The evolution of business can be described as:

  1. Handicraft Stage


  2. Guild System
  3. Domestic system
  4. Industrial revolution
  5. Present stage


    Handicraft stage
    The handicraft stage was the beginning stage of industrial evolution. In this stage, manufacturing was limited to the human efforts to transform raw materials into finished goods. Local resources were the major source of raw materials. Products were exchanged with product and market was starting to develop. Capital invested was minimized.

     

    Guild System
    It was the beginning of organized activities. There were two guilds, namely: merchant guild and craft guild. Merchant guildswas the association of merchants. It tries to regulate their business and standardize their products. Likewise,  the craft guild was the association of skilled craftsmen who tried to maintain the quality and quantity of production. Organized groups of traders, craftsmen, artisans used to collect various resources from the local areas and produced goods using them.

     

     Domestic System
    The concept of guilds was gradually declined and the industrial system is being started. Crafts men were not able to fulfill the unlimited and increasing wants of people by using the limited resource. People were employed and were paid according to the units of goods produced. However, salary was very low because the value of money was much higher at that time.



     Industrial Revolution
    Industrial revolution refers to the drastic changes made in the field of production  and began with the replacement of the old system.  The major inventions and discoveries of this stage were stream engine, wave the machine, textile the machine, standardization of products, development of capitalism etc. There were numerous job opportunities. Salary was increased and quality was maintained.

    Present Stage
    Today's modern age  with industrialization, use of technology, computerization, modernization and automation have resulted in standardization, quality control, searching market and etc. The scientific invention and discoveries have brought many changes in industrial production distribution. There are a huge number of industries producing a large number of goods to meet a large amount of needs and wants by providing many jobs and salaries.



Commerce includes all those activities, which are concerned with the distribution of goods and services. The concept of commerce was developed gradually when people started to live in the river, bank and engaged in agriculture farming.   It has passed through a number of stages to reach the present level.  Following are the stages in the evolution of commerce:

  1. Self-sufficient Economy;
  2. Primitive Barter system
  3. Money economy
  4. Town economy
  5. National economy
  6. International economy


    1. Self-sufficient economy
    At the beginning stage of commerce, people were self-dependent and  there were no surplus to be exchanged.  The production of goods was only to satisfy one’s need.


    2. Primitive Barter system
    Primitive barter system is the real beginning of commerce.   People came to know that man is skillful in producing a few commodities. So, at this stage people started producing an excess of their needs what they could produce.  Those people who need the product used to buy the product by paying money. As the result of this rapid development change in commerce has come.

    3. Money economy
    Money as the medium of exchange has played the significant role in the development of a business. That’s why money was originated. People developed coins but there was difficulty in large payment. So paper money was introduced. Those people who need the product used to buy the product by paying money. After the origin of money, national and international trade started.

    4. Town economy
     Money as the medium of exchange has played the significant role in the development of a business. At this stage, people were used to purchasing the product from different produce and brought them to specific place call row..The development of communication strain deportation facilities has brought many changes in a promotion of business. The town became the center of commercial activity.

     5. National Economy
    In this stage, buying and selling of goods and services were done within the country. The gradual development of production and distribution lead to expansion to expansion and growth of a business. The division of work and specialization helped producers to concentrate on few products only. There was also development in banking, advertising, insurance, warehouse, and other auxiliaries,

    6. International economy
    The mass development of industry has led to the development of commerce at international level.  It is not possible for a country to produce all demanded goods according to needs and wants. Therefore the countries started to import the goods and other countries exported. Communication, net facilities, and modern transportation mean like road, seas, air transportation has played an important role in the development of an international economy.

The  stages of evolution of industry are:

  1. Handicraft Stage


  2. Guild System
  3. Domestic system
  4. Industrial revolution
  5. Present stage


The stages of evolution of commerce are:

  1. Self-sufficient Economy;
  2. Primitive Barter system
  3. Money economy
  4. Town economy
  5. National economy
  6. International economy

Evolution of Industry

The historical development of business and its processes of development up to now is called the evolution of business. The development of Industry can be started through five stages such as handicraft, an age of guild, domestic system, the industrial revolution and present stage. The evolution of business can be described as:

  1. Handicraft Stage


  2. Guild System
  3. Domestic system
  4. Industrial revolution
  5. Present stage


Handicraft stage
The handicraft stage was the beginning stage of industrial evolution. In this stage, manufacturing was limited to the human efforts to transform raw materials into finished goods. Local resources were the major source of raw materials. Products were exchanged with product and market was starting to develop. Capital invested was minimized.

 

Guild System
It was the beginning of organized activities. There were two guilds, namely: merchant guild and craft guild. Merchantguildswas the association of merchants. It tries to regulate their business and standardize their products. Likewise,  the craft guild was the association of skilled craftsmen who tried to maintain the quality and quantity of production. Organized groups of traders, craftsmen, artisans used to collect various resources from the local areas and produced goods using them.

 

 Domestic System
The concept of guilds was gradually declined and the industrial system is being started. Crafts men were not able to fulfill the unlimited and increasing wants of people by using the limited resource. People were employed and were paid according to the units of goods produced. However, the salary was very low because the value of money was much higher at that time.



 Industrial Revolution

Industrial revolution refers to the drastic changes made in the field of production  and began with the replacement of the old system.  The major inventions and discoveries of this stage were stream engine, wave the machine, textile the machine, standardization of products, development of capitalism etc. There were numerous job opportunities. Salary was increased and quality was maintained.

Present Stage
Today's modern age  with industrialization, use of technology, computerization, modernization and automation have resulted in standardization, quality control, searching market and etc. The scientific invention and discoveries have brought many changes in industrial production distribution. There are a huge number of industries producing a large number of goods to meet a large amount of needs and wants by providing many jobs and salaries.

  

Evolution of commerce

It is related to the distribution and exchange of goods and services. It is related with transportation, communication, Banking, warehousing port export, trade and so on.

The concept of commerce was developed gradually when people started to live in the river, bank and engaged in agriculture farming.   It has passed through a number of stages to reach the present level.  Following are the stages in the evolution of commerce:

  1. Self-sufficient Economy;
  2. Primitive Barter system
  3. Money economy
  4. Town economy
  5. National economy
  6. International economy


    1. Self-sufficient economy
    At the beginning stage of commerce, people were self-dependent and  there were no surplus to be exchanged.  The production of goods was only to satisfy one’s need.


    2. Primitive Barter system
    Primitive barter system is the real beginning of commerce.   People came to know that man is skillful in producing a few commodities. So, at this stage people started producing an excess of their needs what they could produce.  Those people who need the product used to buy the product by paying money. As the result of this rapid development change in commerce has come.

    3. Money economy
    Money as the medium of exchange has played the significant role in the development of a business. That’s why money was originated. People developed coins but there was difficulty in large payment. So paper money was introduced. Those people who need the product used to buy the product by paying money. After the origin of money, national and international trade started.

    4. Town economy
     Money as the medium of exchange has played the significant role in the development of a business. At this stage, people were used to purchasing the product from different produce and brought them to specific place call row..The development of communication strain deportation facilities has brought many changes in a promotion of business. The town became the center of commercial activity.

     5. National Economy
    In this stage, buying and selling of goods and services were done within the country. The gradual development of production and distribution lead to expansion to expansion and growth of a business. The division of work and specialization helped producers to concentrate on few products only. There was also development in banking, advertising, insurance, warehouse, and other auxiliaries,

    6. International economy
    The mass development of industry has led to the development of commerce at international level.  It is not possible for a country to produce all demanded goods according to needs and wants. Therefore the countries started to import the goods and other countries exported. Communication, net facilities, and modern transportation mean like road, seas, air transportation has played an important role in the development of an international economy.