BUSINESS STUDIES (Code No. 054)

CLASS–XI (2017-18)

One Paper                                                                                                            100 Marks

                                                                                                                                3 Hours

 

Units    Periods Marks
Part A  Foundation of Business     
1 Nature and Purpose of Business  22 20
2 Forms of Business Organisations  26  
3 Public, Private and Global Enterprises  22 18
4 Business Services  22  
5 Emerging Modes of Business 12 12
6 Social Responsibility of Business and Business Ethics  16  
    120 50
Part B  Finance and Trade    
7 Sources of Business Finance 30 20
8 Small Business  16  
9 Internal Trade  30 20
10 International Business 14  
11 Project Work 30 10
    120 50

 

Part A: Foundation of Business                                                              120 Periods

Concept includes meaning and features

Unit 1: Nature and Purpose of Business                                                   22 Periods

 

   
Business  - concept After going through this unit, the student/ learner would be able to: 
  • Concept includes meaning and features
  • Understand the concept of business with special reference to economic and non economic activities. 
 
  • Discuss the characteristics of business.
Business, profession and employment-Concept 
  • Understand the concept of business, profession and employment. 
 
  • Differentiate between business, profession and employment. 
Objectives of business 
  • Appreciate the economic and social objectives of business.
 
  • Examine the role of profit in business. 
Classification of business activities - Industry and Commerce 
  • Understand the broad categories of business activities- industry and commerce. 
   
Industry-types: primary, secondary, tertiaryMeaning and subgroups 
  • Describe the various types of industries. 
Commerce-trade: (types-internal, external; wholesale and retail) and auxiliaries to trade; (banking, insurance, transportation, warehousing, communication, and advertising) - meaning 
  • Discuss the meaning of commerce, trade and auxiliaries to trade.
  • Discuss the meaning of different types of trade and auxiliaries to trade.
  • Examine the role of commerce- trade and auxiliaries to trade.
Business risk-Concept
  • Understand the concept of risk as a special characteristic of business. 
 
  • Examine the nature and causes of business risks

 

Unit 2: Forms of Business organizations                                                                                                         26 Periods

 

   
Sole Proprietorship-Concept, merits and limitations. 

After going through this unit, the student/ learner would be able to:

  • List the different forms of business organisations and understand their meaning. 
  • Identify and explain the concept, merits and limitations of Sole Proprietorship.
Partnership-Concept, types, merits and limitation of partnership, registration of a partnership firm, partnership deed. Types of partners
  • Identify and explain the concept, merits and limitations of a Partnership firm.  
  • Understand the types of partnership on the basis of duration and on the basis of liability. 
  • Define limited liability partnership. l State the need for registration of a partnership firm.
  • Discuss types of partners –active, sleeping, secret, nominal and partner by estoppel. 
Hindu Undivided Family Business: Concept 
  • Understand the concept of Hindu Undivided Family Business.
Cooperative Societies-Concept, types, merits, and limitations. 
  • Identify and explain the concept, merits and limitations of Cooperative Societies. l
  • Understand the concept of consumers, producers, marketing, farmers, credit and housing co-operatives. 
Company-Concept, merits and limitations; Types: Private and Public-Concept 
  • Identify and explain the concept, merits and limitations of private and public companies.
  • Understand the meaning of one person company.
  • Distinguish between a private company and a public company. 
Formation of company-stages, important documents to be used in formation of a company 
  • Highlight the stages in the formation of a company. 
  • Discuss the important documents used in the various stages in the formation of a company. 
Choice of form of business organization 
  •  Distinguish between the various forms of business organisations. 
  • Explain the factors that influence the choice of a suitable form of business organisation.

 

Unit 3: Public, Private and Global Enterprises                                                                             22 Periods

 

   
Public sector and private sector enterprises – concept 

After going through this unit, the student/ learner would be able to:

  • l Develop an understanding of Public sector and private sector enterprises 
Forms of public sector enterprises: Departmental Undertakings, Statutory Corporations and Government Company. 
  • Identify and explain the features, merits and limitations of different forms of public sector enterprises
Changing role of public sector enterprises 
  • Discuss the change in the role of public sector in an economy
Global enterprises, Joint ventures, Public private partnership - concept
  • Develop an understanding of global enterprises, joint ventures and public private partnership by studying their meaning and features. 

 

Unit 4: Business Services                                                                                                            22 Periods

 

   

Business services and its types - Meaning. Banking:

Types of bank accounts- savings, current, recurring,

fixed deposit and multiple option deposit account. 

  • Understand the meaning of business services.
  • Discuss the meaning of types of Business service Banking, insurance,

        communication services, transportation, warehousing.

  • Develop an understanding of difference types of bank account
Banking services with particular reference to Bank Draft, Banker’s Cheque, Real Time Gross Settlement, National Electronic Funds Transfer, Bank Overdraft, Cash credit and e-banking meaning 
  • Develop and understanding of the difference services provided by banks-Bank Draft, Banker’s Cheque, Real Time Gross Settlement, National electronic Funds Transfer, Bank Overdraft, Cash credit and e-banking meaning. 
Insurance-: Principles, Types –life, health, fire and marine insurance –concept 
  • Recall the concept of insurance
  • Understand Utmost Good Faith, Insurable Interest, Indemnity, Contribution, Doctrine of Subrogation and Causa Proxima as principles of insurance
  • Discuss the meaning of different types of insurance-life, health, fire, marine insurance
Postal Service-Mail, Registered Post, Parcel, Speed Post, Courier-meaning. Telecom Services-Cellular Mobile services, Radio Paging services, Fixed line services, Castle services, VSAT services, DTH services—meaning. 
  • Understand the utility of different postal and telecom services

        a) Postal services

        b) Telecom services 

 

Unit 5: Emerging Modes of Business                                                                      12 Periods

   
E-business-scope and benefits, resources required for successful e-business implementation, online transaction, payment mechanism, security and safety of business transactions 

After going through this unit, the student/ learner would be able to: 

  • Give the meaning of e-business.
  • Discuss the scope of e-business.
  • Appreciate the benefits of e-business
  • Distinguish e-business from traditional business.
  • Explain the process of online buying and selling as a part of e-business.
  • Examine the major security concerns of electronic mode of doing business.
  • Understand the methods of secure and safe business transactions.
  • Identify the resources required for implementation of a successful e-business. 
Outsourcing-Concept: Business Process Outsourcing (BPO) and Knowledge Process Outsourcing (KPO)Concept, need and scope 
  • Understand the concept of outsourcing. 
  • Examine the scope of outsourcing, appreciate the need of outsourcing.
  • Discuss the meaning of Business Process Outsourcing and Knowledge Process Outsourcing 
Smart cards and ATM’s meaning and utility 
  • State the meaning of Smart cards and ATM’s.
  • Appreciate the utility of Smart cards and ATM’s. 

 

Unit 6: Social Responsibility of Business and Business Ethics                                                      16 Periods

 

   
Concept of social responsibility

After going through this unit, the student/ learner would be able to:

  • State the concept of social responsibility. 
Case of social responsibility
  •  Examine the case for social responsibility. 
Responsibility towards owners, investors, consumers, employees, government and community. 
  • Identify the social responsibility towards different interest groups. 
Environment protection and business-Meaning and role 
  • Appreciate the role of business in environment protection. 
Business Ethics-Concept and Elements
  • State the concept of business ethics.  
  • Describe the elements of business ethics.

 

Part B: Finance and Trade                                                                                 120 Periods

Concept includes meaning and features

Unit 7: Sources of Business Finance                                                                   30 Periods

 

   
Concept of business finance 

After going through this unit, the student/ learner would be able to:

  • State the meaning, nature and importance of business finance
Owners’ funds- equity shares, preferences share, Global Depository receipt (GDR), American Depository Receipt (ADR), International Depository Receipt (IDR) and retained earnings. Equity shares, preference shares, retained earnings- meaning, merits and limitations. Global Depository Receipts (GDR), American Depository Receipts (ADR), International Depository Receipts (IDR) - Meaning. 
  • Classify the various sources of funds into owners’ funds and borrowed funds.
  • State the meaning of owners’ funds.
  • Explain the meaning, merits and limitations of equity shares, preference shares and retained earnings.
  • Understand the meaning of Global Depository receipts, American Depository Receipts and International Depository Receipts.
Borrowed funds: debentures and bonds, loan from financial institution, loans from commercial banks, public deposits, trade credit, Inter Corporate Deposits (ICD).  
  • State the meaning of borrowed funds.
  • Discuss the meaning, merits and limitations of debentures, bonds, loans from financial institutions, trade credit and inter corporate deposits.
  • Distinguish between owners’ funds and borrowed funds. 

 

Unit 8: Small Business                                                                                  16 Periods

 

   
Small scale enterprise as defined by MSMED Act 2006 (Micro, Small and Medium Enterprise Development Act) 

After going through this unit, the student/ learner would be able to:

  • Understand the meaning of small business 
Role of small business in India with special reference to rural areas 
  • Discuss the role of small business in India 
Government schemes and agencies for small scale industries: National Small Industries Corporation (NSIC) and District Industrial Centre (DIC) with special reference to rural, backward areas 
  • Appreciate the various Government schemes and agencies for development of small scale industries. NSIC and DIC with special reference to rural, backward area. 

 

Unit 9: Internal Trade                                                                                30 Periods

 

   
Internal trade - meaning and types  services rendered by a wholesaler and a retailer

After going through this unit, the student/ learner would be able to:

  • State the meaning and types of internal trade. 
  • Appreciate the services of wholesalers and retailers.
Types of retail-trade-Itinerant and small scale fixed shops retailers 
  • Explain the different types of retail trade. 
Large scale retailers-Departmental stores, chain stores, mail order business - concept 
  • Highlight the distinctive features of departmental stores, chain stores and mail order business. 
Concept of automatic vending machine 
  • State the concept of automatic vending machine.
Chambers of Commerce and Industry: Basic functions 
  • Discuss the role of Chambers of Commerce and Industry in the promotion of internal trade.
Main documents used in internal trade: Performa invoice, invoice, debit note, credit note. Lorry receipt (LR) and Railways Receipt (RR). 
  • Describe the main documents used in internal trade. 
Terms of Trade: Cash on Delivery (COD), Free on Board (FOB), Cost, Insurance and Freight (CIF), Errors and Omissions Excepted (E&OE). 
  • Develop an understanding of the various terms used in internal trade. 

 

 

Unit 10: International Trade                                                                                     14 Periods

 

   
International trade - concept 

After going through this unit, the student/ learner would be able to:

  • Understand the concept of international trade. 
  • Distinguish between internal trade and external trade.
International trade: Advantages and disadvantages of international trade
  • Describe the scope of international trade to the nation and business firms.
  • Discuss the disadvantages of international trade. 
Export trade- Meaning, objectives and procedure of Export Trade
  • State the meaning and objectives of export trade.
  • Explain the important steps involved in executing export trade. 
Import Trade- Meaning, objectives, purpose and procedure 
  • State the meaning and objectives of import trade. 
  • Discuss the important steps involved in executing import trade. 
Documents involved in International Trade; indent, letter of credit, shipping order, shipping bills, mate’s receipt(DA/DP), specimen of the documents, importance 
  • Develop an understanding of the various documents used in international trade.
  • Identify the specimen of the various documents used in international trade.
  • Highlight the importance of the documents needed in connection with international trade transactions
World Trade Organization (WTO) meaning and objectives 
  • State the meaning of World Trade Organization.
  • Discuss the objectives of World Trade Organization in promoting international trade.

 

 

Unit 13: Project Work                                                                                  30 Periods

 

PROJECT WORK IN BUSINESS STUDIES FOR CLASS XI AND XII


Introduction
The course in Business Studies is introduced at Senior School level to provide students with a sound understanding of the principles and practices bearing in business (trade and industry) as well as their relationship with the society. Business is a dynamic process that brings together technology, natural resources and human initiative in a constantly changing global environment. With the purpose to help them understand the framework within which a business operates, and its interaction with the social, economic, technological and legal environment, the CBSE has introduced Project Work in the Business Studies Syllabus for Classes XI and XII. The projects have been designed to allow students to appreciate that business is an integral component of society and help them develop an understanding of the social and ethical issues concerning them.


The project work also aims to empower the teacher to relate all the concepts with what is happening around the world and the student’s surroundings, making them appear more clear and contextual. This will enable the student to enjoy studies and use his free time effectively in observing what’s happening around.


By means of Project Work the students are exposed to life beyond textbooks giving them opportunities to refer materials, gather information, analyse it further to obtain relevant information and decide what matter to keep.


Objectives

After doing the Project Work in Business Studies, the students will be able to do the following: 

  • develop a practical approach by using modern technologies in the field of business and management; 
  • get an opportunity for exposure to the operational environment in the field of business management and related services; 
  • inculcate important skills of team work, problem solving, time management, information collection, processing, analysing and synthesizing relevant information to derive meaningful conclusions 
  • get involved in the process of research work; 
  • demonstrate his or her capabilities while working independently and 
  • make studies an enjoyable experience to cherish.

 

ASSESSMENT

The marks will be allocated on the following heads.

       
1 Initiative, cooperativeness and participation    1 Mark 
2 Creativity in presentation   1 Mark 
3 Content, observation and research work   2 Mark 
4 Analysis of situations   2 Mark 
5 Viva   4 Mark
    Total  10 Marks 

 


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Ritu Sagar