Main Characteristics of a Business

Business Transaction
This is an event which involves exchanging or transferring of an item, which could be clearly measured in the terms of money. In every business transactions, for both parties who involve in it will have a giving value and a receiving value.

Cash Flow
Business transactions bring cash into the business (Cash inflows) and take cash out of the business (Cash outflows).

Industries
Any organization which produces products or services is called as productive organizations. Therefore these productive organizations are also called as industries.


It can be categorized as follows

Primary Industries
They are concern with extracting the raw materials from the nature. E.g.: Agriculture, Farming, Fishing, Forestry & Mining etc.

Secondary Industries
They are concerned with manufacturing or processing products. E.g.: manufactured food items, clothes, building, accessories and machinery etc.

Tertiary Industries
They are concerned with providing services. Therefore they are called as service industries. E.g.: Education, Health, Security, Banking, Insurance, Consultancy, Transport, Counseling, Postage and Communication etc.