Why We Study Business? Or, Importance of Studying Business

The study of business will help us to increase our skills, sharpen our knowledge and understand the business and economic links among nations. There are some other reasons for which we study business:

1. Increasing dependence on others: Over the years, people have become more and more dependent on others. The knowledge of business is increasing the understanding of mutual dependence through business system. For example- you drive a car that is manufactured in Japan.

2. International opportunities: In the 21^st century, it has become indispensable for every one especially individuals educated in business to take exiting opportunities that will exist around the world. By studying business they can know how to start, operate, and sustain business successfully in the competitive world.

3. Improving standard of living: Standard of living indicates measure of how well a person or family is doing in terms of satisfying needs and wants with goods and services. This is possible through their knowledge of business. So we must study business to develop our standard of living.

4. Coping with change: As like as the world itself, business is also dynamic- always changing, Coping with both predictable and unpredictable events we must have to study business. If a man doesn’t study business, he/she is sure to fail to fit himself/herself in the business world.

5. Preventing misconceptions: Understanding business also prevents us accepting misconceptions, misinformation, and inaccurate data as truths.

6.Creating employment: Business creates more and more employment opportunities in various industries and trades for skilled as well as unskilled workers.

7.Division of labor: Division of labor implies the distribution of manpower in a community for obtaining the maximum production and for improving the quality of output.

8.Utilization of resources: A country’s resources are used to produce goods and services that will meet the needs and wants of people. By studding business, we can easily know how to use properly our resources such as capital resources (fuel, raw materials, paper and money), natural resources (oil, natural gas, mineral, timber, and water) and human resources (human talent, skills and competence, available in the nation.)