It usually begins with a name and a concept. Then, with the foreseen circumstances, the decision is made for starting business if they can deliver the ultimate value to the consumers or no. The name of the business is of the most precious assets to the company.
Structures of the business:
Many firms surround themselves with bureaucracy and hierarchy, where there are responsibilities and roles of the company. There are a few common structures like-
- Sole proprietorship
- Limited liability companies
Types of business
Although starting a business can be in different types, here mentioned are just four types, namely:
- Manufacturing- these are the makers of the product who sell it directly to consumers or agents. Examples would be factories.
- Service- mostly deals with intangible goods given to consumers. These cannot be kept or separated from the provider.
Examples would be school, salon, consultancy.
Merchandising is a strategy by middlemen, where they buy from producers, wholesalers or partners, and sell them with no change in price.
An example would be stores, groceries, supermarkets.
Hybrid- they have attributes of more than two businesses.
An example would be a restaurant manufacturing its dish, sells cold drinks of other merchandisers, and provides it to the consumer.
To wrap up, everyone today is independent and wants to go for starting a business. Though some fail, others with proper strategy grow and flourish.