Amalgamation, as its name suggests, is nothing but two companies becoming one. On the other hand, Absorption is the process in which the one dominant company takes control over the weaker company. These are two business strategies adopted by the companies to expand itself and take a competitive position in the market. But, here one should know that Amalgamation can occur in two ways i.e. in the form of merger or the form of absorption. Amalgamation is the legal process, in which two or more … [Read more...]

There are various forms of business organization in which the business entity can be organized, managed and operated. Sole Proprietorship is one of the oldest and easiest forms, which is still prevalent in the world. In this type of business, only one person owns, manages and controls the business activities. The individual who runs the business is known as a sole proprietor or sole trader. On the contrary, Partnership is that form of business organization two or more individuals come … [Read more...]

Leadership is a trait of influencing the behavior of individuals, in order to fulfill organizational objectives. A number of leadership theories have been propounded by various management experts considering behaviour, traits, nature, etc. namely, Authoritarian, Laissez-faire, Transactional, Transformational, Paternalistic and Democratic. Transactional Leadership or otherwise known as management leadership, refers, to a leadership style which lays emphasis on the transaction between leader and … [Read more...]

CST is charged on interstate sales, by the central government, but collected by that state government in which sales have been made. On the contrary, VAT is a state-level multipoint tax, imposed in the value addition in the product, collected at various stages production and distribution. It contains a provision of set-off for the tax paid at the earlier stage. There are hundreds of sale transactions that takes place every moment around the world. The selling price of the product includes … [Read more...]

In macroeconomics, we study about two burning issues which is experienced by almost all the countries of the world, i.e. inflation and deflation. Inflation is a situation when the prices of goods and services get a boost, thus decreasing the buying power of money. It is the continuous upward movement in the general price level of the economy. On the other hand deflation, it is opposite of inflation, whereby prices of goods and services fall and people can purchase more goods with the limited … [Read more...]

Joint Venture is a form of business organization which is temporary in nature. It is established for a specific purpose or to accomplish a certain task or activity and when this purpose is completed the joint venture comes to an end. Joint venture is not exactly same as partnership, which is also a type of business entity, that come into existence when two or more persons come together to share business profits. The partnership business is understaken either by all the partners or by one partner … [Read more...]

Planning is an important activity, performed by the management, keeping in view, the vision, mission, goals and objectives of the enterprise. It implies thinking in advance, what we need to do in future and creates a rough draft, so as to fulfill the business objectives. Planning occurring at the corporate level is termed as strategic planning, while the planning process taking place at the functional level is called operational planning. Strategic Planning is concentrated towards attaining … [Read more...]

In business parlance, the terms strategy refers to is a unique plan designed with the aim of achieving a competitive position in the market and also to reach the organisational goals and objectives. In short, it is an interpretative plan, that guides the enterprise in realizing its goal. On the other hand, policy refers to a set of rules made by the organisation for rational decision making. Policy lays down the course of action, which is opted to guide the organization's current and future … [Read more...]

Strategy Formulation and Strategy Implementation are the two most important phases of strategic management process. Strategy Formulation means crafting a combination of strategies and picking out the best one to achieve the organizational goals and objectives and thereby reaching the vision of the organization. It involves a number of steps which are performed in chronological order. On the other hand, Strategy Implementation refers to the execution of the opted strategy, i.e. it converts the … [Read more...]

Do you know the fact that we all are consumers in some way or the other, no matter what our age, gender, race, caste, community is. The consumer is the one who consumes the goods, i.e. the user of the goods. It is commonly misconstrued with the term customer, which refers to a person who buys the goods or commodity and pays the price for it. Each and every marketing activity is directed towards influencing the behavior of customers, i.e. to induce them in such a way that they take an action … [Read more...]