A private company is a closely held one and requires at least two or more persons, for its formation. On the other hand, a public company is owned and traded publicly. It requires 7 or more persons for its set up. There are vast differences between Pvt Ltd. and Public Ltd Company. In the business glossary, it is no wonder that the term company is used commonly. It is that form of business organization, which enjoys certain advantages over other forms such as sole proprietorship or … [Read more...]

The purchase order is a written commercial document issued by the buyer to the seller, comprising of containing types, prices, quantity, quality and terms of the goods to be delivered. On the other hand, the sales order is a confirmation document prepared by the seller and sent to customers before the delivery of specified goods, at the customer's place. Both purchase order and sales order become binding, when the party to whom it is issued, accepts it. While purchase order authorizes the … [Read more...]

Stock Market is a place where trading in securities issued by the government, public corporations and joint stock companies are done. t is a commonplace for both the buyers and sellers to deal in the financial instruments like shares, debentures, bonds, currency etc. In India, the two most popular stock exchanges are BSE (Bombay Stock Exchange) and NSE (National Stock Exchange). Nifty of NSE and Sensex of BSE are the flagship index of the two most popular stock market in India. A stock market … [Read more...]

There is always a buzz when we talk about a leader and the manager. Leadership is a skill and the person who possess this ability is known as a LEADER. On the other hand, Management is a discipline, and the practitioner of this discipline is known as the MANAGER. Leader and manager have a great role to play in any organization, in the sense that a leader is the one who inspires, encourages and influence his men, to work willingly, in the attainment of the organization's objectives. On the … [Read more...]

The sales executive is the most important link between the company and its clients, who offer products and services to the customers and negotiate contracts, so as increase profits. On the other hand, marketing executives, play a crucial role in every organization who work with other employees, such as market research team, distribution staff, advertising team and so on The marketing executives focus on maximizing profits by creating sales and providing those products to customers that match … [Read more...]

In a commercial transaction, a product or service is exchanged for a price, between the buyer and seller. So, we can say that price is the amount to be paid, in order to get the product or service. There are many people who believe that price, cost and value of a product or service are one and the same thing, but there is nothing like that. Cost is basically the aggregate monetary value of the inputs used in the production of the goods or delivery of services. Conversely, Value of a product … [Read more...]

To understand the market mechanism, one needs to have a good knowledge of demand and supply, as these two forces regulate the entire market. Demand implies the desire for a good, supported by the ability and readiness to pay for it. On the other hand, supply alludes to the total amount of a commodity ready for sale. When demand rises there is a shortage in the supply and when a supply is enough the demand falls short, so there is an inverse relationship between these two elements. Nowadays … [Read more...]

A business entity always focuses on increasing revenue, because it is the revenue which decides its fate. In addition to this, the profit of the company also greatly depends on the revenue earned. For earning profits, revenue should always be more than the cost of inputs, or else the firm would not be able to survive in the long run. Revenue is the proceeds which a firm earns from different activities, in a particular period. On the contrary, profit, as we all know, is the surplus of income … [Read more...]

While sales is more of transaction-based, marketing aims at winning and retaining the customers for the long term. These two often share a common goal of increasing the company's revenue but differ in their functions and process. Basically sales imply the exchange of products and services for money or money's worth. On the other hand, marketing is an umbrella term which indicates a set of activities that starts with the market research and ends with consumer satisfaction. The focus of the two … [Read more...]

Micro Economics talks about the actions of an individual unit, i.e. an individual, firm, household, market, industry, etc. On the other hand, the Macro Economics studies the economy as a whole, i.e. it assesses not a single unit but the combination of all i.e. firms, households, nation, industries, market, etc. ‘Economics’ is defined as the study of how humans work together to convert limited resources into goods and services to satisfy their wants (unlimited) and how they distribute the same … [Read more...]