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Why is Business considered as an economic activity?? (5 Marks)

Posted by Arinan Aggarwal 4 years, 2 months ago

CBSE > Class 11 > Business Studies

1 answers

Meghna Thapar 4 years, 2 months ago

An economic activity is a process that, based on inputs, leads to the manufacture of a good or the provision of a service. Business is considered to be an economic activity because it is undertaken with the aim of earning money or livelihood and not because of any sentimental reason like love, affection or sympathy. Business is considered an economic activity because it is concerned with production, purchase, sale or distribution of goods and Services with an aim of earning profit.

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