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Class 12 Business Studies



The formal commerce education of Business Studies in CBSE is provided after Class 10th i.e. at Senior Secondary Education level.


These subjects are taught in such a manner that students have a good understanding of the principles and practices of business (trade and industry) as well as its relationship with the society in which it operates.


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 which is provided in CBSE Business Studies Syllabus.


Globalisation has changed the way organizations work and Information Technology has become an imperative part of business operations.

Computerised systems are capturing the scene and E-business and other related concepts are picking up faster than ever and that is why it has to be emphasized in Business studies class 11th and 12th syllabus.


This course prepares students to analyse, manage, evaluate and respond to changes which affect business, be it social changes, political changes, legal changes or economic changes. Thus it helps students to understand that business is an integral component of society and helps them develop an understanding of many social and ethical issues.


Thus, to acquire basic knowledge of the business world, a course in Business Studies is more than useful. Keeping all these things in mind Business Studies Syllabus is designed.



  • An understanding of the processes of business and its environment.
  • An interest in the theory and practice of business, trade and industry.
  • Appropriate Business attitude and skills among students to pursue higher education, world of work including self-employment.


  • The dynamic nature and inter-dependent aspects of business
  • The practice of managing the operations and resources of business
  • Theoretical foundations of the process of organizing and managing the operations of a business firm.


  • To appreciate the economic and social significance of business activity and the social cost and benefits arising there from.
  • To act more effectively and responsibly as consumers, employers, employees and citizens.

DETAILED SYLLABUS (Click on the links for study materials of those topics)

Unit/Chapters Topics Sub Topics
PART A – Principles and Functions of management
1. Nature and Significance of Management Management- An Introduction Concepts, objectives and Importance
Nature of Management Management as Art, Science and Profession
Levels of Management Levels of Management- Top level, Middle level and Lower level
Functions of management Planning, organizing, staffing, directing and controlling
Coordination Coordination-Concept and Importance.
2.Principles of Management Principles of Management -An Introduction Comparative study of Taylor and Fayol’s Principle.
Scientific Management- Principle and Techniques Concept, Principles and Techniques of Scientific Management.
Comparitive study of the Contribution of Taylor and Fayol
3.Management and Business Environment Business Environment- An Introduction Concept and Importance of Business Environment.
Components versus Dimensions of Business Environment.
Managerial response to the changes in Business Environment
4. Planning Planning-An Introduction Concept, Importance and Limitations.
Steps in the Planning Process
Types of Plan – Single Use Plan and Standing Plan. Standing Plans- Objectives,Policy, Strategy,Policy,Method,Rule.
5.Organising Organising- An Introduction Concept, Importance and Steps in Organising Process.
Formal and Informal Organisation Concept, Advantages and Limitations.
Functional and Divisional Structure of Organisation Concept, Advantages, Limitations and Suitability.
Delegation of Authority. Concept and Elements of deligation.
Can Accountability be Delgated?
Division of labour is the Basis of Delegation of Authority.
Steps in Delegation Process.
Importance of Delegation.
Decentralisation Concept  and Importance of Decentralisation.
Difference between Delegation and Decentralisation
6.Staffing Staffing-An Introduction Concept and Importance of Human Resource Management.
Staffing as a Part of Human Resource Management.
Staffing as Line as well as Staff Activity.
Recruitment- Meaning and Sources of Recruitment.
Selection- Meaning and Process
Training and Development- Concept and Importance
7. Directing Directing- Importance and Elements
Supervision- Concept and Functions
Recruitment Meaning and Steps in Selection Process.
Selection Meaning Sources of Recruitment.
Merits and Demerits of Various Sources.
Training and Development Concept and Importance of Training.
On-the-job and Off-the-job methods of Training.
Induction,Internship,Training,beastable training
Difference between training and development
7.Directing Concept and its Importance.Elements of Directing. Concept Importance of Elements
Supervision Concept and Functions performed by supervisor.
Motivation Concept and Maslow’s Hierarchy of needs.
Financial and Non-Financial Incentives.
Leadership Concept and Styles of Leadership.
Communication Concept of Communication
Steps in Communication process.
Merits and Demerits of Formal Communication.
Merits and Demerits of Informal Communication.
Barriers to effective communication.
Measures to overcome barriers to communication.
8. Controlling Controlling- An Introduction Concept and its Importance.
Relationship between Planning and Controlling
Steps in the Controlling Process
PART B – Business Finance and Marketing
9.Financial Management Financial Management Concept, Role and its Objectives.
Financial Decisions Concept and Factors affecting Financial Decisions.
Financial Planning Concept, Objectives and its Importance
Capital Structure Concept and Determinants of Capital Structure.
Fixed and Working Capital Concept and its Determinants.
10.Financial Market Financial Market Concept Functions and Types
Money Market Concept and its Instruments.
Capital Market Concept and types of capital market.
Methods of Floating.
New issues in the primary market.
Difference between Capital Market and Money Market.
Difference between Primary Market and Secondary Market.
Stock Exchange Meaning and Functions.
Trading Procedures on stock exchange.
Depository services and DEMAT Account.
SEBI Objectives and its Functions.
11.Marketing Management Selling and Marketing Concept and Features of Marketing.
Functions of marketing.
Difference between Marketing and Selling.
Marketing Management Concept and Philosophies.
Marketing Mix Product- Concept, Branding, Labeling and Packaging.Price- Concept and Factors determining price.

Physical Distribution- Concept and its components.
Channels of Distribution (types, choice of channels).

Promotion- Concept and its Elements:
(I) Advertising- Concept, Role, Objections against advertising.
(ii)Personal selling- Concept and Qualities of good salesman.
(iii)Sales Promotion-Concept and Techniques.
(iv)Public Relations- Concept and its role.

12.Consumer Protection Consumer Protection- Introduction Concept and Importance
Consumer Protection Act, 1986 Concept of Consumer
Consumer Rights
Consumer responsibilities
Who can file a complaint and against whom?
Legal redressal machinery
Remedies available to the consumer
Consumer Awareness Role of consumer organisation and NGO’s in protecting consumers interest.
13. Project Work Students are supposed to select 2 units out of 4 and are required to make 1 project from each selected unit. Four Units on which project can be made
1. Elements of Business Environment
2. Principle of Management
3. Stock Exchange
4. Marketing Management