Business Management, Definition and Its Important Components

Before talking about business management we first know what business is? Basically the word business comes from English, namely "Business" which means busyness, meaning busyness in carrying out an activity or activities that benefit someone. For this reason, business is an activity carried out by individuals or organizations that involve the production, sale, purchase, or exchange of goods or services, with the aim of making a profit or profit.

If above we already know what business is, then what is business management?

Business management is an activity in designing, managing and operating a business or business. And in general in this business management can include all the good arrangements in the process of running a business to achieve a goal that we want that is from large businesses and small businesses must continue to use good business management so that the company that is run has a target that is profit or profit.

While an important component in compiling business management viz

1. Have a clear business description starting from what form of business, what products will be sold, how much profit, how much are the operational costs, what is the price, and how the system works.

2. Conducting competitor analysis means to do analysis and observation of competitors so that we can know the weaknesses and strengths of our competitors. This is important so that we can make the right strategy for the business that is being run

3. Making financial reports so that the calculation of sales and purchases become detailed and clearer also between the advantages and disadvantages

4. Always maintain the quality of products and services, products and services become important because by having a good quality product it is expected that consumers will feel satisfied.

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