Category: Maharashtra State Board Notes

By going through these Maharashtra State Board Secretarial Practice 11th Commerce Notes Chapter 9 Business Communication Skills of Secretary students can recall all the concepts quickly.

Maharashtra State Board Class 11 Secretarial Practice Notes Chapter 9 Business Communication Skills of Secretary

Communication-

• Latin word — ‘Communis’ meaning “Common”- “Shared by all”
• Definition : “It is an exchange of facts, ideas, opinions or emotions by two or more persons” — George R, Terry

Business Communication : Definition-
“It is the expression channeling, receiving and interchanging of ideas in commerce and industry.” — Brennar

Types of Communication-

1. Internal Communication
2. External Communication

Internal Communication:

• within various
• departments of an
• organization

External Communication

• between business
• organizations and outsiders.
• (banks, suppliers, creditors, Government, etc.)

Method of Communication-

1. Verbal or Oral Communication
2. Non – Verbal Communication
3. Written Communication

1. Verbal or Oral Communication

• Personal talks,
• Interviews,
• Speeches,
• Talking on telephone, etc.

2. Non – Verbal Communication

• body language
• facial expression
• eye contact
• silence, symbols, signs, gestures, etc.

3. Written Communicatin:

• reports
• letters
• circulars
• notices
• minutes, etc.

Merits of Written Communication-

• Accurate and Precise
• Economical
• Re-readab1e
• Completeness
• Eliminates personal contact
• personal contact
• Wide acces
• Documentary evidence

Essential Skills for Effective Communication-

• Listening
• body Language
• Give and Take Feedback
• Clear and Concise
• Empathy
• Confident
• Personal Touch

Business Letter: “It is a message that attempts to influence its recipients to take some action or attitude
desired by the sender.” – Robert

Layout of A Business Letter-

1. Proper arrangement of parts of a letter
2. Structural design of a. letter
3. Internal arrangement of matter

Layout of Business Letter-

1. Heading – name, address, telephone number, fax number, email Id, CIN, website, etc.
2. Date – British style or American Style
3. Reference number – left hand side below heading
4. Inside Address – name and address of receiver
5. Subject – shows purpose of the letter
6. Salutation – left hand margin below inside address
7. Body of the letter – introduction, main message and conclusion
8. Complimentary close – should match salutation
9. Signature – signature and name of person with designation
10. Enclosure – written on left hand side as ‘Enel’
11. Carbon Copy notation (C.C.) – left hand side below enclosure
12. Postscript – additional information after completion of letter
13. Identification Initials – initials of dictator and typist

Essentials of a Good Bussiness Letter (8 C’S)

1. Clarity
2. Cheerfulness
3. Conciseness
4. Consideration
5. Coherence
6. Completeness
7. Correctness
8. Courtesy

Physical Appearance of the Business Letter-

• Paper
• Typing
• Margin
• Envelope
• Spacing
• Folding
• Letterhead

Notice : It is an intimation given by the company to the member about day, date, time, place of the meeting and business to be transacted at the meeting.

Report: It is a statement of facts or opinion along with conclusion (with or without some recommendations)

Minutes :

• It is a written summary of the business transacted at the meeting.
• It is prepared by secretary, confirmed by members or directors, singed by a Chairman and counter signed by a secretary.
• It is written in past tense within 15 days of a meeting.
• It is written in minutes book in proper format.

Word Meaning:

entities – organization; verbal – oral; conveying – sending; circulars- written information distributed among people; layout – process of setting matter on a page; custom – procedure required: memos – a warning letter in written; draft – outline; authenticity – originality; factual – actual; precision – correctness; insistence – demands; economical – low cost; nominal – reasonable / less; blog – informal written material regularly updated on website; conferring – take part in a conference (meeting); pitch – the rate of sound produced low or high; gestures – to express an idea; empathy – ability to understand other; alignment – arranging in straight line; reference – mention; salutation – greeting; conclusion – finish / to end; brevity – in short; enclosure- additional documents attach to a letter; coherence – put in proper order.

By going through these Maharashtra State Board Secretarial Practice 11th Commerce Notes Chapter 8 Company Meetings – II students can recall all the concepts quickly.

Maharashtra State Board Class 11 Secretarial Practice Notes Chapter 7 Company Meetings – I

Types of Company Meeting-

1. Shareholders Meeting
2. Directors Meeting
3. Creditors Meeting

1. Shareholders Meeting:

• General Meeting
• Class Meeting

General Meeting:

• Annual General Meeting (U/S 96)
• Extraordinary General Meeting (U/S 100)

2. Directors Meeting:

• Board Meeting
• Committee Meeting

Annual General Meeting (u/s 96)-
(Equity shareholders meeting. Once in every financial year.)

Purpose :

• to adopt Annual Accounts / Directors Report / Auditor’s Report
• to declare dividend
• to elect Directors in place of retiring Directors
• to appoint auditors and fix their remuneration
• to review progress and performance of company

Legal provisions :
(1) Time of Holding General Meeting:

First Annual General Meeting: Time Period Within 9 months of closing of the first financial year
Subsequent Annual General Meeting: Time Period Within 6 months after completion of its financial year
The Interval between two AGM:  Time Period Should not be more than 15 months.
Extension of time for conducting AGM: Time Period Not more than 3 months

(2) Authority to convene Meeting — The Board of Directors
(3) Notice period — 21 clear days
(4) Date, time and place of AGM
(5) Quorum

1. Public Company
2. Private Company

1. Public Company-

Number of shareholders	Quorum
Not more than 1000	Five (5) members
More than 1000 but up to 5000	Fifteen (15) members
Exceeds 5000	Thirty (30) members

2. Private Company: Minimum two members

(6) Adjournment of Meeting – to be held on the same day, time and place in the next week.
(7) Default:

• Punishable with fine.
• Fine may be upto ₹1,00,000 in the case of continuing default.
• It may extend upto ₹5000 per day.

Extra Ordinary General Meeting (U/S 100)-

• to transact Special Business
• Convened between two Annual General Meetings.

Purpose of Extra Ordinary General Meeting-

To take immediate decisions on –

• Alteration in Memorandum of Association
• Alteration of Articles of Association
• Removal of Director before expiry of his / her terms
• Removal of Auditor before expiry of his / her terms
• Voluntary winding up of company

Legal Provisions for Extra Ordinary General Meeting-

Authority to convene:

• Board of Directors
• Board of Directors on requisition of Members
• Requisitionist themselves
• National Company Law Tribunal (NCLT) or Government

Class Meeting: (U/S 48)-

• Meaning : Held to make changes in rights and duties of particular class of shareholders.
• Resolution : Special resolutions are passed.
• Purpose : To change rights of a particular class of shareholders and get consent for the change.
• Frequency : Not held regularly.

Directors Meeting (Section 173)-

1. Board Meeting
2. Committee Meeting

Board Meeting (Section 173)-
Legal provisions

(A) Authority to Convene: Chairman of the Board

(B) Number of Board Meeting:

• First Board Meeting
  → Within 30 days of the date of it’s incorporation.
• Subsequent Board Meeting
  → Minimum of 4 Board meetings year
• One Person Company
  → at least one meeting in each half of calendar year
  → gap between the two meetings should not be less than 90 days.

(C) Virtual Meeting: By audio visual means
(D) Notice (Section 173 (3): at least 7 days before Meeting
(E) Quorum – (Section 174): 1/3 of total number of directors or two directors whichever is higher
(F) Adjournment of meeting: Absence of quorum to be held on same day / time and place in the next week.

Committee Meeting-

• B.O.D. appoint small committee of Directors
• To study the various matters / problems of the company
• Audit committee, Transfer of share committee, share allotment committee,

Creditors Meeting-

• Company hold meeting of debenture holders, depositors, lenders, bankers, etc.
• to discuss the rate of interest or in financial crisis for creditor’s support.

Functions of Secretary Related With Annual General Meeting

(1) Functions before the AGM

• Fixing the Board Meeting
• Issue of Notice
• Speech of the Chairman
• Preliminary Arrangement
• Company Accounts

(2) Functions during the AGM (3)

• Attendance (i)
• Quorum (ii)
• Reading Reports (iii)
• Writing the Proceedings
• Helps Chairman (iv)
• Conduct Poll

3. Functions After the AGM

• Drafting the Minutes
• Implementing Decision
• Sending documents and filing resolutions
• Send information to absent members

Word Meaning:

dividend – a part of Company’s profit distributed to shareholders for their contributions; remuneration — salary; quorum — minimum numbers of Members required for the meeting; winding up — closure of company; requisitionist — a person who requests to call a meeting; resolution — a decision was taken at the meeting; consent — approval; frequently — regularly; dormant company — a company whose progress is slow; poll — election; secure — to fixed; assists — to help; audiovisual — using both sound and pictures together; penalty — fine; adjourned — to postpone/taking a break; calendar year — year which starts from January to December.

By going through these Maharashtra State Board Secretarial Practice 11th Commerce Notes Chapter 7 Company Meetings – I students can recall all the concepts quickly.

Maharashtra State Board Class 11 Secretarial Practice Notes Chapter 7 Company Meetings – I

Meeting-

Derived from :
Latin word ‘Maeta’. meaning ‘face to face’.

Meaning:
Gathering or assembling of two or more persons for transacting any lawful business.

Definition:
“Company Meeting is an assembly of people connected with the company who have gathered for the purpose of discussing matters related to it.”
– “Show & Smith”

Importance of Company Meetings-

• Opportunities for members to come together
• Reading minutes of the previous meeting
• Fixation and implementation of policies, plans and programmes
• Analysis of problems
• Legal requirements
• Other elements

Essential of a valied meeting-

• Duly convened
• Properly conducted
• Properly constituted

Proper Convening of Meeting-

Proper Authority:

• Board of Directors
• NCLT
• Central Government

Notice(SEC 101:

• Advance written invitation containing details of meeting.
• Authorised by – BOD’s Length – 21 clear days
• Sent through
  • personally
  • ordinary post
  • registered post
  • newspaper
  • e-mail

Agenda:

• List of items to be
• discussed at the meeting
• Sent along with notice

Types of Agenda

1. Bare statement agenda
2. Draft minutes agenda

Proper Constitution of Meeting-

1. Quorum:

• Minimum number of members to be present at a meeting
• Public Company

No. of Shareholders	Quorum
Less than 1000	5 members
1000-5000	15 members
Above 5000	30 members

Private Company – 2 members
Board Meeting
1/3 of total directors or 2 whichever is higher.

2. Chairman (sec 104):
Person responsible for smooth conduct of the meeting. He presides over a meeting

1. Power
2. Duties

Power:

• To keep order and conduct the meeting.
• To decide the priority of speaker.
• To maintain order in debate
• To prevent the use of improper language
• To adjourn the meeting
• To give casting vote
• To declare result of voting
• To give ruling on point of order.

Duties:

• To see that the meeting is properly convened and constituted.
• To see meeting is conducted in a proper manner.
• To see items are discussed as per agenda
• To maintain order in meeting
• To declare result of voting.
• To see proper and correct are minutes entered and to sign them.

Proper Conduct Of Meeting-

1. Proxy (Section 105):
A person attending and voting of on behalf of a member in general meeting.

Legal Provisions:

• Appointment
• Right
• Membership
• Proxy form
• Inspection

2. Motion (Section 105):
A proposal put before a meeting by proposer or mover for consideration and adoption.

Essentials:

• must be in writing
• signed by the proposer
• put to meeting by the Chairman.
• should not contain any sort of argument, or defamatory expression.
• Wording should he affirmative
• must be within the scope of agenda.
• must be seconded by at least one member.

Kinds of Motions:

1. Formal motion
2. Substantive Motion

3. Voting :
To express opinion in a formal way

Method

• Voting by voice
• Voting by Division
• Voting by show of hands.
• Voting by Ballot.
• Voting electronically.
• Voting by Postal Ballot.
• Voting by Poll.

4. Resolution:
A motion accepted in a meeting

Type:

• Ordinary Resolution (51%)
• Special Resolution (75%).
• Resolution requiring special notice.
• Resolution requiring Registration.
• Resolution by Circulation.

5. Minutes (Section 118) :
A written record of proceedings of a meeting

Minute (Section 118)-

Meaning : It is a written record of proceedings of a meeting.
It should be prepared within 15 days after the meeting.
It must be recorded in minutes book and written in the past tense

Definition :
The term minutes means a concise and accurate official record of the decisions taken at the meeting.
– M. C. Kuchhal

Importance of Minutes :

• Authentic Record
• Evidence
• Future reference
• Legal provisions
• Information to Absent members
• Information about Resolution
• Inspection of Minutes (Section 119)

Amendment: It is any alteration or changes proposed by a member to the original motion.
Amendment (moved to alteroriginal motion bt …):

(a) adding some new words
(b) deleting some word
(c) Replacing some word
(d) changing the position or place of word

Point of order : It is a question or objection raised by a member regarding the conduct of a meeting.

Point of Order(may be for…):

• Use of improper language by any member
• Absence of Quorum
• Misbehavior by any member
• Breach of rule relating to meeting

Requirement Of Company Meeting-

• Notice
• Agenda
• Quorum
• Chairman
• Motion
• Amendment
• Voting
• Resolution
• Point of
• order
• Proxy
• Minutes

Word Meaning:

determine – to find out precisely; implementation – to start doing / to enact; analyzed – detailed examination; convening – proper person to call meeting; vital – important; intimation – to bring to notice; entitled – right to do something; transacted – conducted or carried out; authority – right or power; deceased – dead; insolvent – unable to pay; initiative – to take lead / to take first step; deliberately – intentionally; annexed – extra part attached; consultation – formally discussing / formal discussion: sequence – in order; brief – short; contentious matter – legal matter; commencement – at the beginning of something; invalid – not legally recognized; preside – to be in a position of authority; priority – a thing regarded as more important than others; relevancy – closely connected; debate – a formal discussion on a particular matter; adjourn – break off (a meeting case) with the intension of resuming it later; casting vote – an extra vote exercised by a chairperson; alteration – revision or amendment; proposer – mover of a motion; motion – a proposal put before a meeting; defamatory – damaging reputation of others; affirmative – agreeing with a statement; seconded by – supported by; conclusion – to end or finish; inconvenient – not easy or discomfort; substantive motion – a motion that is changed due to amendment; amendment – an alteration in original motion; voting – to express opinion in a formal way; ballot – a system of voting secretly / paper on which you write your vote, proxies – the authority to represent someone; resolution – a final decision to do or not to do; validity – not yet expired.

By going through these Maharashtra State Board Class 11 Political Science Notes Chapter 4 Constitutional Government students can recall all the concepts quickly.

Maharashtra State Board Class 11 Political Science Notes Chapter 4 Constitutional Government

Introduction:
In this chapter, we will study the meaning of the Constitution and Constitutionalism. We will also study about Federation and compare the Parliamentary and Parliamentary system

Constitution:
Meaning: The constitution is the highest law of the country. It reflects the objectives of the State and the rights and aspirations of its citizens. It establishes the rule of law and sets limits on government authority. A constitution is a living document that indicates the way in which a country is governed. The primary function of the constitution is to lay out the basic structure of the government according to which the people are to be governed.

Components: A constitution has three distinct but interrelated components.

• Set of Rules – A Constitution is a set of rules that describes the structure, powers and functions of the three organs of government to ensure that each organ functions within its jurisdiction. It lays down the limitations on what the government can do or cannot do.
• Set of Rights- A constitution lists the rights and duties of citizens. It also lists the means of protecting the rights e.g., in India, the judiciary is entrusted with protecting fundamental rights. The rights guaranteed by the constitution are not unlimited i.e. they are subject to reasonable limitations or restrictions.
•  Set of Objectives and Values – A constitution enumerates the values and objectives that it seeks to fulfil for e.g., the Indian Constitution seeks to ensure the values of justice, liberty and equality.

Constitutionalism:
Constitutionalism refers to the idea that there should be limitations on the powers of the government which may be specified in the Constitution or may arise due to historical developments. The Magna Carta (Great Charter) (1215) and Bill of Rights (1689) in England were attempts to restrict the powers of the Monarchs.

As the concept of separation of legislative, executive, judicial powers became popular, so also, the idea of restricting powers of the government as a whole emerged. The origins of constitutionalism can be traced to the Social Contract Theory propounded by John Locke. He believed that people should have the right to change the government if it committed any wrongdoings.

The first ten amendments to the American Constitution (collectively called the Bill of Rights) imposed restrictions on the government. The Indian constitution also restricts government jurisdiction so that it doesn’t violate Fundamental Rights.

Any constitution is subject to amendments. Thus, it is possible that certain governments may use their amendment powers to remove restrictions on policies and actions.

In any democracy, constitutionalism refers to restrictions on the power of the government, adherence to the spirit of the constitution as well as ‘Constitutional Morality.

Types Of Constitutions:

1. Written Constitution – Most world constitutions are written and have been created by a specially appointed body e.g., Indian Constitution was framed by the Constituent Assembly. There is a single, written document that contains all necessary provisions.
2. Unwritten Constitution – In this case, some provisions are written while other provisions are governed by constitutional convention or precedents. There is no single written document. United Kingdom is the best example of an unwritten constitution.

Types Of Democratic Governments:
The two main types of democratic governments are Parliamentary System (as seen in the United Kingdom, India, Canada, Australia, Japan, etc.) and Presidential System (which exists in the U.S.A., Argentina, Mexico, Brazil, etc.). This distinction is based mainly on the nature of Legislature-Executive relationship.

Parliamentary System: It makes a distinction between Head of State (President of India) and Head of Government (Prime Minister and his Council of Ministers).

The main features of the parliamentary system are –

• There is a fusion of legislature and executives powers – The executive i.e., the Ministry is drawn from the legislature and is subordinate to it.
• There are two executives i.e., nominal executive (President of India or Monarch in England) and real executive (ministry). All powers are exercised by the real executive in the name of the nominal executive.
• It is a responsible government – The Prime Minister and the Council of Ministers stay in power only as long as they have the required majority in the Parliament. In case, the Ministry loses majority support, the Prime Minister has to resign along with the Council of Ministers.
• It may exist either as a Republic or as a Constitutional Monarchy depending on the nature of the powers of the nominal executive. In a Republic, the nominal executive is elected e.g., in India, while in a Monarchy, he/she assumes position on the basis of heredity e.g., in England.
• Most Parliamentary systems have a Bicameral Parliament for e.g., in England, Parliament consists of House of Commons (lower house-directly elected) and House of Lords (upper house-hereditary basis)

Presidential System: The main features of a Presidential system are –

• The President who is directly elected by the citizens for a fixed tenure is both, the Head of State and Head of Government. Thus, there is only one executive.
• The Legislature is also directly elected. Generally, members of the executive are not permitted to belong to the legislature.
• There exists a separation of legislative and executive powers as well as a system of checks and balances for e.g., Legislature can impeach the President, while the President can exercise the ‘Veto Power’ to reject any law passed by the Legislature.
• The President can continue in office irrespective of whether or not he/she enjoys majority support in the Legislature.

Federalism:
A federation refers to a political structure in which there are two sets of governments i.e. one for the whole
country and governments in each of the federal units (called Provinces or States). There is a distribution of powers between the Federal government (also known as Union or Central Government) and the State Governments. Federal governments are preferred in countries having large size and heterogeneous population.

A Federation may be performed by two processes –

1. Small political units ‘come together to establish a single, large political unit for e.g., thirteen colonies came together to fight for independence from British rule and the U.S. federation came into being. This is called centripetal process.
2. States are created by the Union government for e.g., in India, States were reorganized on the basis of language and other regional aspirations. This is the centrifugal process.

The main features of a federation are –

• Dual set of government i.e., Union and State governments.
• Division of power between the two sets of governments for e.g., in India, jurisdiction is distributed
  between the Union (Centre) and States on the basis of the Union, State and Concurrent lists (as stated in Seventh Schedule of the Constitution)
• A written constitution to enable a clear distribution of government powers.
• Independent judiciary – to resolve Centre-State or State-State disputes.

The Indian Federation differs greatly from the U.S. federation. India has been described as ‘quasi federation’ or a ‘federation with an unitary spirit’ as the division of powers favours the Central government for e.g., it has full control over the Union list and Residuary subjects and it’s laws have precedence over state laws even in case of the Concurrent list.

Unitary system: countries that are small in size prefer to have a single, central, government. This is called an Unitary System. This is seen in Cuba, France, Bolivia, Israel, Portugal, Sri Lanka, etc. Some hitherto unitary system change to a quasi-unitary form through establishment of provinces and distribution of political power to somewhat autonomous units for e.g., UK has an unitary system. However, its regions i.e., Scotland, Wales, Northern Ireland have their own assemblies with some degree of autonomy. These are known as ‘Holding Together’ federations.

By going through these Maharashtra State Board Class 11 Sociology Notes Chapter 2 Contribution of Western and Indian Sociologists students can recall all the concepts quickly.

Maharashtra State Board Class 11 Sociology Notes Chapter 2 Contribution of Western and Indian Sociologists

→ France is said to be the birthplace of sociology as the foundations of sociology were laid by Auguste Comte and Emile Durkheim.

→ Sociology was later continued in other countries in Europe and the western world.

Introduction to Western Sociologists:

1. Auguste Comte (1798-1857).
2. Emile Durkheim (1858-1917)
3. Karl Marx (1818-1883)

(1) Auguste Comte (1798-1857).

• Auguste Comte is popularly known as the ‘Father of Sociology’.
• His full name was ‘Isidore Auguste Marie Francois Xavier Comte.
• He was a mathematician and philosopher, yet expressed the need for ‘reconstruction of society’.

Three Stages pf Evolution:

1. Theological Stage
2. Metaphysical Stage
3. Positive/Scientific Stage

(2) Emile Durkheim (1858-1917)

• Emile Durkheim has written on social facts, social solidarity, collective representation, social values and morality, crime and punishment.
• He has elaborated an analysis of suicide as a social fact and phenomenon in his book. ‘Le Suicide’.
• Durkheim, “suicide refers to every case of death which results directly or indirectly from a positive or negative act, carried out by the victim himself, knowing that it will produce this result”.

Forms of Suicide:

1. Fatalistic Suicide
2. Altruistic Suicide
3. Egoistic Suicide
4. Anomic Suicide

(3) Karl Marx (1818-1883)

• Karl Marx is also known as the architect of communism.
• In his ‘Communist Manifesto’ he said that at every stage in history, there is a war between the classes.
• According to Marx, the economic factor forms the basis of class.

Theory of ‘Class Conflict’ :

• The Importance of Property
• Class Solidarity and Antagonism
• Polarization of Classes
• Revolution
• Surplus Value
• Dictatorship of Proletariat
• Pauperization
• Emergence of the Communist Society
• Alienation

Introduction to Indian Sociologists:

• ‘Sociology’ and ‘Social anthropology’ were brought to India by British scholars living in India.
• Indian scholars trained in Britain and USA played a major role in the development of their two disciplines.
• A separate department was started in the University of Mumbai (then Bombay) in the year 1919.
• Indian sociologist played a major role in the development of sociology in India, with their specific
  contributions.

By going through these Maharashtra State Board Class 11 Sociology Notes Chapter 1 Introduction to Sociology students can recall all the concepts quickly.

Maharashtra State Board Class 11 Sociology Notes Chapter 1 Introduction to Sociology

→ Initially, sociology as a discipline emerged in Europe, but sociology emerged as an independent and separate discipline in the mid 19th century. Sociology is the science of social relationships and social behaviour. The French philosopher Auguste Comte is considered to be the ‘Father of Sociology’.

Nature of Sociology:

1. Empirical Science
2. Theoretical and Applied Science
3. Factual Science
4. Holistic Science

The emergence of Sociology: The roots of the emergence of sociology as a scientific discipline can be traced during the French Revolution and Industrial Revolution of European history which embodied tremendous Social, Political, and Economical changes. This period of change in European Society is known as the ‘Enlightenment period.’

Factors that affect the emergence of sociology:

1. Commercial Revolution
2. Industrial Revolution
3. French Revolution
4. scientific revolution
5. Urbanization

→ The subject matter of Sociology is very wide, because all aspects of social interactions are included in Sociology.

Scope of Sociology:

• Bio-Sociology
• Sociology of Art
• Sociology of Market Research
• Visual Sociology
• Diaspora Sociology

Importance of Sociology:

• studies society in a scientific manner
• gives knowledge about social diversities
• develops a scientific approach
• career-oriented
• solution to social problems
• keeps people updated and alert

By going through these Maharashtra State Board Organisation of Commerce and Management 11th Notes Chapter 2 Trade students can recall all the concepts quickly.

Maharashtra State Board Organisation of Commerce and Management 11th Notes Chapter 2 Trade

Meaning of Trade-

Trade means the process of exchange of goods and services with an object of earning profit estab1ishin
link between producers and consumers.

Types of Trade :

1. Internal Trade
2. External Trade

Internal Trade

• Wholesale Trade
• Retail Trade

Retail Trade

1. Itinerant Retailers
2. Fixed Shop Retailers

Itinerant Retailers:

• Hawkers
• Peddlers
• Street Traders
• Cheap Jacks
• Market Traders

Fixed Shop Retailers

1. Small Scale Retailers
2. Large Scale Retailers

Small Scale Retailers-

• General stores
• Second hand goods shops
• Authorized dealers
• Speciality shops

Large Scale Retailers

• Departmental Stores
• Supermarket Stores
• Chain Stores
• One price shops
• Malls

Channel Of Distribution-

• Producer / Manufacturer
• Wholesaler
• Retailer
• Consumer

Wholesale Trade-

By Philip Kotler
“Wholeselling includes all activities involved in selling goods or services to those who buy for resale or for business use.”

By Evelyn Thomas
“A true wholesaler is himself neither a manufactures nor a retailer but act as a link between the two.”

Features of Wholesaler-

• Purchases goods from the producer in large quantities.
• Takes risk in the process of distribution.
• Deals with one or few types of goods.
• A large amount of capital is required.
• Maintains price stability by balancing supply and demand factors. Manufacturers get direct information about market.
• Sells the goods to the retailers.

Performs the marketing functions-

• Assembling
• Warehousing
• Transporting
• Advertising
• Grading

Services of Wholesalers

1. To Retailers
2. To Manufacturers

To Retailers

• finance Assistance
• Collecting order and Distribution of Goods
• Large Purchase
• Transportation
• Risk Bearing
• Provide Market Information
• Marketing Function
• Storage

To Manufacturers

• Financial Support
• Market nformation
• Risk Bearing
• Stock of Goods
• Warehousing and [ ransport
• Regular Supply
• Sales Promotion

Retail Trade-

Meaning of Retail Trade:

According to Oxford Dictionary “Retail is sale of goods to the public in relatively small quantities for use or consumption rather than for resale”

According to William Stanton “Retail Trade includes all activities directly related to the sale of goods and services to the ultimate consumer for personal and non business use”

Features of Retailers-

• Link between the wholesaler and consumers.
• Operates in local markets.
• Deals in wide varieties of goods in small quality.
• Limited investment is required.
• Less risk and low amount of profit.

Services of Retailers:

1. Service to Wholesaler
2. Service to Consumers

Service to Wholesaler

• Create demand
• Helps to Distribute
• Marketing
• Financing
• Attracts Consumers
• Provides Information
• Connecting Link
• Increase Sales

Service to Consumers

• Variety of Goods
• After Sales Services
• Regular Supply of Goods
• Credit Facilities
• Home Delivery
• Information
• Local Convenience
• Improves Standard of Living
• Sale of Perishable Goods

Types of Retailers-

Itinerant Retailer – Retailers who do not have a fixed place or shop for their business.

• Hawkers: They move from one place to another carrying goods in hand cart.
• Peddlers:  They carry goods on their head in baskets or container.
• Street Traders: They do business on footpaths of busy street of cities and towns
• at crowded places like market places, bus stops, railway stations, etc.
• Cheap Jacks: They have independent shops with temporary setup, keep on changing places of their business.
• Market Traders : They open their shops on market days i.e. on different places on fixed days.

Retailers-
Fixed Shop Retailers
Small Scale Fixed Retailers

They Conduct their business operations on a small scale and deal in variety of goods)

• General Stores: They sell goods which are required by people for their day to day needs situated near residential areas of the city or town.
• Second hand Goods shop :They purchase and sell used goods at cheap rates, which are lack of quality, durability and guarantee.
• Authorized Dealer: They have authorized dealership of particular manufacturers of goods. They get good commission from manufacturers.
• Speciality shops: They deal in particular line of goods, offer goods at varying price range with wide range of choice, giving expert advice to the customer.

Retailers-
Fixed Shop Retailers
Large Scale Fixed Retailers

(They conduct their business operations on a large scale by investing huge capital, selling variety of quality goods and located at localities of the city)

Department Stores-

Meaning of Department Stores:
According to James Stephenson
“A big store engaged in the retail trade of variety of articles under the same roof”

According to G.B. Giles
“A departmental store is collection of shops under one roof and ownership, each shop or department specializing in selling a special range of goods’

Features of Department Stores-

1. Shopping Convenience
2. Centralized Management
3. Wide Variety of Goods
4. Specialization
5. Central Location
6. Huge Capital
7. No Create Facility

Super Market Shop –

“A large store selling a wide variety of consumer goods, particularly food and small articles
of household requirements.”

Features of Super Market Shop –

1. Location
2. Types of Goods
3. Self Service
4. Reasonable Prices
5. Capital
6. Cash Sales
7. Attractive Packing
8. Impulsive Buying

Chain Stores-

Definition of Chain Stores:
According to James Stephenson “A chain store shops consists of a number of similar shops owned by a single business firm”.

According to Clark and Clark
“Chain stores system consists of a number of retail store, which sell similar products are centrally owned and operated under one management”.

Features of Chain Stores-

• Low and Uniform Price
• Uniformity
• Limited Range of Goods
• Large Investment
• Distribution through Branches
• Cash Sales
• Quality of Goods
• Impulsive Buying

One Price Shop-

Meaning

• The shops where the prices of all the products or goods are same is known as one price shop.
• Selling a large variety of goods of daily use at low prices.

Features of One price Shop

• Uniform Price
• Low Price
• Variety of Goods
• Location
• Cash Sales
• Less Capital

Mall
Meaning —A mall is large enclosed shopping complex containing various stores, business and restaurants.
Features:

• Enables customer to buy different products from one unit to other units of mall.
• Entertainment venues such as movie theaters and restaurants.
• Variety of things available at one place.

International Trade-
Meaning — When the trade activities are conducted between two or more countries, it is called as ‘International Trade’.

International Trade (External Trade)-

1. Export Trade
2. Import Trade
3. Entrepot Trade

Export Trade-
Meaning — Export trade refers to sale of goods and services to foreign country.

Export Procedure-

1. Priliminary Stage
2. Preshipment Stage
3. Shipment Stage
4. Post Shipment Stage

Priliminary Stage:

• Registration
• Appointment of Agent

Preshipment Stage:

• Receipt of order
• Letter of credit
• Pre-shipment finance
• Production
• Packaging
• ECGC cover (Export Credit and Guarantee Corporation
• GST Formalities (Goods and Services tax)
• Marine Insurance
• C & F agents (Clearing and Forwarding)

Shipment Stage:

• Processing
• Examination of goods
• Loading of goods

Post Shipment Stage:

• Shipment advice
• Presentation of document
• Realization of incentives
• Follow up

Import Trade-
Meaning — Import trade refers to the purchase of goods and services from foreign country.

Import Procedure –

1. Priliminary Stage
2. Pre Import Stage
3. Import Stage
4. Post Import Stage

Priliminary Stage:

• Registration
• Negotiation

Pre Import Stage:

• Quota – Certificate
• Foreign Exchange
• Order placement
• Letter of Credit
• C & F Agent
• Shipment Advice

Import Stage:

• Receipt of Document
• Bill of entry
• Delivery of order
• Custom Clearance

Post Import Stage:

• Post trust due
• Custom duty
• Insurance premium
• Freight payment
• Exporter payment
• Follow-up

Entrepot Trade-
Meaning — The term entrepot is referred to as a seaport or warehouse where goods would be imported for storage or process before re- export.

Word Meaning:

vital – important; strategies – planning; entity – individual body; relatively – in comparison; promotion – to support; barter – exchange of goods and services without using money; preferences – likings; simplified
– easy; salesmanship – skill or ways to use sell something; establishes – builds; arrivals – new things; itinerant – travelling from one place to another; window display – in a shop product are display to attract the customer; sufficient – adequate / enough; channel – medium / method; after sales service – providing service after purchasing something; intermediaries – middleman; durable – long lasting; stability – fixed; commission – monetary benefits for service provided; assembling – to collect; urbanization – making an area to a city; grading – to arrange as per size and shape; recruitment – appointment; valuable – very useful; access – approach; fluctuations – rise and fall of something; variants – different; induced – influence / attracted; impulsive – unplanned / quick; appearance – the way that something looks like; discrepancies
– differences; irrespective – without consideration; overhead – above; bargaining – to discuss; door to door – way of marketing from one door to another door; reasonable – fair; globe – world; complex – a whole structure of building interconnected; tariff – tax / duty; prompt – quick; convenience – without any effort; lengthy – very long; exporter – a person / company that send goods or services to another country; importer – a person / company that buys goods or services from another country; transit – transport; incentive – benefit; indigenous – local; freight – goods transported by train / ship / truck; quota – quantity; overseas – foreign country; port – a place where ships are loaded and unloaded.

By going through these Maharashtra State Board Secretarial Practice 12th Commerce Notes Chapter 11 Financial Market students can recall all the concepts quickly.

Maharashtra State Board Class 12 Secretarial Practice Notes Chapter 11 Financial Market

→ Every business has to raise short and long-term funds to meet the working and fixed capital needs of the business.

→ Financial Market is a place where borrowers and lenders are coming together.

→ Financial Market consists of –

(1) Money Market – Provide Short term loans
RBI controls over money market

(2) Capital Market – Provide Medium / Long term loans
SEBI controls over capital market

→ Financial Market is advancing loans to an individual, public and private institutions, state-local-central Government.

→ Money Market is dealing with –

1. Treasury Bills
2. Commercial Papers
3. Certificate of Deposits
4. Commercial Bills
5. Money Market Mutual Fund
6. Repo and Reverse Repo

→ Capital Market is dealing with –

1. Shares
2. Debentures
3. Bonds
4. Mutual Funds etc.

By going through these Maharashtra State Board Organisation of Commerce and Management 11th Notes Chapter 1 Introduction of Commerce and Business students can recall all the concepts quickly.

Maharashtra State Board Organisation of Commerce and Management 11th Notes Chapter 1 Introduction of Commerce and Business

Human Activities –

Non-Economic Activities

• Done without monetary reward.
• Done to satisfy personal social or religious requirements.
• Examples
  • Teacher teaching her son.
  • Serving people.
  • Cooking by mother, etc.

Economic Activities:

• Involves production, distribution and consumption of goods and services.
• Done for monetary reward
• Examples
  • Teacher teaching in a school.
  • Worker working in a factory.
  • Doctor working for a hospital.
• Further divided into 3
  1. Business
  2. Profession
  3. Employment

Definition of Business-

By Prof. L. H. Haney
“Business activities are all those human activities which are directed towards the prod uction and processing of wealth”

By Pride, Hughes and Kapoor “The organised efforts of individuals to produce and sell for a profit, the goods and services that satisfy society’s needs”

Characteristics / Features of Business-

1. Continuity in Dealings: Every business requires regularity in transactions.
2. Uncertain Returns: Returns are never predictable or guaranteed, it may earn profit or suffer a loss.
3. Risk Element: Exposure to loss due to some unfavorable or undesirable event. Intensity of risk can be minimized but can’t be avoided.
4. Satisfaction: Satisfying the customers by providing quality products and services at a reasonable price.
5. Two Parties: Minimum two parties are required for exchange i.e. the seller and the buyer.
6. Economic Activity : To earn money or livelihood.
7. Profit Motive :
8. Basic purpose of business is to earn the profit.
9. It is spine of business which keeps the business growth till long term.
10. Production of Goods and Services : Goods are either manufactured or procured from the supplier with aim of selling to consumers for profit.
11. Exchange of Goods and Services :
    1. Transfer of goods and services directly or indirectly with money or money’s worth.
    2. e.g. Buying clothes against cash.
12. Dealings in Goods and Services :

• Every business is involved either with Goods or Services.
• Goods-
  • Consumer Goods (Tea, Milk, Pencil, etc.)
  • Capital Goods (Machinery, Plant, Furniture, etc.)

Profession-
Part of economic activities under which a person uses his educational knowledge and special skill to
render services for earning some income.
e.g. Doctor, Lawyer, Chartered Accountant, Professor, etc.

Features of Profession-

(i) Qualification : Practiced after acquiring required qualifications.

(ii) Returns :

• Professional gets fees in exchange of service rendered.
• Can be employed in an organization or self employed.

(iii) Capital:

• Either can be practiced independently or professionals can work under someone.
• Independent practiced professional requires huge capital for setup.

(iv) Work Nature :
Professionals hold special knowledge and do skillful work like Doctors , Lawyers, etc.

(v) Aim:

• Practiced for earning money.
• Render service to their clients and solve their problems.

(vi) Registration and Membership : Professionals have to register them with their respective council and get certificate for practice.

(vii) Non-transferability : Profession cannot be transferred to other person on the will of professional.

Employment-

• It is an economic activity in which people work for others for remuneration.
• Term and conditions are agreed by both employer and employee.

Features of Employment-

(i) Qualifications:

Skilled Job

• Requires specific qualifications,
• E.g. Job of Accountant or Nurse

Unskilled

• Requires specific qualifications,
• E.g. Office boy or Clerk.

(ii) Monetary Returns :

Wages

• Decided in advance before appointment.
• Paid daily or weekly.

Salary

• Paid monthly
• Other benefits are also provided.

Capital: No capital is required for employment.

Nature of Work : The nature of job decide the nature of work.

Aim: To earn money for meeting needs of employer and employee.

Registration:

• No registration is required.
• Has to follow rules and regulation as mentioned in the terms and conditions of the employment- contract.

Non-transferability : Employment cannot be transferred from one person to another.

Business Objectives-

1. Economic Objectives
2. Social Objectives

Economic Objectives

• Searching New Customers
• Earning Profit
• Best Possible use of Resources
• Innovations

Social Objectives

• Contributing to the welfare of the society
• Avoiding unfair trade practices
• Supplying quality Products
• Help to solve social problems
• Employment generation
• Welfare of employees

Role of Profit in Business
Profit = Revenue – Total Cost

Role of Profit

1. Returns to investor
2. Research and Deve1opmen
3. Growth and Expansion
4. Increases efficiency
5. Means of livelihood.
6. Reputation .
7. Reward for risk
8. Survival

Classification of Business Activities-

1. Industry
2. Economic Activities-

Industry:

1. Primary Industry
2. Secondary Industry
3. Tertiary Industry

Primary Industry

• Industry
• Agriculture
• Extractive
• Genetic

Secondary Industry

• Manufacturing
• Construction

Tertiary Industry

• Transport
• Banking
• Hotel
• Tourism
• Entertainment

Economic Activities-

• Trade
• Auxiliaries to trade-

Trade

• Home Trade
• Foreign Trade

Home Trade

• Wholesale Trade
• Retail Trade

Foreign Trade

• Import
• Export
• Entrepot/ Re-export

Auxiliaries to trade-

• Transport
• Warehousing
• Insurance
• Banking
• Advertising
• Mercantile agents
• Communication

Word Meaning:

monetary – related to money; consumption – using; livelihood – to get basic needs of life; systematic – properly arranged; reward – returns; multiple – many; complex – difficult; manpower – human; cultivating – a process in farming; warehousing – place where goods are stored; spine – backbone; intangible – can’t be seen physically; continuity – regularly; predictable – expected; intensity – force; render – provide; acquiring – obtaining; code of conduct – set of rules; expert – person knowledgeable in a particular area; remuneration – salary; quarters – place to stay provided by company to his employees; subsidized – in low cost; bulk – in large quantity; survival – continuing to live; scarce – short in supply; unfair trade – wrong business practice; black marketing – illegal trade; misleading – false information; divyang – physically challenged; welfare – wellbeing; impartial – equal treatment; incentives – benefits in terms of money; retention – continuation; volume – size; diversification – process of enlarging the business; adverse – unfavorable; utility – useful; crude – raw material; tertiary – service; uninterrupted – continuation; auxiliaries – assistant; hindrances – problems; reasonable – low cost; rescue – save; desire – strong wish to have something; prominent – important; scattered – found in various location; information explosion – increased amount of information; broader – large; narrow – limited.

By going through these Maharashtra State Board Secretarial Practice 12th Commerce Notes Chapter 12 Stock Exchange students can recall all the concepts quickly.

Maharashtra State Board Class 12 Secretarial Practice Notes Chapter 12 Stock Exchange

→ Stock exchange is a place where securities are traded i.e. buying and selling takes place.

→ Stock Exchange in India is regulated by SEBI i.e. Securities Exchange Board of India.

→ The Securities Control (Regulation) Act 1956 provides rules for the functioning, licensing and controlling speculations of Stock Exchanges.

Stock Exchange in India:

1. Bombay Stock Exchange
2. National Stock Exchange

Bombay Stock Exchange (BSE)-

• – It is the oldest stock exchange in Asia which was established in 1875.
• – BSE was the first Stock Exchange in India.
• – The index of BSE is called Sensex or BSE 30.
• – In February 2001, BSE has launched BSEWebx.co.in an internet trading system.

National Stock Exchange of India (NSEI)-

• NSEI was incorporated in November 1992.
• First demutualized electronic exchange in India.
• The Index of NSE is called as the NIFTY launched in 1996.

Agents in Stock Exchange-

1. Boker
2. Speculator

Boker:

• Stag
• Lame Duck
• Wolves

Speculator:

• Bull
• Bear