Describe the concept of business in modern context

You may not think of Napoleon Bonaparte as a logistician. But his axiom that “an army marches on its stomach”—that is, keeping forces well-provisioned is fundamental to success in war—launched logistics as a field of military concentration. Today, the term “logistics” applies to the reliable movement of supplies and finished products. According to a Statista study, U.S. businesses spent $1.63 trillion on logistics in 2019, moving goods from origin to end-user through various supply chain network segments. By 2025, a total of 5.95 trillion ton-miles of freight will move across the United States. Without efficient logistics, a business cannot win the profitability war. What Is Logistics? While the terms “logistics” and “supply chain” are sometimes used interchangeably, logistics is an Logistics refers to the movement of goods from Point A to Point B, which entails two functions: transportation and warehousing. The overall supply chain is a network of businesses and organizations working in a sequence of processes, including logistics, to produce and distribute goods. Video: What Is Logistics? What Is Logistics Management? Logistics is the collection of processes involved in moving goods internally or from buyer to seller. Logistics managers oversee and control the many complexities involved in that process; in fact, there are If a shipment of dairy products arrives spoiled because refrigeration failed, that’s on the logistics team. Fortunately, logistics management software ...

Summary. A look through HBR’s archives shows that business thinkers use the concept of a “business model” in many different ways, potentially skewing the definition. Many people believe Peter Drucker defined the term in a 1994 article as “assumptions about what a company gets paid for,” but that article never mentions the term business model. Instead, Drucker’s theory of the business was a set of assumptions about what a business will and won’t do, closer to Michael Porter’s definition of strategy. Businesses make assumptions about who their customers and competitors are, as well as about technology and their own strengths and weaknesses. Joan Magretta carries the idea of assumptions into her focus on business modeling, which encompasses the activities associated with both making and selling something. Alex Osterwalder also builds on Drucker’s concept of assumptions in his “business model canvas,” a way of organizing assumptions so that you can compare business models. Introducing a better business model into an existing market is the definition of a disruptive innovation, as written about by Clay Christensen. Rita McGrath offers that your business model is failing when innovations yield smaller and smaller improvements. You can innovate a new model by altering the mix of products and services, postponing decisions, changing the people who make the decisions, or changing incentives in the value chain. Finally, Mark Johnson provides a list of 19 types of business models and...

Learning outcomes • Explain the concept of globalization and its impact on global business Globalization There was a time when consumers only had access to goods and services that were available locally. Their choices were limited by what they could access on foot, by horse, or by carriage. This is still the case for many people around the world, and in rural and remote parts of the U.S., it’s still necessary for families to make weekly trips to town to stock up on food, household items, and other necessities. However, with the rise of Internet-based business (think Amazon), there’s been an explosion of international trade, and more and more consumers essentially have the world at their door. Of course international trade isn’t just a twentieth-century phenomenon. Trade across borders and between cultures has been a feature of human civilization for centuries—there’s evidence of this dating back as far as the 19th century BCE. The Silk Road, one of the best-known and most enduring “international” trade routes, began sometime around 200 BCE and for centuries was central to cultural interaction from China through regions of the Asian continent all the way to the Mediterranean Sea. So, if cultures and nations have been trading with one other for four thousand years, what makes today’s business landscape different? The answer lies in the distinction between international business and globalization. International business refers to commerce in which goods, services, or resource...

The traditional concept of business talks about making profit only. However, modern concept talks more about the customer satisfaction than profits. This is decided on the basis of its quality of product and services, efficient management system, use of state of the art technologies, doing market surveys, being informed about competitors etc.

We live in a dynamic environment that changes all the time. Businesses must understand the changes in the environment and how these changes affect their performance. The process of thinking strategically requires that managers understand how the structure and competitive dynamics of their industry affect the performance and profitability of their companies. Armed with an appreciation of the forces in their industry that give rise to opportunities and threats, managers should be able to make better strategic decisions. “Business environment is an aggregate of all conditions, events and influences that surround and affect it. It is broad and ever changing as its separate elements interact. A single firm’s environment is narrow in scope than the total environment of business. It is complicated and continuously changing.” —Professor Keith Davis. Learn about:- 1. Meaning of Business Environment 2. Definition of Business Environment 3. Concept 4. Scope 5. Factors 6. Need 7. Features 8. Components 9. Dimensions 10. Globalisation 11. Significance 12. Opportunities and Challenges. Business Environment: Meaning, Definition, Concept, Components, Significance, Scope, Factors, Features, Dimensions and More… ADVERTISEMENTS: Contents: • Meaning of Business Environment • Definition of Business Environment • Concept of Business Environment • Scope of Business Environment • Factors of Business Environment • Need of Business Environment • Features of Business Environment • Components of Busi...