a shape or even a distinctive color can become a trademark.

strategic planning

Strategic planning : long term plans &  broader visikon focus on getting competitive advantages & getting distinctive competencies.
any thing which a company can go better tha its competition in form of quality, price, distribution etc also focus on environment.

Sole Proprietorship

The sole proprietorship is the simplest business form under which one can operate a business. The sole proprietorship is not a legal entity. It simply refers to a person who owns the business and is personally responsible for its debts. A sole proprietorship can operate under the name of its owner or it can do business under a fictitious name, such as Nancy's Nail Salon. The fictitious name is simply a trade name--it does not create a legal entity separate from the sole proprietor owner.

 Advantages of sole trading include that:

    you’re the boss
    you keep all the profits
    start-up costs are low
    you have maximum privacy
    establishing and operating your business is simple
    it’s easy to change your legal structure later if circumstances change
    you can easily wind up your business.


Disadvantages of sole trading include that:

    you have unlimited liability for debts as there’s no legal distinction between private and business assets
    your capacity to raise capital is limited
    all the responsibility for making day-to-day business decisions is yours
    retaining high-calibre employees can be difficult
    it can be hard to take holidays
    you’re taxed as a single person
    the life of the business is limited.

SME

"SME" stands for small and medium-sized enterprises. A business that maintains revenues or a number of employees below a certain standard.
No. of eployees:
under 20 v.small business
20 - 99 small business
100 - 499 medium business
morethan 500 large business

mostly business starts at small level than converted to enterprenuership.

e.g student biryani starts limited with a small shop & now no. of outlets are here , Grocery Store are small business..

Role and contribution of SME

Role and contribution of Small Business towards Economic Development

The small businesses play a vital role in the economic development.Today the small businesses are the heart of the market economy with their buying and selling of products and services.In the United States they make up 97% of all the non farm enterprises.

Small businesses play an important role in the all round economic development of a country like India where millions of people are unemployed or underemployed,where most of the entrepreneurs are not capable of investment and where there is dearth of capital and capital equipments.In India even though the nature and the size of the businesses are similar to that of small businesses of USA but the nomenclature is different.In India it is called as Small Scale Industry(SSI).

The following are the important contributions of small business towards economic development.

(i)The small businesses have greater flexibility in their operations.They are much better placed in catering to individual tastes and changing fashions.
(ii)The small business are generally labour-intensive.They thus ideally suit the country where capital is scarce while labour is super abundant.
(iii)The developing nations are endowed with large fund of traditional skills.Small scale industries provide opportunities for profitable employment of these skills.
(iv)The only practical way to provide the people with livelihood is to ensure expanding employment opportunities  to them.Small scale industry with their extensive employment potential can thus play a vital role in relieving the widespread and object poverty.
(v)The small businesses often make use of local resources which otherwise may go waste.They provide opportunities for entrepreneurship to many more persons.They thus promote entrepreneurship which is an essential factor in economic development.
(vi)Artistic handicrafts earn valuable foreign exchange for the country.It is able to contribute 35% of the much needed foreign exchange earnings through exports.
(vii)The distributions of net value added is less unequal in small scale industries.Hence they help to avoid extreme inequalities of income,wealth and economic power.
(viii)While large businesses take years to put up and attain reasonable levels of capacity utilization,small scale units can be contributed and brought up into operation in a much shorter period.In a situation where there is need to avoid inflation and to raise the level of living of the masses calls for quick increases in output,the small businesses play important role.
(ix)Decentralization of production made possible by small businesses can provide a check on excessive and premature urbanization which is a serious problem.
(x)The intimate and personal relationship that exists in small industries are more conducive to peaceful and cooperative industrial relations.

problems of SME

The path of small entrepreneurs is not rosy. Small entrepreneurs face the following types of problems:

(1) Problem of raw materials:
i. Availability of inadequate quantity
ii. Poor quality of materials
iii. High cost of raw materials etc

(2) Problem of finance:

(i) Scarcity of capital in the country as a whole.
(ii) Weal credit-worthiness of small units in the country. Due to their weak economic base, they find it difficult to take financial assistance from the commercial banks and financial institutions.

(3) Outdated technology:

Most of the small entrepreneurs depend upon old techniques and equipment. These units find it very difficult to modernize their plant and machinery due to limited capacity and capital.

(4) Managerial problem:

Another serious problem for small scale units is managerial inadequacies. Modern business demands vision, knowledge, skill, aptitude and whole hearted devotion. The managerial competence of the entrepreneur is very important for the success of any venture.

(5) Other problems:

In addition to above discussed problems, the small scale industries have been constrained by a number of other problems such as trained technicians, technological obsolescence, unorganized nature of operation etc.

Planning to operate business

1. choose location: which situsation & which location easily to reach their utilities & tranportation.

2. PLanning operation & physical facilities:  the physical requirments machinery, area, stores, markets, warehouse etc

3. Developing resources of supply for goods & materials:  the total cost of product from which 50% cost is of production, in goods , raw material is easily required.

4. planning your human resources requirment: what people you required staff management etc

5. setting regal & organizational structure: hierarchy of organization who reports to whom.

6. determining your approach of market: how to go to market & sale your products focus & strategy of product sale.

Planning Importance

Why planning is important??

planning is important b/c person who invest, wants some return. so after planning it decrease risk, it helps the worker in creating motivation

Why planing is ignored??

- in small business, people just do work
- having less information about planning
- less time to plan
- afraid of weakness & threats
- you cant assume your future

Planning etc

PLanning: The process of setting goals, developing strategies, and outlining tasks and schedules to accomplish the goals.What do you want to achieve.

Organizing : Allocation of resources & when you convert it into goals, financial, physical, @ human resoureses & thier assiging.

Staffing : Specific to human resourses , how you train your employees , developing & placing of staff .

leading : process of communicating  with workers & motivating them towards business.

controlling : taking decision, setting standard of performance & measuring performance of employees & compare with the standard. 

Partnerships

A partnership is the relationship existing between two or more persons who join to carry on a trade or business. Each person contributes money, property, labor or skill, and expects to share in the profits and losses of the business.

 Advantages of a partnership include that:

    two heads (or more) are better than one
    your business is easy to establish and start-up costs are low
    more capital is available for the business
    you’ll have greater borrowing capacity
    high-calibre employees can be made partners
    there is opportunity for income splitting, an advantage of particular importance due to resultant tax savings
    partners’ business affairs are private
    there is limited external regulation
    it’s easy to change your legal structure later if circumstances change.


Disadvantages of a partnership include that:

    the liability of the partners for the debts of the business is unlimited
    each partner is ‘jointly and severally’ liable for the partnership’s debts; that is, each partner is liable for their share of the partnership debts as well as being liable for all the debts
    there is a risk of disagreements and friction among partners and management
    each partner is an agent of the partnership and is liable for actions by other partners
    if partners join or leave, you will probably have to value all the partnership assets and this can be costly.

opertional plannig

opertional planning :

how to achieve , fulfil strategic plans, & what are you doing in business..

Policies: Guidence which gives consistency in decision making, repeated situation, taking decisions

Methods Procedures : What ever result is needed, hoe that good result is achieved , prevented way of complerting task.

Budgets and standards : Plans for future activities & measuring performance with standard

niche marketing

A niche is a focused, targetable part of the market.  You are a specialist providing a product or service that focuses on specific client group’s needs, which cannot or are not addressed in such detail by mainstream providers.

However, it is important to understand that there is a difference between your niche and your target market:

Your target market is the specific group of people you work for e.g. women in the City, dog owners, creative female freelancers, ceramic collectors, brides to be, outdoor galleries.

internal & external environment

internal environment : focus on internal factor to achieve goals & getting competitive advantage. (its controllable)

external environment : focus on external factor to achieve goals & getting competitive advantage. (its non - controllable)

industry

industry: all organizations render similar types of services and similar products is known as industry.. Based upon no of employees plays important role in any nation's economy..  In modern economies, there are dozens of different industry classifications, which are typically grouped into larger categories called sectors.

How t o develop a business

1. The executive summary is like an elevator pitch or a cover letter. It's a short-and-sweet one-pager that highlights your products or services, target market, management team, short-term and long-term objectives and overall mission. In your executive summary, clarity is your ally. Investors want to see that you have your head on straight. Some people may interpret ambiguity in a business plan as disorganization, sloppiness, or, even worse, weakness.

2. Thorough market analysis shows you've done your homework. You're at least somewhat aware of the challenges you could face in a particular industry or location, both when you first launch and years down the road. When presenting your analysis in the plan, include the following elements:
-Industry overview.
-Market share
-Competitive analysis

3. Alternative Channels. This growth strategy involves pursuing customers in a different way such as, for example, selling your products online. When Apple added its retail division, it was also adopting an Alternative Channel strategy. Using the Internet as a means for your customers to access your products or services in a new way, such as by adopting a rental model or software as a service, is another Alternative Channel strategy.

4.If you've exhausted all steps along the Intensive Growth Strategy path, you can then consider growth through acquisition or Integrative Growth Strategies.there are three viable alternatives when it comes to an implementing an Integrative Growth Strategy. They are:
Horizontal
Backward
Forward

5.Develop operational plan

6. develop financial plan

7. make a business plan

8. implement plan

Franchising etc

Franchising : A continuing relationship in which a franchisor provides a licensed privilege to the franchisee to do business and offers assistance in organizing, training, merchandising, marketing and managing in return for a monetary consideration. Franchising is a form of business by which the owner (franchisor) of a product, service or method obtains distribution through affiliated dealers (franchisees).

Franchise : A franchise is a right granted to an individual or group to market a company's goods or services within a certain territory or location. Some examples of today's popular franchises are McDonald's, Subway, Domino's Pizza, and the UPS Store.

Franchisee : One who purchases a franchise. The franchisee then runs that location of the purchased business. He or she is responsible for certain decisions, but many other decisions (such as the look, name, and products) are already determined by the franchisor and must be kept the same by the franchisee. The franchisee will pay the franchisor under the terms of the agreement, usually either a flat fee or a percentage of the revenues or profits, from the sales transacted at that location.

Franchisor : The company that allows an individual (known as the franchisee) to run a location of their business.

The franchisor owns the overarching company, trademarks, and products, but gives the right to the franchisee to run the franchise location, in return for an agreed-upon fee. Fast-food companies are often franchised.

entrepreneurship

entrepreneurship: The capacity and willingness to develop, organize and manage a business venture along with any of its risks in order to make a profit. The most obvious example of entrepreneurship is the starting of new businesses.

In economics, entrepreneurship combined with land, labor, natural resources and capital can produce profit. Entrepreneurial spirit is characterized by innovation and risk-taking, and is an essential part of a nation's ability to succeed in an ever changing and increasingly competitive global marketplace.

Entrepreneu: An individual who, rather than working as an employee, runs a small business and assumes all the risk and reward of a given business venture, idea, or good or service offered for sale. The entrepreneur is commonly seen as a business leader and innovator of new ideas and business processes.

differences between a C corporation and an S corporation

C corporations are subject to double taxation; that is, one tax at the corporate level on the corporation's net income, and another tax to the shareholders when the profits are distributed. S corporations have only one level of taxation. All of their income is allocated to the shareholders.

However, C corporations have greater tax planning flexibility and can shield shareholders from direct tax liability. In addition, S corporations are subject to limitations, such as the number and type of shareholders they can have.

corporation

A legal entity that is separate and distinct from its owners. Corporations enjoy most of the rights and responsibilities that an individual possesses; that is, a corporation has the right to enter into contracts, loan and borrow money, sue and be sued, hire employees, own assets and pay taxes.

Advantages

    Owners' personal assets are protected from business debt and liability
    Corporations have unlimited life extending beyond the illness or death of the owners
    Tax free benefits such as insurance, travel, and retirement plan deductions
    Transfer of ownership facilitated by sale of stock
    Change of ownership need not affect management
    Easier to raise capital through sale of stocks and bonds

Disadvantages

    More expensive to form than proprietorship or partnerships
    More legal formality
    More state and federal rules and regulations

Concept of Globalization

Globalization may be defined as the process of integrating various economies of the world without creating any hindrances in the free flow of goods and services, technology, capital and even labour or human capital. Therefore, it signifies internationalization plus liberalization, through which the world has become a small global village.