BUSINESS STUDIES (Code No.

054)
Rationale
The courses in Business Studies and Accountancy are introduced at + 2 stage of Senior
Secondary Education as formal commerce education is provided after first ten years of
schooling. Therefore, it becomes necessary that instructions in these subjects are given
in such a manner that students have a good 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. To understand the
framework in which a business operates, a detailed study of the organisation and
management of business processes and its interaction with the environment is required.
Globalisation has changed the way organizations transact their business.

Information Technology is becoming a part of business operations in more and more

organisations. Computerised systems are fast replacing other systems. E-business and
other related concepts are picking up fast which need to be emphasized in the
curriculum.

The course in Business Studies prepares students to analyse, manage, evaluate and
respond to changes which affect business. It provides a way of looking at and interacting
with the business environment. It recognizes the fact that business influences and is
influenced by social, political, legal and economic forces.

It allows students to appreciate that business is an integral component of society and

develops an understanding of many social and ethical issues.

Therefore, to acquire basic knowledge of the business world, a course in Business

Studies would be useful. It also informs students of a range of study and work options
and bridges the gap between school and work.

Objectives:
 To inculcate business attitude and develop skills among students to pursue
higher education, world of work including self employment.
 To develop students with an understanding of the processes of business and its
environment;
 To acquaint students with the dynamic nature and inter-dependent aspects of
business;
 To develop an interest in the theory and practice of business, trade and industry;
 To familiarize students with theoretical foundations of the process of organizing
and managing the operations of a business firm;
 To help students appreciate the economic and social significance of business
activity and the social cost and benefits arising there from;
 To acquaint students with the practice of managing the operations and resources
of business;
 To enable students to act more effectively and responsibly as consumers,
employers, employees and citizens;
 BUSINESS STUDIES (Code No. 054)
CLASS–XI (2023-24)
Theory: 80 Marks 3 Hours
Project: 20 Marks

Units Periods Marks

Part A Foundations of Business
1 Nature and Purpose of Business 18 16
2 Forms of Business Organisations 24
3 Public, Private and Global Enterprises 18 14
4 Business Services 18
5 Emerging Modes of Business 10 10
6 Social Responsibility of Business and 12
Business Ethics
Total 100 40
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
Total 90 40

Project Work (One) 30 20

Part A: Foundation of Business

Concept includes meaning and features

Unit 1: Evolution and Fundamentals of Business

Content After going through this unit, the

student/ learner would be able to:
History of Trade and Commerce in India:  To acquaint the History of Trade
Indigenous Banking System, Rise of and Commerce in India
Intermediaries, Transport, Trading
Communities: Merchant Corporations,
Major Trade Centres, Major Imports and
Exports, Position of Indian Sub-Continent
in the World Economy
 Understand the meaning of
Business – meaning and characteristics business with special reference to
economic and non-economic
activities.
 Discuss the characteristics of
business.
Business, profession and employment –  Understand the concept of
Concept 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 -  Understand the broad categories of
Industry and Commerce business activities- industry and
commerce.
Industry-types: primary, secondary, tertiary  Describe the various types of
Meaning and subgroups industries.
Commerce-trade: (types-internal, external;  Discuss the meaning of commerce,
wholesale and retail) and auxiliaries to trade and auxiliaries to trade.
trade; (banking, insurance, transportation,  Discuss the meaning of different
warehousing, communication, and types of trade and auxiliaries to
advertising) – meaning trade.
 Examine the role of commerce-
trade and auxiliaries to trade.
 Understand the concept of risk as a
Business risk-Concept special characteristic of business.
 Examine the nature and causes of
business risks.

Unit 2: Forms of Business organizations

Sole Proprietorship-Concept, merits and  List the different forms of business

limitations organizations and understand their
meaning.
 Identify and explain the concept,
merits and limitations of Sole
Proprietorship.
Partnership-Concept, types, merits and  Identify and explain the concept,
limitation of partnership, registration of a merits and limitations of a
partnership firm, partnership deed. Types Partnership firm.
of partners  Understand the types of
partnership on the basis of duration
and on the basis of liability.
 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:  Understand the concept of Hindu
Concept Undivided Family Business.
Cooperative Societies-Concept, merits,  Identify and explain the concept,
and limitations. merits and limitations of
Cooperative Societies.
 Understand the concept of
consumers, producers, marketing,
farmers, credit and housing co-
operatives.
Company - Concept, merits and limitations;  Identify and explain the concept,
Types: Private, Public and One Person merits and limitations of private and
Company – Concept public companies.
 Understand the meaning of one
person company.
 Distinguish between a private
company and a public company.
Formation of company - stages, important  Highlight the stages in the
documents to be used in formation of a formation of a company.
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 organizations.
 Explain the factors that influence
the choice of a suitable form of
business organization.

Unit 3: Public, Private and Global Enterprises

Public sector and private sector  Develop an understanding of Public

enterprises – Concept sector and private sector
enterprises
Forms of public sector enterprises:  Identify and explain the features,
Departmental Undertakings, Statutory merits and limitations of different
Corporations and Government Company forms of public sector enterprises
Global Enterprises – Feature  Develop an understanding of global
Joint venture enterprises, public private
Public private partnership – concept partnership by studying their
meaning and features.
Unit 4: Business Services
Business services – meaning and types.  Understand the meaning and types
Banking: Types of bank accounts - of business services.
savings, current, recurring, fixed deposit  Discuss the meaning and types of
and multiple option deposit account Business service Banking
 Develop an understanding of
difference types of bank account.
Banking services with particular reference  Develop an understanding of the
to Bank Draft, Bank Overdraft, Cash credit. different services provided by
E-Banking: meaning, types of digital banks
payments
Insurance – Principles. Types – life, health,  Recall the concept of insurance
fire and marine insurance – concept  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,  Understand the utility of different
Parcel, Speed Post, Courier - meaning telecom services

Unit 5: Emerging Modes of Business

E - business: concept, scope and benefits  Give the meaning of e-business.

 Discuss the scope of e-business.
 Appreciate the benefits of e-
business
 Distinguish e-business from
traditional business.

Unit 6: Social Responsibility of Business and Business Ethics

Concept of social responsibility  State the concept of social

responsibility.
Case of social responsibility  Examine the case for social
responsibility.
Responsibility towards owners, investors,  Identify the social responsibility
consumers, employees, government and towards different interest groups.
community
Role of business in environment protection  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

Unit 7: Sources of Business Finance

Concept of business finance  State the meaning, nature and

importance of business finance.
Owners’ funds- equity shares, preferences  Classify the various sources of
share, retained earnings funds into owners’ funds.
 State the meaning of owners’
funds.
Borrowed funds: debentures and bonds,  State the meaning of borrowed
loan from financial institution and funds.
commercial banks, public deposits, trade  Discuss the concept of debentures,
credit, Inter Corporate Deposits (ICD) bonds, loans from financial
institutions and commercial banks,
Trade credit and inter corporate
deposits.
 Distinguish between owners’ funds
and borrowed funds.
Unit 8: Small Business and Enterprises

Entrepreneurship Development (ED):  Understand the concept of

Concept, Characteristics and Need. Entrepreneurship Development
Process of Entrepreneurship Development: (ED), Intellectual Property Rights
Start-up India Scheme, ways to fund
start-up. Intellectual Property Rights and
Entrepreneurship
Small scale enterprise as defined by  Understand the meaning of small
MSMED Act 2006 (Micro, Small and business
Medium Enterprise Development Act)
Role of small business in India with special  Discuss the role of small business
reference to rural areas in India
Government schemes and agencies for  Appreciate the various Government
small scale industries: National Small schemes and agencies for
Industries Corporation (NSIC) and District development of small scale
Industrial Centre (DIC) with special industries. NSIC and DIC with
reference to rural, backward areas special reference to rural, backward
area.

Unit 9: Internal Trade

Internal trade - meaning and types  State the meaning and types of
services rendered by a wholesaler and a internal trade.
retailer  Appreciate the services of
wholesalers and retailers.

Types of retail-trade-Itinerant and small  Explain the different types of retail

scale fixed shops retailers trade.

Large scale retailers-Departmental stores,  Highlight the distinctive features of

chain stores – concept departmental stores, chain stores
and mail order business.

GST (Goods and Services Tax): Concept  Understand the concept of GST
and key-features

Unit 10: International Trade

International trade: concept and benefits  Understand the concept of

international trade.
 Describe the scope of international
trade to the nation and business
firms.
Export trade – Meaning and procedure  State the meaning and objectives
of export trade.
 Explain the important steps
involved in executing export trade.
Import Trade - Meaning and procedure  State the meaning and objectives
 of import trade.
 Discuss the important steps
involved in executing import trade.
Documents involved in International Trade;  Develop an understanding of the
indent, letter of credit, shipping order, various documents used in
shipping bills, mate’s receipt (DA/DP) 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  State the meaning of World Trade
and objectives Organization.
 Discuss the objectives of World
Trade Organization in promoting
international trade.

Unit 11: Project Work

As per CBSE guidelines.

 Suggested Question Paper Design
Business Studies (Code No. 054)
Class XI (2023-24)
March 2024 Examination
Marks: 80 Duration: 3 hrs.

SN Typology of Questions Marks Percentage

Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts,
terms, basic concepts, and answers.
1 Demonstrate understanding of facts and ideas by organizing, 44 55%
comparing, translating, interpreting, giving descriptions, and
stating main ideas

Applying: Solve problems to new situations by applying acquired

2 knowledge, facts, techniques and rules in a different way 19 23.75%

Analysing, Evaluating and Creating:

Examine and break information into parts by identifying motives or
causes. Make inferences and find evidence to support
generalizations.
Present and defend opinions by making judgments about
3 17 21.25%
information, validity of ideas, or quality of work based on a set of
criteria.
Compile information together in a different way by combining
elements in a new pattern or proposing alternative solutions.

Total 80 100%
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