PPT - Nature and Purpose of Business Commerce Notes | EduRev

 Page 1


Human Activities
?In every society people undertake 
various activities to satisfy their needs. 
These activities can b broadly be 
classified in two groups:
?ECONOMIC ACTIVITIES
? NON ECONOMIC ACTIVITIES
Page 2


Human Activities
?In every society people undertake 
various activities to satisfy their needs. 
These activities can b broadly be 
classified in two groups:
?ECONOMIC ACTIVITIES
? NON ECONOMIC ACTIVITIES
ECONOMIC ACTIVITY
? Economic activities are those by which 
we can earn our livelihood.
OR
? Keeping yourself engaged to earn 
something in return is economic 
activity.  
? e.g. doctor, teacher, driver, sweeper or 
clerk are all engaged in economic 
activities.
Page 3


Human Activities
?In every society people undertake 
various activities to satisfy their needs. 
These activities can b broadly be 
classified in two groups:
?ECONOMIC ACTIVITIES
? NON ECONOMIC ACTIVITIES
ECONOMIC ACTIVITY
? Economic activities are those by which 
we can earn our livelihood.
OR
? Keeping yourself engaged to earn 
something in return is economic 
activity.  
? e.g. doctor, teacher, driver, sweeper or 
clerk are all engaged in economic 
activities.
NON ECONOMIC ACTIVITY
? Activities which do not have any economic 
motive and are performed with a feeling of 
love, sympathy, humanity and patriotism 
are known as non-economic activities. 
? e.g. playing, dancing, giving donation, a 
housewife cooking food for family, or a boy 
helping an old man cross the road etc.
Page 4


Human Activities
?In every society people undertake 
various activities to satisfy their needs. 
These activities can b broadly be 
classified in two groups:
?ECONOMIC ACTIVITIES
? NON ECONOMIC ACTIVITIES
ECONOMIC ACTIVITY
? Economic activities are those by which 
we can earn our livelihood.
OR
? Keeping yourself engaged to earn 
something in return is economic 
activity.  
? e.g. doctor, teacher, driver, sweeper or 
clerk are all engaged in economic 
activities.
NON ECONOMIC ACTIVITY
? Activities which do not have any economic 
motive and are performed with a feeling of 
love, sympathy, humanity and patriotism 
are known as non-economic activities. 
? e.g. playing, dancing, giving donation, a 
housewife cooking food for family, or a boy 
helping an old man cross the road etc.
TYPES OF ECONOMIC ACTIVITIES
? Economic activities may be further divided into three 
categories:
1. Business
2. Profession
3. Employment
Page 5


Human Activities
?In every society people undertake 
various activities to satisfy their needs. 
These activities can b broadly be 
classified in two groups:
?ECONOMIC ACTIVITIES
? NON ECONOMIC ACTIVITIES
ECONOMIC ACTIVITY
? Economic activities are those by which 
we can earn our livelihood.
OR
? Keeping yourself engaged to earn 
something in return is economic 
activity.  
? e.g. doctor, teacher, driver, sweeper or 
clerk are all engaged in economic 
activities.
NON ECONOMIC ACTIVITY
? Activities which do not have any economic 
motive and are performed with a feeling of 
love, sympathy, humanity and patriotism 
are known as non-economic activities. 
? e.g. playing, dancing, giving donation, a 
housewife cooking food for family, or a boy 
helping an old man cross the road etc.
TYPES OF ECONOMIC ACTIVITIES
? Economic activities may be further divided into three 
categories:
1. Business
2. Profession
3. Employment
Business
? The term Business is derived from the word ‘busy’ . 
Thus, business means being busy.
? However, in specific sense, business refers to an 
occupation in which people regularly engage 
themselves with a view to earn profit.
? Business involves production or purchase or exchange 
of goods and services to satisfy the needs of people 
with aim to earn profit.
? The persons who are engaged in business are called 
entrepreneurs.