Business Studies (Subject Code 054)

CLASS–XII (2025-26)

Theory: 80 Marks 3 Hours

Project: 20 Marks

Units Marks

Part A Principles and Functions of Management

1. Nature and Significance of Management 16

2 Principles of Management

3 Business Environment

4 Planning 14

5 Organising

6 Staffing 20

7 Directing

8 Controlling

Total 50

Part B Business Finance and Marketing

9 Financial Management 15

10 Financial Markets

11 Marketing Management 15

12 Consumer Protection

Total 30

Part C Project Work (One) 20

Part A: Principles and Functions of Management Unit 1:
Nature and Significance of Management

Concept After going through this unit, the

student/ learner would be able to:
Management - concept, objectives, and • Understand the concept of
importance management.
• Explain the meaning of
‘Effectiveness and Efficiency.
• Discuss the objectives of
management.
• Describe the importance of
management.
Management as Science, Art and • Examine the nature of management
Profession as a science, art and profession.

Levels of Management • Understand the role of top, middle

and lower levels of management
Management functions-planning, • Explain the functions of
organizing, staffing, directing and controlling management

Coordination- concept and importance • Discuss the concept and

characteristics of coordination.

• Explain the importance of

coordination.

Unit 2: Principles of Management

Principles of Management - concept and • Understand the concept of

significance principles of management.
• Explain the significance of
management principles.
Fayol’s principles of management • Discuss the principles of
management developed by Fayol.
Taylor’s Scientific management - principles • Explain the principles and
and techniques techniques of ‘Scientific
Management’.
• Compare the contributions of Fayol
and Taylor.
Unit 3: Business Environment

Business Environment- concept and • Understand the concept of

importance ‘Business Environment’.
• Describe the importance of
business environment
Dimensions of Business Environment - • Describe the various dimensions of
Economic, Social, Technological, Political ‘Business Environment’.
and Legal • Understand the concept of
demonetization
Demonetization - concept and features

Unit 4: Planning

Planning: Concept, importance and • Understand the concept of

limitation planning.
• Describe the importance of
planning.
• Understand the limitations of
planning.
Planning process • Describe the steps in the process of
planning.
Single use and Standing Plans. Objectives, • Develop an understanding of
Strategy, Policy, Procedure, Method, Rule, single use and standing plans
Budget and Programme • Describe objectives, policies,
strategy, procedure, method, rule,
budget and programme as types of
plans.

Unit 5: Organising

Organising: Concept and importance • Understand the concept of

organizing as a structure and as a
process.

• Explain the importance of

organising.
Organising Process • Describe the steps in the process of
organizing
Structure of organisation- functional and • Describe functional and divisional
divisional concept. structures of organisation. Explain
Formal and informal organization - concept • the advantages, disadvantages
and suitability of functional and
divisional structure.
 • Understand the concept of formal
and informal organisation.
• Discuss the advantages,
disadvantages of formal and
informal organisation.
Delegation: concept, elements and • Understand the concept of
importance delegation.
• Describe the elements of
delegation.
• Appreciate the importance of
Delegation.
Decentralization: concept and importance • Understand the concept of
decentralisation.
• Explain the importance of
decentralisation.
• Differentiate between delegation
and decentralisation.

Unit 6: Staffing

Staffing: Concept and importance of • Understand the concept of staffing.

staffing • Explain the importance of staffing
Staffing as a part of Human Resource • Understand the specialized duties
Management concept and activities performed by Human
Resource Management
Staffing process • Describe the steps in the process of
staffing
Recruitment process • Understand the meaning of
recruitment.
• Discuss the sources of recruitment.

• Explain the merits and demerits of

internal and external sources of
recruitment.
Selection – process • Understand the meaning of
selection.
• Describe the steps involved in the
process of selection.
Training and Development - Concept and • Understand the concept of training
importance, Methods of training - on the and development.
job and off the job - vestibule training, • Appreciate the importance of
apprenticeship training and internship training to the organisation and to
training the employees.
 • Discuss the meaning of induction
training, vestibule training,
apprenticeship training and
internship training.
• Differentiate between training and
development.
• Discuss on the job and off the job
methods of training.

Unit 7: Directing

Directing: Concept and importance • Describe the concept of directing.

• Discuss the importance of directing

Elements of Directing • Describe the various elements of

directing
Motivation - concept, Maslow’s hierarchy of • Understand the concept of
needs, Financial and non-financial motivation.
incentives • Develop an understanding of
Maslow’s Hierarchy of needs.
• Discuss the various financial and
non-financial incentives.
Leadership - concept, styles - authoritative, • Understand the concept of
democratic and laissez faire leadership.
• Understand the various styles of
leadership.
Communication - concept, formal and • Understand the concept of
informal communication; barriers to communication
effective communication, how to overcome • Understand the elements of the
the barriers? communication process.
• Discuss the concept of formal and
informal communication.
• Discuss the various barriers to
effective communication.
• Suggest measures to overcome
barriers to communication.

Unit 8: Controlling

Controlling - Concept and importance • Understand the concept of

controlling.
• Explain the importance of
controlling.
Relationship between planning and • Describe the relationship between
controlling planning and controlling
Steps in process of control • Discuss the steps in the process of
controlling.

Part B: Business Finance and Marketing

Unit 9: Financial Management

Financial Management: Concept, role and • Understand the concept of financial

objectives management.
• Explain the role of financial
management in an organisation.
• Discuss the objectives of financial
management
Financial decisions: investment, financing • Discuss the three financial
and dividend - Meaning and factors decisions and the factors affecting
affecting them.
Financial Planning - concept and • Describe the concept of financial
importance planning and its objectives.
• Explain the importance of financial
planning.
Capital Structure – concept and factors • Understand the concept of capital
affecting capital structure structure.
• Describe the factors determining
the choice of an appropriate capital
structure of a company.
Fixed and Working Capital - Concept and • Understand the concept of fixed
factors affecting their requirements and working capital.
• Describe the factors determining
the requirements of fixed and
working capital.

Unit 10: Financial Markets

Financial Markets: Concept • Understand the concept of financial

market.
Money Market: Concept • Understand the concept of money
market.
Capital market and its types (primary and • Discuss the concept of capital
secondary) market.
• Explain primary and secondary
markets as types of capital market.
• Differentiate between capital market
and money market.
• Distinguish between primary and
secondary markets.
Stock Exchange - Functions and trading • Give the meaning of a stock
procedure exchange.
• Explain the functions of a stock
exchange.
• Discuss the trading procedure in a
stock exchange.
• Give the meaning of depository
services and demat account as
used in the trading procedure of
securities.
Securities and Exchange Board of India • State the objectives of SEBI.
(SEBI) - objectives and functions • Explain the functions of SEBI.

Unit 11: Marketing

Marketing – Concept, functions and • Understand the concept of

philosophies marketing.
• Explain the features of marketing.

• Discuss the functions of marketing.

• Explain the marketing philosophies.

Marketing Mix – Concept and elements • Understand the concept of

marketing mix.
• Describe the elements of marketing
mix.
Product – branding, labelling and • Understand the concept of product
packaging – Concept as an element of marketing mix.
• Understand the concept of branding,
labelling and packaging.
Price - Concept, Factors determining price • Understand the concept of price as
an element of marketing mix.
• Describe the factors determining
price of a product.
Physical Distribution – concept, • Understand the concept of physical
components and channels of distribution distribution.
• Explain the components of physical
distribution.
• Describe the various channels of
distribution.
Promotion – Concept and elements; • Understand the concept of
Advertising, Personal Selling, Sales promotion as an element of
Promotion and Public Relations marketing mix.
• Describe the elements of promotion
mix.
 • Understand the concept of
advertising.
• Understand the concept of sales
promotion.
• Discuss the concept of public
relations.

Unit 12: Consumer Protection

Consumer Protection: Concept and • Understand the concept of

importance consumer protection.
• Describe the importance of

consumer protection.

• Discuss the scope of Consumer

Protection Act, 2019
The Consumer Protection Act, 2019: • Understand the concept of a
Source: consumer according to the
http://egazette.nic.in/WriteReadData/2019/210422.pdf Consumer Protection Act, 2019.
• • Explain the consumer rights
Meaning of consumer Understand the responsibilities of
Rights and responsibilities of consumers
• consumers
Who can file a complaint? Understand who can file a complaint
Redressal machinery
Remedies available • and against whom? Discuss the
legal redressal machinery under
Consumer Protection Act, 2019.

• Examine the remedies available to

the consumer under Consumer
Protection Act, 2019.
Consumer awareness - Role of consumer • Describe the role of consumer
organizations and Non-Governmental organizations and NGOs in
Organizations (NGOs) protecting consumers’ interests.

CLASS XII: GUIDELINES

Students are supposed to select one unit out of four and are required to make only ONE
project from the selected unit. (Consist of one project of 20 marks)

1. Help students to select any ONE Topic for the entire year.
2. The topic should be assigned after discussion with the students in the class and
should then be discussed at every stage of the submission of the project.

The teacher should play the role of a facilitator and should closely supervise the
process of project completion. The teachers must ensure that the project work
 assigned to the students whether individually or in group are discussed at different
stages right from assignment to drafts review and finalization. Students should be
facilitated in terms of providing relevant materials or suggesting websites, or
obtaining required permissions from business houses, malls etc for their project.
The periods assigned to the Project Work should be suitably spaced throughout
the academic session. The teachers MUST ensure that the student actually go
through the rigors and enjoy the process of doing the project rather than depending
on any readymade material available outside.

3. The students must make a presentation of the project before the class.
4. The teachers must ensure that the student’s self-esteem and creativity is
enhanced and both the teacher and the student enjoy this process.
5. The teachers should feel pride in the fact that they have explored the different
dimensions of the project in an innovative way and their students have put in
genuine work.

I. Project One: Elements of Business Environment

The teachers should help the students in selecting any one element of the following:

1. Changes witnessed over the last few years on mode of packaging and its economic
impact. The teacher may guide the students to identify the following changes:
a) The changes in transportation of fruits and vegetables such as cardboard crates being
used in place of wooden crates, etc. Reasons for above changes.
b) Milk being supplied in glass bottles, later in plastic bags and now in tetra-pack and
through vending machines.
c) Plastic furniture [doors and stools] gaining preference over wooden furniture.
d) The origin of cardboard and the various stages of changes and growth.
e) Brown paper bags packing to recycled paper bags to plastic bags and cloth bags.
f) Re use of packaging [bottles, jars and tins] to attract customers for their products.
g) The concept of pyramid packaging for milk.
h) Cost being borne by the consumer/manufacturer.
i) Packaging used as means of advertisements.

2. The reasons behind changes in the following:

Coca – Cola and Fanta in the seventies to Thums up and Campa Cola in the eighties to
Pepsi and Coke in nineties.
The teacher may guide the students to the times when India sold Coca Cola and Fanta
which were being manufactured in India by the foreign companies.

The students may be asked to enquire about

a) Reasons of stopping the manufacturing of the above mentioned drinks in India THEN.
b) The introduction of Thums up and Campa cola range.
c) Re entry of Coke and introduction of Pepsi in the Indian market.
d) Factors responsible for the change.
e) Other linkages with the above.
f) Leading brands and the company having the highest market share.
g) Different local brands venturing in the Indian market.
h) The rating of the above brands in the market.
i) The survival and reasons of failure in competition with the international brands.
j) Other observations made by the students

3. Changing role of the women in the past 25 years relating to joint families, nuclear
families, women as a bread earner of the family, changes in the requirement trend of
mixers, washing machines, micro wave and standard of living.
4. The changes in the pattern of import and export of different Products.
5. The trend in the changing interest rates and their effect on savings.
6. A study on child labour laws, its implementation and consequences. 7. The state of ‘anti
plastic campaign,’ the law, its effects and implementation.
8. The laws of mining /setting up of industries, rules and regulations, licences required
for running that business.
9. Social factors affecting acceptance and rejection of an identified product. (Dish
washer, Atta maker, etc)
10. What has the effect of change in environment on the types of goods and services?
The students can take examples like:
a) Washing machines, micro waves, mixers and grinder.
b) Need for crèche, day care centre for young and old.
c) Ready to eat food, eating food outside, and tiffin centres.
11. Change in the man-machine ratio with technological advances resulting in change of
cost structure.
12. Effect of changes in technological environment on the behaviour of employee.

II. Project Two: Principles of Management

The students are required to visit any one of the following:
1. A departmental store.
2. An Industrial unit.
3. A fast food outlet.
4. Any other organisation approved by the teacher.
They are required to observe the application of the general Principles of management
advocated by Fayol.

Fayol’s principles
1. Division of work.
2. Unity of command.
3. Unity of direction.
4. Scalar chain
5. Espirit de corps 6. Fair remuneration to all.
7. Order.
8. Equity.
9. Discipline
10. Subordination of individual interest to general interest.
11. Initiative.
12. Centralisation and decentralisation.
13. Stability of tenure.
14. Authority and Responsibility

OR

They may enquire into the application of scientific management techniques by F.W. Taylor
in the unit visited.

Scientific techniques of management.

1. Functional foremanship.
2. Standardisation and simplification of work.
3. Method study.
4. Motion Study.
5. Time Study.
6. Fatigue Study
7. Differential piece rate plan.

Tips to teacher
(i) The teacher may organize this visit.
(ii) The teacher should facilitate the students to identify any unit of their choice and guide
them to identify the principles that are being followed.
(iii) Similarly they should guide the students to identify the techniques of scientific
management implemented in the organisation.
(iv) It may be done as a group activity.
(v) The observations could be on the basis of
The different stages of division of work resulting to specialisation.
Following instructions and accountability of subordinates to higher authorities.
Visibility of order and equity in the unit. Balance
of authority and responsibility.
Communication levels and pattern in the organisation.
Methods and techniques followed by the organisation for unity of direction and
coordination amongst all.
Methods of wage payments followed. The arrangements of fatigue study.
Derivation of time study.
Derivation and advantages of method study.
Organisational chart of functional foremanship.
Any other identified in the organisation vi. It is advised that students should be
motivated to pick up different areas of visit. As presentations of different areas in the class
would help in better understanding to the other students.
vii. The students may be encouraged to develop worksheets. Teachers should help
students to prepare observation tools to be used for undertaking the project. Examples;
worksheets, questionnaire, interviews and organisational chart etc.

III. Project Three: Stock Exchange

The purpose of this project is to teach school students the values of investing and utilising
the stock market. This project also teaches important lessons about the economy,
mathematics and financial responsibility.
The basis of this project is to learn about the stock market while investing a specified
amount of fake money in certain stocks. Students then study the results and buy and sell
as they see fit.

This project will also guide the students and provide them with the supplies necessary to
successfully monitor stock market trends and will teach students how to calculate profit
and loss on stock.

The project work will enable the students to: understand the topics like sources of
business finance and capital market understand the concepts used in
stock exchange
inculcate the habit of watching business channels, reading business
journals/newspapers and seeking information from their elders.

The students are expected to:

a) Develop a brief report on History of Stock Exchanges in India. (your country)
b) Prepare a list of at least 25 companies listed on a Stock Exchange.
c) To make an imaginary portfolio totalling a sum of Rs. 50,000 equally in any of the 5
companies of their choice listed above over a period of twenty working days.

The students may be required to report the prices of the stocks on daily basis and present
it diagrammatically on the graph paper.
They will understand the weekly holidays and the holidays under the Negotiable
Instruments Act.
They will also come across with terms like closing prices, opening prices, etc.
During this period of recording students are supposed to distinctively record
the daily and starting and closing prices of the week other days under the
negotiable instrument act so that they acquire knowledge about closing and
opening prices.
The students may conclude by identifying the causes in the fluctuations
of prices. Normally it would be related to the front page news of the a
business journal, for example, Change of seasons. Festivals.
Spread of epidemic.
Strikes and accidents
Natural and human disasters.
Political environment.
Lack of faith in the government policies.
Impact of changes in government policies for specific industry.
International events.
Contract and treaties at the international scene.
Relations with the neighbouring countries.
Crisis in developed countries, etc.

The students are expected to find the value of their investments and accordingly
rearrange their portfolio. The project work should cover the following aspects; 1.
Graphical presentation of the share prices of different companies on different dates. 2.
Change in market value of shares due to change of seasons, festivals, natural and
human disasters.
3. Change in market value of shares due to change in political environment/ policies
of various countries/crisis in developed countries or any other reasons
4. Identify the top ten companies out of the 25 selected on the basis of their market
value of shares.
It does not matter if they have made profits or losses.

IV. Project Four: Marketing

1. Adhesives 20. Cutlery
2. Air conditioners 21. Cycle
3. Baby diapers 22. DTH
4. Bathing Soap 23. Eraser
5. Bathroom cleaner 24. e-wash
6. Bike 25. Fairness cream
7. Blanket 26. Fans
8. Body Spray 27. Fruit candy
9. Bread 28. Furniture
10. Breakfast cereal 29. Hair Dye
11. Butter 30. Hair Oil
12. Camera 31. Infant dress
13. Car 32. Inverter
14. Cheese spreads 33. Jams
15. Chocolate 34. Jeans
16. Coffee 35. Jewellery
17. Cosmetology product 36. Kurti
18. Crayons 37. Ladies bag
19. Crockery 38. Ladies footwear
39. Learning Toys
40. Lipstick 59. Sarees
41. Microwave oven 60. Sauces/
42. Mixers Ketchup
43. Mobile 61. Shampoo
44. Moisturizer 62. Shaving
45. Music player cream
46. Nail polish 63. Shoe
47. Newspaper polish
48. Noodles 64. Shoes
49. Pen 65. Squashes
50. Pen drive 66. Suitcase/
51. Pencil airbag
52. Pickles 67. Sunglasse
53. Razor s
54. Ready Soups 68. Tea
55. Refrigerator 69. Tiffin
56. RO system Wallah
57. Roasted snacks 70. Toothpaste
58. Salt 71. Wallet
72. Washing
Any more as suggested by the teacher. detergent
 73. Washing machine 77. Wipes
74. Washing powder
75. Water bottle
76. Water storage tank
The teacher must ensure that the identified product should not be items whose
consumption/use is discouraged by the society and government like alcohol products/pan
masala and tobacco products, etc.

Identify one product/service from the above which the students may like to
manufacture/provide [pre-assumption].

Now the students are required to make a project on the identified product/service keeping
in mind the following:
1. Why have they selected this product/service?
2. Find out ‘5’ competitive brands that exist in the market.
3. What permission and licences would be required to make the product?
4. What are your competitors Unique Selling Proposition.[U.S.P.]?
5. Does your product have any range give details?
6. What is the name of your product?
7. Enlist its features. 8. Draw the ‘Label’ of your product.
9. Draw a logo for your product.
10. Draft a tag line. 11. What is the selling price of your competitor’s
product?
(i) Selling price to consumer
(ii) Selling price to retailer
(iii) Selling price to wholesaler

What is the profit margin in percentage to the Manufacturer.

Wholesaler.
Retailer.
12. How will your product be packaged?
13. Which channel of distribution are you going to use? Give reasons for selection?
14. Decisions related to warehousing, state reasons.
15. What is going to be your selling price?
(i) To consumer
(ii) To retailer
(iii) To wholesaler
16. List 5 ways of promoting your product.
17. Any schemes for
(i) The wholesaler
(ii) The retailer
(iii) The consumer 18. What is going to be your ‘U.S.P?
19. What means of transport you will use and why?
20. Draft a social message for your label.
21. What cost effective techniques will you follow for your product.
22. What cost effective techniques will you follow for your promotion plan.
At this stage the students will realise the importance of the concept of marketing mix and
the necessary decision regarding the four P’s of marketing.
 Product
Place
Price
Promotion

On the basis of the work done by the students the project report should include the
following:
1. Type of product /service identified and the (consumer/industries) process involve there
in.
2. Brand name and the product.
3. Range of the product.
4. Identification mark or logo.
5. Tagline.
6. Labeling and packaging.
7. Price of the product and basis of price fixation.
8. Selected channels of distribution and reasons thereof.
9. Decisions related to transportation and warehousing. State reasons.
10. Promotional techniques used and starting reasons for deciding the particular
technique.
11. Grading and standardization.

Presentation and Submission of Project Report

At the end of the stipulated term, each student will prepare and submit his/her project
report.

Following essentials are required to be fulfilled for its preparation and submission.
1. The total length of the project will be of 25 to 30 pages.
2. The project should be handwritten.
3. The project should be presented in a neat folder.
4. The project report should be developed in the following sequence-
Cover page should include the title of the Project, student information, school
and year.
List of contents.
Acknowledgements and preface (acknowledging the institution, the places
visited and the persons who have helped).
Introduction.
Topic with suitable heading.
Planning and activities done during the project, if any.
Observations and findings of the visit.
Conclusions (summarized suggestions or findings, future scope of
study). Photographs (if any). Appendix
Teacher’s observation.
Signatures of the teachers.
At the completion of the evaluation of the project, it should be punched in the
centre so that the report may not be reused but is available for reference only.
The project will be returned after evaluation. The school may keep the best
projects.
 ASSESSMENT
Allocation of Marks = 20 Marks

The marks will be allocated under the following heads:

1 Initiative, cooperativeness and participation 2 Mark

2 Creativity in presentation 2 Mark
3 Content, observation and research work 4 Marks
4 Analysis of situations 4 Marks
5 Viva 8 Marks
Total 20 Marks