Business activity is everywhere.
Doing everything in our lives by ourselves may not sound like a bad idea. We can save money while being fully in control of the process. It is tempting.
But, I am pretty sure it is simply impossible. Life became very complex over the years. Other people have knowledge and skills that we do not have, easy access to scarce resources which we lack of, or they were just born being better at something than what we are not good at. Specialization matters!
Business activity is everywhere
Businesses are all around us, they are literally everywhere. We wake up in the morning and have a cup of fresh coffee using coffee beans which were planted somewhere in Brazil or Ethiopia. We take a bus to school or drive a car to work using vehicles produced by car manufactures and bus manufacturers. We also sit in front of the TV with other family members in the evening watching amusing movies and favoring TV dramas produced by entertainment companies such as Netflix or HBO.
All of these goods and services are provided to us by businesses. We have contact with business organizations for the whole day and every day, no matter where we are, or if we want it or not.
The purpose of business activity of various companies is to provide people with goods and services to satisfy consumer demand. All businesses exist to produce goods and provide services which will meet our needs and wants as customers. Businesses will use various resources for supplying us with the goods that we demand at the certain point in time.
What would happen without business activity?
Without business activity – purchasing goods and services from other companies – we will have to entirely depend on the goods that we can make by ourselves. We would have to be entirely self-sufficient throughout our whole life. Neither would I have a server to store the files, nor a computer to use. Do not even mention lack of Internet that allows me to reach out to millions of people anywhere in the world.
It will be extremely difficult because you, as one person, only have access to limited resources on our planet. Neither have you known how to produce certain goods or deliver certain services such as assemble sports cars or learn about nuclear physics. I have no idea about producing modems.
Thanks to business activity we can enjoy much higher quality of life by using well-done goods and highly professional services than what would be possible, if we rely only on our own skills and knowledge.
We simply could not be able to make everything by ourselves – my life would be too short to invent the entire Internet.
And without my business activity in the form of running this website, you would not be able to learn about applying business management into real life to make better life decisions.
