A company secretary is legal bound to following liabilities
(i) Register all files and documents of the company.
(ii) Arrange annual general meeting in due time.
(ii) Sending notice of the meeting to the participant
(iv) Issuing share certificates, dividend warrant and bonus shares certificates to the shareholder.
(v) Appointing company auditor and arranging audit of books of account by the Company.
(vi) Abide by all terms and conditions of service contract
(vii) Follow the order instructions and act as per authorization of the board of director.
(vii) Maintain securely of the company affairs.
(ix) Perform duties with due care and skills.
(x) Submitting income tax returns and ensures use of required company seal and stamp.

(i) General Optimum Combination: Board of Directors shall have an optimum combination of executive and non executive directors with at least one woman director and not less than fifty percent of the board of directors shall comprise of non-executive directors.
(ii) When the non-executive Director is the Chairperson: In this case, at least one-third of the board of directors shall comprise of independent directors and where the company does not have a regular non-executive chair person.
(iii) when the non-executive chairperson is a promoter: When the non-executive chairperson is a promoter or is related to any promoter or person occupying management positions at the level of board of director or at one level below the Board of Directors.

'Formation of a company' has been divided into four stages: 1. Promotion 2. Registration 3. Capital subscription and 4. Commencement of business.
1. Promotion : Promotion stage begins when the idea to form company comes in the mind of a person. The Person who envisages the idea is called promoter.
2. Registration : The second stage in the formation of the company is incorporation on registration. In this stage the promoter does the following.
(i) Application for availability of name of company
(ii) Preparations of memorandum and articles of association.
(iii) Declaration from the professional, etc.
3. Capital Subscription : Both private company and public company not having share capital can commence its business after the completion of the above stages.
But a public limited company having its share capital has to pass through two more stages:
Example
(i) The fulfilling formalities to raise necessary capital
(ii) Fulfilling the condition for valid allotment by director.
(iii) Despatch allotment letters to allottees.
4. Commencement : As per section 11 of the Act, a company having share capital should file with the registrar declaration starting that
(i) Every subscriber to the memorandum has paid the value of shares agreed to be taken by him.
(ii) Paid up capital is not less than Rs 5 lakhs in the case of public limited company and Rs. 1 lakh in the case of private limited company.
(iii) It has filed the Registrar the verification of the Registered Office.

SI.No	Rural Entrepreneur	Urban Entrepreneur
1.	These are people who start a venture in rural locations like villages and semi-urban areas.	These are people who commence his entrepreneurial activities in urban areas like State Capital District headquarters, Towns, Municipalities.
2.	They are agricultural and trading entrepreneurs prefer to set up their venture in rural areas.	They may be industrial entrepreneur or cor entrepreneur.
3.	They are provided a lot of economic and fiscal incentives to start their venture In rural and semi-urban areas.	There is no such incentives are provided to those entrepreneurs.
4.	The cost of operation of rural ventures tends to be low	The cost of operation in urban areas are high
5.	It creates employment opportunities in rural areas.	Employment opportunities are low.

Basis	Entrepreneur	Intrapreneur
Thinking	Entrepreneur is a free thinker	Intrapreneur is forced to think independently but within scope of business activities undertaken in the enterprise.
Dependency	Entrepreneur is an independent person	Intrapreneur is dependent on the entrepreneur. He is an employee.
Fund Mobilization	Entrepreneur has to mobilize funds to finance the venture.	Intrapreneur does not engage in fund mobilization. But can access funds mobilized by the entrepreneur.
Reward	Entrepreneur is rewarded by profit for the risk bearing exercise.	Intrapreneur does not share in profits of venture. But gets perquisites, salary, incentives, etc., for the service.
Risk Bearing	Entrepreneur bears the risk involved in the venture undertaken.	Intrapreneur does not bear any risk in the venture and does not even share the risk inherent in the project or work assigned. However Intrapreneur is accountable for the task or project assigned.
Status	|Entrepreneur is owner, and doesn't reportto anybody in the venture.	Intrapreneur is a salaried employee.
Operation	Entrepreneur operates mostly outside the enterprise.	Intrapreneur operates within the enterprise.

Features of a cheque :
(i) Instrument in writing : A cheque or a bill or a promissory note must be an instrument in writing.Though the law does not prohibit a cheque being written in pencil, bankers never accept it because of risks involved.
(ii) Unconditional order : The instrument must contain an order to pay money.It is not necessary that the word 'order' or its equivalent must be used to make the document a cheque.
(iii) Drawn on a Specified Banker Only: The cheque is always drawn on a specified banker.A cheque vitally differs from a bill in this respect as latter can be drawn on any person including a banker.
(iv) A Certain Sum of Money Only : The order must be for payment of only money. If the banker is asked to deliver securities, the document cannot be called a cheque.Further, the sum ofmoney must be certain.
(v) Payee to be Certain : The cheque must be made payable to a certain person or to the order of a certain person or to the bearer of the instrument.The word, person includes bodies corporate, local authorities, associations, holders of office of an institution etc.
(vi) Signed by the Drawer : The cheque is to be signed by the drawer.Further, it should tally with specimen signature furnished to the bank at the time of opening the account.
 

(1) Existing Goods
(i) Specific Goods - Specific goods denote goods identified and agreed upon at the time of contract of sale.
(ii) Ascertained Goods - (a) The term ascertained goods is also used as similar in meaning to specific goods.
(b) But this term may even refer to goods which become ascertained subsequent to the formation of the contract.
(iii) Unascertained or Generic Goods - These are goods which are not identified and agreed upon at the time of contract of sale.
(2) Future Goods
These are goods which a seller does not possess at the time of contract of sale but which will be manufactured or produced or acquired by him after entering into the contract of sale agreement
(3) Contingent Goods
Contingent goods are the goods, the acquisition of which by the seller depends upon a contingency (an event which may or may not happen). Contingent goods are a part of future goods.

The significance of understanding business environment is as follows
(i) Helps in formulating strategy and future planning
(ii) Enables to identity the opportunities available
(iii) Environment scanning
(iv) Business aids
(v) Public image
Internal factors affecting business:
(a) Values system:
The values of the founder/owner of the business, percolates down to the entire organization and has a profound effect on the organisation.
(b) Vision and objectives:
The vision and objectives of a business guides its operations and strategic decisions.
(c) Management structure and nature:
The structure of management/board and their style of functioning, the level of professionalism of management and the composition of the board are the various factors which affects the decision making.
(d) Internal power relations:
This refers to the internal power relations that exist in an organisation.
(e) Human resources : 
The success of an enterprise is solely dependent on its manpower. Therefore the quality, skill competency, right attitude and commitment of its human resources is essential for the success of an organisation.
(f) Company image:
The image of an organisation plays an important role in introducing new products, selecting agents and dealers for distribution, forging alliances with suppliers, expanding and entering new markets both domestic and international, raising finance etc.

(i) Consumer is a broad label for any individuals or households that use goods and services produced within the economy.
(ii) Voluntary consumer organizations refer to the organisation formed voluntarily by the consumers to protect their rights and interests.
Functions :
(i) A wide network of Voluntary Consumer Organisation (VCO) is doing commendable work to raise awareness amongst consumers.
(ii) To strengthen consumer protection and welfare and to provide counselling, guidance and mediation services.
(iii) VCO's supported through CWF provides grants for diverse projects including comparative testing of products and services and dissemination of the findings
(iv) Steps have been taken to enhance transparency and to digitalize the governments interface with its citizens.

(i) Buying quality products at reasonable price :
(1) It is the responsibility of a consumer to purchase a product after gaining a thorough knowledge of its price, quality and other terms and conditions. 
(2) The consumer must have the knowledge about the quality from his own experiences or from the experiences of other persons who used product or by browsing the website.
(ii) Reading the label carefully :
(1) It is the duty of the consumer to thoroughly read the label of the product.
(2) It should have correct,complete and true information about the product.
(iii) Beware of false and attractive advertisements :
(1) Often the products are not as attractive as shown in the advertisement by the sellers.
(2) Hence, it is the prime duty of consumer not to get misled by such fraudulent advertisements.
(iv) Ensuring the receipt of cash bill :
(1) It is a legitimate duty of consumers to collect cash receipt and warranty card supplied along with bills.
(2) This will help them in seeking redressal for their grievances.
(v) Buying from reputed shops:
(1) It is advisable for the consumer to make purchase from reputed shops or government shops like super bazaar, cooperative stores, and others.
(vi) Never purchase from black market:
(1) The consumer should not buy things from black market and in excess of his requirements.
(2) At times of scarcity consumer should not resort to panic buying and stock things excessively.



 

Following are the objectives of consumer protection Act, 1986
(i) Protection of consumers against marketing of goods which are hazardous and dangerous to life and property of consumers.
(ii) Providing correct and complete information about quality, quantity, purity, price and standard of goods purchased by consumers.
(iii) Protecting consumers from unfair trade practices of traders.
(iv) Empowering consumers to seek redressal against exploitation.
(v) Educating the consumer of their rights and duties.
(vi) Ensuring better standard of living for consumers by providing them with quality products at fair price.

Guerrilla Marketing : 
(i) The concept of Guerrilla Marketing was invented as an unconventional system ofpromotions that relies on time, energy and
imagination rather than a big marketing budget.
(ii) Guerrilla marketing represents advertisement strategy to promote products/ services on streets or other
public places with monkey like shopping malls, parks beach etc.,
(iii) It is suited to small companies which cannot set apart big advertisement budget.
Multilevel Marketing
(i) Multilevel Marketing is the marketing strategy wherein the direct sales companies encourage its existing distributors to recruit new distributors to facilitate the sale of goods and services.
(ii) The distributor is compensated not only for the sales generated by him but also gets a percentage on sales revenue of the other distributor he recruits, thus; a multilevel marketing is a type of direct selling wherein the distributor sells the product via relationship referrals and word-of-mouth marketing.

(i) Barter System : The goods are exchanged against goods, without any other   medium of exchange, like money.
(ii) Production Orientation : This was a stage where producers, instead of       being concerned with the consumer preferences, concentrated on the mass production of goods for the purpose of profit.
(iii) Sales Orientation : The stage witnessed major changes in all the spheres of economic life. The selling became the dominant factor, without any efforts for the satisfaction of the consumer needs.
(iv) Marketing Orientation : Customer's importance was realised but only as a means of disposing of goods produced. Competition became more stiff.
(v) Consumer Orientation : Under this stage only such products are brought forward to the markets which are capable of satisfying the tastes, preferences and expectations of the consumers-consumer satisfaction.
(vi) Management Orientation: The marketing function assumes a managerial role to co-ordinate all interactions of business activities with the objective of planning, promoting and distributing and services to the present and potential customers.

S.No	Basis	On the Job training	Off the Job training
1l.	Meaning	The employee learns the job in the actual work environment	Off the job training involves the training of employees outside the actual work location
2.	Cost	It is cheapest to carryout	It requires expenses like separate training rooms,specialist, resources like projects.
3.	Location	At the work place	Away from the work place
4.	Suitable for	Generally imparted in case of manufacturing for production related iobs	Mostly imparted for managerial and non-production related jobs.
5	Approach	Practical approach	Theoretical approach
6.	Principle	Learning by performing	Learning by acquiring knowledge

(i) Links the employees with the potential employees.
(ii) Reduce the probability of leaving the organization onty after a short period of the once recruited and selected.
(iii) Increase organizational and individual effectiveness regarding application of various recruitment techniques and keeping different sources of recruitment concerned.
(iv) Determine the appropriateness of the candidates by identifying and preparing potential job applicants.
(v) Meet the organizations legal and social obligations maintaining its workface composition.
(vi) Increase potential candidates'pool at less cost.

The operating functions of HRM are as follows:
(i) Procurement:
Acquisition deals with job analysis, human resource planning, recruitment, selection, placement, transfer and promotion.
(ii) Development:
Development includes performance appraisal, training, executive development, career planning and development, organisational development.
(iii) Compensation :
It deals with job evaluation, wage and salary administration, incentives, bonus, fringe benefits and social security schemes.
(iv) Retention:
This is made possible through health and safety, welfare, social security, job satisfaction and quality of work life.
(v) Integration:
It is concerned with those activities that aim to bring about reconciliation between personal interest and organisational interest.
(vi) Maintenance:
This encourages employees to work with job satisfaction, reducing labour turnover, accounting for human resource and carrying out audit and research.

(i) The lack of paperwork enables quicker transactions and higher efficiency in trading
(ii) The risks pertaining to physical certificates like loss, theft, forgery and damage are eliminated completely with a DEMAT account.
(iii) Trading has become more convenient as one can trade through computers at any location, without the need of visiting a broker.
(iv) Certain banks also permit holding of both equity and debt securities in a single account.
(v) Banks also provide dedicated and trained customer care officers to assist through all the procedures.
(vi) One can also choose to take a loan against securities which are held in a DEMAT account by offering it as a collateral to the lender.

The stock exchanges rendered various services to the community, company and investors. They are as follows
(i) Benefits to the community :
(a) Economic development : It accelerates the economic development by ensuring steady flow of savings into productive purposes.
(b) Fund ralsmg platform : It enables the well managed, profit making companies to raise limitless funds by fresh issued of shares. from time to time.
(c) Tools to divert resources : Scarce resources are thus diverted to efficiently run enterprises for better utilisation.
(d) Capital Formation It encourages capital formation.
(e) Fund Raiser for Government
(a) It enables Government to raise funds for undertaking projects through sale of securities on the stock exchange.
(b) Thus stock exchange serves as a platform for raising public debt.
(ii) Benefit to the company:
(a) Enhances goodwill or reputation : Companies who shares are quoted on a stock exchange enjoy greater goodwill and credit standing.
(b) Wide market : There is a wide and ready market for such securities.
(c) Raises huge funds: Stock exchange can raise huge funds easily by issue of shares and debentures.
(d) Increases bargaining strength
Companies whose shares rise in the stock exchange command higher bargaining power in the event of further expansion, merger or amalgamation.
(iii) Benefit to investors:
(a) Liquidity: Stock exchange helps an investors to convert his shares into cash quickly and thus increases the liquidity of his investments.
(i) Adding collateral value of security
The fact that a security is dealt on a stock exchange makes it a good collateral security for obtaining loan from banks.
(iii) Investor protection
The stock exchange safeguards, investor's interest and ensures fair dealing by strictly enforcing its rules and regulations.
(iv) Assessing real worth of security.
An investor can easilý assess the real worth of securities in his hands, as market quotations are published daily in the newspapers and in websites.
(v) Mechanism to trade security
Stock Exchange provides a mechanism by which purchase and sale of listed securities take place in a matter of few minutes.

1. Treasury Bills
(i) Treasury bills are very popular and enjoy a higher degree of liquidity since they are issued by the Government
(ii) A Treasury bill is nothing but a promissory note issued for a specified period stated therein.
(iii) The Government promises to pay the specified amount mentioned therein to the bearer of the instrument on the due date. The period does not exceed a period of one year.
2. Certificate of Deposits
(i) Certificate of Deposits are short-term deposit instruments issued by banks and financial institutions to raise largl sums of money.
(ii) Certificate of Deposits are issued in the form of usance promissory notes.
(iii) They are easily convertible in nature and are in marketable form having particular face value and maturity.
3. Commercial Bills
(i) A bill of exchange issued by a commercial organization to raise money for short term needs.
(ii) These bills are of 30 days, 60 days and 90 days maturity.
(iii) The commercial bill is an instrument drawn by u seller of goods on a buyer of goods.
(iv) It possess the advantages like self-liquidity in nature, recourse to two parties, knowing exact date of transactions, transparency of transactions, etc.
4. Government or Gilt Edged securities Market
A market whereby the government or gilt-edged securities can be bought and sold is called 'Government Securities Market'.
Government securities are issued for the purposes of refunding the maturing securities, for advance refunding securities, which have not yet matured and for cash financing, (i.e.) raising fresh cash resources.

Following are the nature/characteristic of a capital market.
(i) Securities Market
The dealings in a capital market are done through the securities like shares, debentures, etc.The capital market is thus called securities market.
(ii) Price
The price of the securities is determined based on the demand and supply prevailing in the capital market for securities.
(iii) Participants
There are many players in the capital market.The participants of the capital market include individuals, corporate sectors, Govt., banks and other financial institutions.
(iv) Location
Capital market is not confined to certain specific locations, although it is true that parts of the market are concentrated in certain well-known centers known as Stock Exchanges. It has its impact in the overall economy, wherever suppliers and users of capital get together and do business.
(v) Market for Financial Assets
Capital market provides a transaction platform for long term financial assets.

Functions of management can be classified into two categories.
A. Main functions; and
B. Subsidiary functions.
A. Main functions:
(i) Planning:
(a) Planning is the primary function of management.
(b) Nothing can be performed without planning.
(c) E.g. Writing a book starts with planning.
(ii) Organising:
(a) Organising is the process of establishing harmonious relationship among the members of an organisation.
(b) Organsing function work is assigned to employees who are given authority to carry out the work assigned and made accountable for it.
(iii) Staffing:
(a) Staffing function comprises the activities of selection and placement of competent personnel.
(b) Staffing refers to placement of right persons in the right jobs.
(iv) Directing:
(a) Directing denotes motivating, leading, guiding and communicating with subordinates.
(b) Employees are kept informed of all necessary matters by circulars, instructions man uals, newsletters, notice-boards, meeting, participative mechanism, etc.
B. Subsidiary functions:
(i) Innovation:
(a) Innovation refers to the preparation of personnel and organisation to face the changes made in the business world.
(b) Innovation includes developing new material, new products, new techniques in production, new package, new design of a product and cost reduction.
(ii) Representation:
(a) A manager has to act as representative of a company.
(b) Manager has dealings with customers, suppliers, government officials, banks, financial institutions, trade unions, etc.
(c) It is the duty of every manager to have good relation with others.
(iii) Decision-making:
(a) Everyemployee of an organisation has to take a number of decisions everyday.
(b) Decision - making helps in the smooth functioning of an organisation.
(iv) Communication:
(a) Communication is the transmission of human thoughts, views or opinions from one person to another person.
(v) Workers are informed about what should be done, where it is to be done, how it is to be done and when it is to be done.

"Management is a multipurpose organ that manages a business and manages manager, and manages worker and work.- Peter F. Drucker: The Practice of Management.
Drucker stresses three jobs of management:
(i) Managing a business;
(ii) Managing manager; and
(iii) Managing workers and work.
Even if one is omitted, It would not have management anymore and it also would not have a business enterprise or an industrial society. According to P. Drucker, the manager has to balance and integrate the above mentioned three major jobs of a business enterprise.