CBSE Class 11 Business Studies Notes

Business Studies is the area of study that talks about the principles of business, economics and management. GeeksforGeeks Class 11 Business Studies Notes have been designed according to the CBSE Syllabus for Class 11. These revision notes consist of detailed Chapterwise important topics and concepts. Here, the learners can get easy access to the Chapterwise notes from the below-mentioned quick links. The notes contain 11 chapters covering every important topic, like Business, Commerce, Forms of Business Organisation, Business Services, Business Finance, Social Responsibility, Business Ethics, International Business, and many more. These notes are enough for learning basic and crucial knowledge about business studies from scratch. 

Chapter 1: Business, Trade, and Commerce

The first chapter of Class 11 Business Studies talks about the basic concepts of Business, Trade and Commerce. The notes cover basic knowledge, like meaning, objectives, and characteristics of business. It also consists of important topics like Industries and their types, Commerce, Trade, Auxiliaries to Trade, Business Risk, and the Basic factors to consider for starting a Business. 

• Introduction to Business
• Difference between Business, Profession, and Employment
• Trade and Auxiliaries to Trade
• What is Business Risk?
• Basic Factors for Starting a Business
• Types of Industries- Primary, Secondary, and Tertiary

Chapter 2: Forms of Business Organisation

The second chapter is Forms of Business Organisation. This chapter covers the different forms of organisation like Sole Proprietorship, Joint Hindu Family Business, Partnership, Cooperative Society and Joint Stock Company. It gives the basic knowledge of different forms in which an individual or a group of individuals can start a business. This chapter is combined with the first chapter and has 16 marks weightage. 

• Forms of Business Organization
• Sole Proprietorship: Features, Merits and Demerits
• Joint Hindu Family Business: Features, Merits and Demerits
• Partnership: Features, Merits and Demerits
• Partnership Deed – Aspects and Registration
• Types of Partners
• Types of Partnership
• Cooperative Society – Features, Merits, Demerits and Types
• Joint Stock Company: Meaning, Features, Merits & Demerits, Types
• Choice of Form of Business Organisation

Chapter 3: Private, Public, and Global Enterprises

The third chapter of Class 11th Business Studies Syllabus is Private, Public and Global Enterprises. As the name suggests, the notes of Chapter 3 gives detailed knowledge about the concept of private enterprise, public enterprise and global enterprise. However, the main focus of this chapter is on the three different forms of organisations in public sector, i.e., Statutory Corporation, Government Company and Departmental Undertaking. Besides these, other important topics, like Changing Role of Public Sector, Government Policy towards the Public Sector Since 1991, Joint Venture, and PPP are also covered in the below-mentioned links:

• Private, Public, and Global Enterprises
• Forms of Organizing Public Sector Enterprises
• Difference between Private and Public Sector
• Statutory Corporation – Features, Merits, and Demerits
• Government Company: Features, Merits and Demerits
• Departmental Undertaking: Features, Merits, and Demerits
• Changing Role of Public Sector
• Government Policy towards Public Sector since 1991
• What are Global Enterprises?
• Joint Venture and its Types
• Public Private Partnership (PPP) : Meaning, Features, Applications, Advantages and Disadvantages

Chapter 4: Business Services

Business Services is the fourth chapter in the Business Studies curriculum of Class 11th. Business Services are the services used by business organisations for the successful running of business activities. The notes of Chapter 4 contain detailed information about the different types of business services like Insurance, Communication, Transportation, Warehousing, and Banking. It also covers important topics like the Difference between three major types of Insurance (Life, Fire, and Marine). Chapter 4 combined with Chapter 3, covers 14 marks of the total weightage. 

• Types of Business Services
• Difference between Goods and Services
• Nature and Types of Services
• Types of Banking
• Meaning and Benefits of e-Banking
• Functions of Insurance
• Principles of Insurance
• Types of Insurance
• Life Insurance: Meaning, Elements, and Types of Life Insurance Policies
• Fire Insurance: Meaning, Claim for Loss (Conditions) and Elements of Fire Insurance Contract
• What is Marine Insurance?
• Difference between Life, Marine, and Fire Insurance
• Communication Services: Postal and Telecom Services
• Types of General Insurance
• Warehousing Services: Meaning, Types and Function

Chapter 5: Emerging Modes of Business

There are different ways through which an organisation can do business. The fifth chapter of Class 11th Business Studies, Emerging Modes of Business talks about all those modes of business, like e-business, e-commerce, online transaction and outsourcing. The notes of this chapter also cover how e-business and e-commerce are different from traditional businesses. Outsourcing is one of the popular ways of getting things done from others with some exchange in return. The notes contain detailed information about outsourcing, its need, and concerns, and also notifies the risks involved in e-business.  

• Introduction to Emerging Modes of Business
• e-Business: Benefits and Limitations
• Scope of e-Business: B2B Commerce| B2C Commerce|C2C Commerce|Intra B-Commerce
• What is e-commerce? Explain benefits and types of e-commerce.
• Difference between E-business and Traditional Business
• What is an Online Transaction?
• Types of e-business Risks
• Outsourcing: Meaning, Features, Scope, Types of OSP, BPO
• Why is Outsourcing Needed?
• Concern over Outsourcing

Chapter 6: Social Responsibilities of Business and Business Ethics

The sixth chapter of Class 11th Business Studies is Social Responsibilities of Business and Business Ethics. These two are basic and main parts of any organisation. Without social responsibility and business ethics, an organization cannot survive for long. The notes of this chapter cover detailed knowledge about the social responsibilities of a business (towards different interest groups, the reality of SR and Arguments), business ethics, and environmental protection. The combined weightage of Chapters 5 and 6 is ten. 

• Social Responsibilities of a Business – Meaning, Need and Types
• Business Ethics – Meaning, Benefits and Elements
• Social Responsibility: Arguments For and Against Social Responsibility
• Social Responsibility towards Different Interest Groups
• Business and Environmental Protection: Causes and Types of Pollution, Need for Pollution Control and Role of Business in Environment Protection

Chapter 7: Formation of a Company (Not in CBSE Curriculum for the Academic Year 2022-23)

The formation of a company is one of the most important topics of Class 11th Business Studies. Every company has to go through various steps and fill out different forms for its formation. The notes of this chapter cover all those steps and important documents, like Articles of Association and Memorandum of Association required for the formation of a company.

• Formation of a Company
• Promotion of a Company: Meaning, Documents and Steps Involved
• Who is a Promoter?
• What is Incorporation?
• Difference between Articles of Association and Memorandum of Association
• Steps required for raising Funds from Public
• One Person Company: Meaning and Characteristics

Chapter 8: Sources of Business Finance

The eighth chapter of Class 11th Business Studies is Sources of Business Finance. In the notes of this chapter, you will understand the different sources through which an organisation can get finance for performing its short and long-term activities. The important topics of this chapter consist of Retained Earnings, Trade Credit, Lease Financing, Debentures, Issue of Shares, and many more. The notes cover the meaning, advantages, and disadvantages of each source of business finance. 

• Business Finance: Sources and Factors Affecting the Choice of the Source of Funds
• Business Finance: Meaning, Nature, and Significance
• Sources of Funds and its Classification
• What are the Different Sources of Finance?
• Retained Earnings: Meaning, Features, Advantages and Limitations
• Trade Credit: Advantages and Disadvantages
• Advantages and Disadvantages of Factoring
• Lease Financing – Meaning, Advantages and Disadvantages
• Public Deposits: Advantages and Disadvantages
• Commercial Paper: Advantages and Disadvantages
• What is Issue of Shares? Types of Shares, Advantages and Disadvantages
• What do you mean by Debenture? Explain its Types, Advantages, and Disadvantages
• Commercial Banks: Advantages and Disadvantages
• Advantages and Disadvantages of Financial Institutions
• International Financing: Meaning and Sources of International Financing
• Factors Affecting the Choice of the Source of Funds

Chapter 9: Small Business

Small Business is the ninth chapter of Class 11th Business Studies Syllabus. It covers detailed information about the meaning, role, and problems associated with MSMEs, the concept of Entrepreneurship, and Intellectual Property Rights (IPR). Small Business combined with Sources of Business Finance, has 20 marks weightage. 

• MSME and Business Entrepreneurship
• What is Entrepreneurship?
• Importance and Types of Intellectual Property Rights (IPR)

Chapter 10: Internal Trade

Trading is a crucial part of every business, which is covered in the tenth chapter of Internal Trade of Class 11th Business Studies Syllabus. The notes of this chapter contain different types of trade (internal and external) and internal trade. The important topics of this chapter include Retailing Trade, Departmental Stores, Super Markets, Consumer Cooperative Stores, Itinerant Retailers, and many more. The notes also give a basic knowledge of Goods and Services Tax (GST). The quick links given below cover the meaning, advantages and disadvantages of different types of trade. 

• Introduction to Internal Trade
• What is Internal Trade?
• Wholesale Trade and Services of Wholesalers
• Services Offered by Wholesalers
• Services Offered by Retailers
• Difference between Wholesaler and Retailer
• Types of Retailers: Itinerant Retailers and Fixed Shop Retailers
• Who are Itinerant Retailers?
• Who are Fixed Shop Retailers?
• What are Departmental Stores?
• What are Chain or Multiple Stores?
• Difference between Departmental Stores and Multiple Stores
• Mail Order Houses: Meaning, Advantages, and Disadvantages
• Consumer Cooperative Stores: Meaning, Advantages, and Disadvantages
• Super Markets – Characteristics, Advantages and Disadvantages
• What is External Trade?
• What is GST? Types, Features, Benefits, Input Tax Credit, GST Council
• Role of Commerce and Industry Associations in Promotion of Internal Trade

Chapter 11: International Business

The last chapter of Class 11th Business Studies Syllabus is International Business. It is one of the most important chapters and combined with Internal Trade, has 20 marks weightage. The notes of this chapter explain the meaning of International Business and how it is different from domestic business. It also gives detailed information on different modes of entry into International Business, like Exporting and Importing, Joint Ventures, Contract Manufacturing and Licensing and Franchising. Other important topics covered in the notes are Import and Export Procedure, World Bank, IMF, WTO and Foreign Trade Promotion Measures and Schemes. 

• Introduction to International Business
• International Business: Meaning, Reason, Scope and Benefits
• Difference between International Trade and International Business
• Difference between Domestic Business and International Business
• Modes of Entry into International Business
• Exporting and Importing – Meaning, Advantages and Disadvantages
• Contract Manufacturing: Meaning, Advantages and Disadvantages
• Advantages and Disadvantages of Licensing and Franchising
• Joint Ventures: Meaning, Advantages and Disadvantages
• Wholly Owned Subsidiaries: Meaning, Advantages, and Disadvantages
• What is Export Procedure?
• Steps in Import Procedure
• Documents required in Import Transaction
• Foreign Trade Promotion Measures and Schemes
• Organisational Support in International Business
• International Monetary Fund (IMF): Objectives and Functions
• World Trade Organisation (WTO): Features, Functions and Objectives