Answer in brief.
1) State any four features of profession
Profession is that part of economic activities under which a person uses his educational knowledge and special skill to render services for earning some income. e.g. Doctor, Lawyer, Chartered Accountant etc.
1) Aim : Every profession is practiced for earning money. Also they render services to their clients and solve their problems.
2) Qualification : A profession can be practiced only after acquiring required qualifications. Each profession has a certain set of body of knowledge. This knowledge has to be acquired only by systematic and formal training. One cannot practice profession, unless this knowledge is acquired.
3) Financial Returns : Professionals get fees in exchange of their services. Income received by professional is not fixed. Professionals can be employed in an organization or self employed. A working Chartered Accountant gets salary but those who practice privately i.e. self-employed gets fees.
4) Capital : Profession can be practiced independently or professionals accept a job in any organization. Independent practicing professional requires huge capital for setting his practice. It differs from profession to profession.
5) Registration and Membership : Some professions have a council which regulates the activities of professionals. These professionals have to register themselves with their respective council and get certificate of practice e.g. Bar Council of India for lawyers, ICAI for Chartered Accountants, Indian Medical Association for doctors etc. The code of conduct mentioned by their respective councils must be strictly followed by every professional. Every practicing professional has to acquire membership from the respective council.
6) Non transferability : Profession can not be transferred to other person on the will of professional. e.g. A doctor cannot transfer his medical practice to his son or daughter who has not completed concerned medical education.
7) Nature ofWork : Professionals charge fees in exchange of expert services e.g. an architect designs the layout of office for fees.
2) State any two types of industries
Industries are a part of business. They look after the production of goods and services.Industries create form utility.
There are various types of industries. They can be broadly divided into three categories.
1. Primary Industry: These are the industries which depend on nature for their production. They include agriculture, mining, fishing, woodcutting, etc. Primary industries are further divided into three types; agriculture industry, extractive industry, and genetic industry.
2. Secondary Industry: These are the industries which depend upon primary industries for their production. They mainly categorized as manufacturing industries and construction industries. Secondary industries use the raw materials of primary industries and convert them into finished products which are then sold in the market.
3) Give two types of Foreign Trade
Trade with other countries is called foreign trade.
Foreign trade is of three types.
1. Import Trade: When the goods or services are purchased from other countries it is called import trade.
2. Export trade: When the goods are sold to other countries, it is called export trade.
3. Entrepot trade: It is also called re-exporting. In this case, goods are first brought from one country and again resale to another country. E.g. A buyer from India imports goods from France and exports them to Australia.
4) State any four Auxiliaries to Trade
Auxiliaries to trade are all those services which help in the smooth conduct of trade.
There are different types of services which help trade. They are explained below.
1. Warehousing: Warehousing helps to store the goods safely. There is a gap between the time of production and the time of consumption. Warehousing fills up this gap by conveniently storing the goods until they are demanded in the market. Warehousing, thus, creates time utility. Care is taken that the goods do not get damaged in the warehouse.
2. Advertising: Advertising is an important tool in the hands of a businessman to communicate with potential buyers. In today’s world, producer/seller is situated in one place and consumers are spread over wider area. Through advertisement, producer or seller can contact the consumers. There are different mediums of advertisement. e.g. T.V., Radio, Hoardings, Print, etc.
3. Insurance: Business is exposed to many risks. A businessman has to be careful about the risks. Some risks can be avoided, some can be minimized and some can be transferred. Insurance is an auxiliary which helps the businessman to handle the risk. Businessmen can transfer some of the risks to insurance companies. Insurance company, by accepting premium from the businessman, assures him to pay compensation in case of loss.
4. Transport: Transport is an important auxiliary to trade. Transport carries raw materials and people to place of production and brings finished goods to markets.
Thus transport creates place utility. Transport can be conducted by different modes e. g rail, road, water or air.
5) State any four features of employment
Employment is an economic activity. A person works for others to earn his livelihood.
Following are the features of employment:
1. Aim: The main aim of a person accepting employment is to earn money.
2. Qualification: Qualifications are required depending upon the nature of employment. Some types of work require educational qualifications, some require some specific skill, some require both. But qualification is necessary for employment.
3. Monetary returns: The person who accepts employments and works for the employer gets remuneration after specific intervals. Remuneration can be wages or salaries. Usually, wages are paid daily or weekly salaries are paid monthly.
4. Capital: Capital is not required for the person who is in employment.
6) Write any four objectives of business
Business is done with some objectives.
These can be divided into
(a) Economic objectives and
(b) Social objectives.
Following are the Economic Objectives:
1. Earning Profit: Business is done with the main objective of earning profit. Profit is always a motivating factor for a businessman.
2. Searching New Customers: To maximize profit a business organisation has to search for new customers. It is required to expand the business. It is also important to retain old customers.
3. Best possible use of Resources: Making the best use of available resources is the objective of the business. This ensures avoiding wastage and saving valuable money. This ultimately leads to an increase in profit.
4. Innovation: One of the important objectives of the business is to make innovations for the development of business.
Therefore research and development become an important part of the working of any business organisation.
7) State any four features of business
Business is an economic activity which is done to earn a profit.
The following are the features of business:
1. An economic activity: Business is an economic activity. Because it is done to earn profit for livelihood.
2. Two parties: Business is mainly concerned with the production and distribution of goods and services. It means business transactions involve exchange and in any exchange two parties are involved. Thus business involves two parties.
3. Profit motive: Every business is done with a motive of making a profit. Therefore all the activities of business revolve around profit. A businessman is not satisfied with the profit he gets, but he tries to maximize the profit either by increasing the production or by reducing the cost. He tries to find out new customers and new markets.
4. Production of Goods and Services: Business includes the production of goods and services. Raw materials are used and the finished goods are produced.
8) State any two types of primary industry
Ans:- Primary industries are those industries which depend on nature for production.
Primary industries are of three types which are given below.
1. Agriculture industry: Agriculture includes the cultivation of land. It is an important primary sector industry.
2. Extractive industry: Extractive industry draws out the products from natural resources like land, river or sea, etc. The products extracted are usually in raw form they are converted into finished products and sold in the market.
3. Genetic industry: Genetic industries are engaged in the reproduction and multiplication of plants and animals e.g. poultry, plant nursery, etc.