THE NATURE OF BUSINESS

FRAMED BY: M. AIT CHARKI

MALAK AKRACHE NAJWA ABID

AMINA FORSI
IHSANE YAMAMA ETTELEB

AMINA ELHILALI
PRISCILLA ADJOWA MENSAH
 Table of contents
INTRODUCTION
01 How business Affects our daily lives?
What is business ?
THE FOUR Cs OF BUSINESS
02 Company
Customers
Competitors
Collaborators
03 THE EVOLUTION OF AMERICAN BUSINESS PHILOSOPHY

04
U WHAY STUDY BUSINESS ?

05 SUMMARY
01
Intoduction
 BUSINESS AFFECTS
OUR DAILY LIFES
Perhaps you thought of some possible answers to the above question. After
all, you've been to shopping malls, looked at store displays, compared pricing,
dealt with salespeople, and evaluated and bought things from other states or
nations. You could have previously worked in a retail store or a fast-food
restaurant. If you think about it, you have had some interaction with the business
system throughout the majority of your life. Therefore, you already know
something about business. However, like most individuals, you may be aware
with certain parts of business but may not completely comprehend its role in
society or how to run a corporation.
 Business

The business consists of all activities involved in the production and distribution of goods and
service for profit to satisfy consumer needs and wants .
There are many different businesses like farms ,factories, retailers, Banks, transportation
companies ,and many others enterprises are all businesses.
They all encounter problems that are unique to their situations. for example, a neighborhood
movie theater faces a different set of problems than those faced by a large manufacturer like
General Motors . A manufacturer of compact disks faces problems different from those of a
retailer of high-fashion clothing . As a result ,these businesses operate in very different ways .
Is there a way to look at all the businesses ? can we generalize about what all businesses
have in common ? the answer is yes .however, before we explain the fundamental ideas
common to all businesses , lest look at the many activities involved in a particular business.

Suppose you decide to open a restaurant. you want to a restaurant to stand out from others
in the area .your idea is to offer a healthy meal at a good price. to start your business you
may have to borrow money ,perhaps from a bank. you have to find a good location that is
available for rent .you have to buy cooking equipment .you have to hire people to work as
cooks and servers . You may need an accountant to do the book work . you have to provide
friendly service to your customers . you must make sure you have enough cash to pay your
bills .
in short ,you have to do many things in business
 02
THE FOUR Cs OF BUSINESS 
 THE FOUR Cs OF BUSINESS
01 Company CUSTS
CUSTOMERS 02

03 COMPETITORS COLLBORATORS 04
01.COMPANY
A company is an arrangement for running the business. The term company refers to the
business itself. More specifically, it refers to the organization of people, the buildings
and equipment, and other resources needed to operate the business. Every business must have
people who perform certain tasks. At The Body Shop, there are people who make the soaps
and shampoos Employees serve as sales clerks inside the store.
Most owners of small businesses, however, plan to expand beyond their own labor to
«bigger and better things. Many companies have more than one owner. A large
cor poration such as IBM or General Mills can
have thousands of owners.You should realize that when we use
the word company, companies can take many forms. ranging from an individual who works on
 his or her own to a large corporation that operates in dozens of countries. Our
focus, however, is on »making it« and »making it big.
 02.CUSTOMERS
• A customer is the most important person ever in this office in person or by
mail. Many companies display signs on office walls to remind employees of
important ideas.
The following definition gives some shrewd advice.A customer is not dependent on
us we are dependent on him a customer is not an interruption
of our work...he is the purpose of it. Nobody ever won an argument with a customer.
A customer is a person who brings us his wants.
• Customers buy the company's products or services. The purpose of
business is to sell products or services to customers. A group
of customers is known as a market.
Marketing activities within a company, such as personal selling,
are focused to bring about an exchange between the company and its cus tomers .
The customer gives money to the company in exchange for
the product or service.Marketing is the major
business activity for satisfying customers.
03.COMPETITORS
Competitors are rival companies engaged in the same business. Your competitors are
interested in selling their products and services to your company's existing and
potential customers. Pepsico and Coca-Cola are competitors.

Business people refer to all the competitive producers of a good or service as an

industry. A company aspires to get a competitive advantage over industrial rivals. To
gain and retain a competitive advantage In some way, you must outperform or be
superior to your opponents. This may be accomplished by operating a more efficient
factory, providing higher-quality products and offering at a lower price.
04.COLLABORATORS
A collaborator a person or an organization that works with the company but is not part of it. Hiring
an accountant, buying materials and supplies, or getting a loan from a bank requires that the
company engage one or more collaborators. Collaborators help the company by running its
business without being part of it. They are frequently specialists who provide special services or
supply: raw materials, component parts, or production equipment for use in the production of
other goods and services.

For example, a large company like Whirlpool works with many collaborators that provide special
services that support Whirlpool as a business. It uses Roadway Express and FedEx to transport its
products to Sears stores, where customers receive personalized service. In Taiwan, it works with
Teco Electric & Machinery Company to distribute Whirlpool's home appliances in Asia.

Collaborators have been called alliances, networks, informal partnerships, and other names. The
term collaborators, on the other hand, works well since it indicates a corporation and another
party in a long-term partnership. Companies must be agile and adaptable in today's business
climate. Companies can do this by collaborating with others.
 Business value chain
1. Take, for example, the relationship between a manufacturer and a supplier.
Suppliers supply raw supplies, equipment, software, and services that allow the
company run its operations. G. D. Searle & Company, for example, provides
NutraSweet to Pepsico for its diet soft beverages. Pepsico may reduce the
requirement to create all of its ingredients by collaborating with a supplier like G. D.
Searle. In other cases, firms buy equipment or other business-related things from
vendors, such as Macintosh computers and NCR cash registers. A typical provider
exchanges goods or services in exchange for a fee.
1. Personnel agencies specialize in placing qualified individuals in appropriate
positions. A company that works with a staffing agency does not need to interview
a huge number of job hopefuls before selecting the best individuals. Exhibit 1.4
depicts the business value chain, which is a system of activities and interactions in
which each link provides value to the product that customers ultimately purchase.
By categorizing activities into primary, upstream, and downstream activities, the
show depicts the relationships between a corporation and its consumers and
some of its partners. Upstream activities such as obtaining equipment and
supplies from suppliers are performed before the company engages in its principal
operations, such as production, accounting, or sales. Downstream operations, or
those that take place after a product has been manufactured, necessitate working
with external collaborators including transportation companies and retailers.
Collaborators are used in a variety of ways by different businesses. Although the
need for and quantity of collaborators varies depending on the situation, practically
every firm uses them to some extent. This is due to the fact that when a
corporation collaborates, it expands its own resources and capabilities.
 We will soon see that major changes in the way modern business is carried out have
increased the importance of collaborators. Much of this book deals with how Companies
effectively and efficiently deal with Collaborators, Customers, and Competitors. The four
Cs help us understand what business Supplier A person or a company that provides goods or
services needed to make a final product. Business value chain A system of activities and
relationships, both inside and outside the firm, that a company needs to run its business.
 03
THE EVOLUTION OF AMERICAN
BUSINESS PHILOSOPHY
WHAY STUDY
BUSINESS ?

04
One practical reason for studying business is the many career opportunities business offers.
Career possibilities include banking, sales, product management, retail store management,
Computer Work, and many other options.
The study of business is valuable even for students who are not planning a career in business.
Many students will work for not-for-profit organizations in some capacity. It may surprise you to
learn that most not-for-profit organizations actively engage in business activity.
Therefore, the study of business principles can help students who work for these organizations
become more efficient workers. If you plan to work for yourself, business is the name of the
game, and you must understand it to succeed.
We already noted that business is used by organizations and people outside the business world.
Indeed, when you look for a job, you will be actively involved in marketing yourself.
Studying business will help you become a more knowledgeable consumer. You will better
understand the business practices that influence your purchases.
Finally, learning how business is viewed by society and how it functions in an increasingly global
environment is part of being an educated person. Business is a pervasive aspect of our
culture that has a dramatic impact on world affairs. It is als0 a fascinating subject, and we hope
you will enjoy studying
05
SUMMARY