CBSE-2021 Syllabus for Business Studies Classes XI and XII

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The courses in Business Studies andAccountancy are introduced at + 2 stage of Senior Secondary Education as formal commerce education is provided after first ten years of schooling. Therefore, it becomes necessary that instructions in these subjects are given in such a manner that students have a good understanding of the principles and practices bearing in business (trade and industry) as well as their relationship with the society.

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. Globalisation has changed the way organizations transact their business.

Information Technology is becoming a part of business operations in more and more organisations. Computerised systems are fast replacing other systems. E-business and other related concepts are picking up fast which need to be emphasized in the curriculum.

The course in Business Studies will prepare students to analyse, manage, evaluate and respond to changes which affect business. It provides a way of looking at and interacting with the business environment. It recognizes the fact that business influences and is influenced by social, political, legal and economic forces. It allows students to appreciate that business is an integral component of society and develops an understanding of many social and ethical issues.

Therefore, to acquire basic knowledge of the business world, a course in Business Studies would be useful. It also informs students of a range of study and work options and bridges the gap between school and work.


  • To develop students with an understanding of the processes of business and its environment
  • To acquaint students with the dynamic nature and inter-dependent aspects of business
  • To develop an interest in the theory and practice of business, trade and industry
  • To familiarize students with theoretical foundations of the process of organizing and managing the operations of a business firm
  • To help students appreciate the economic and social significance of business activityand the social cost and benefits arising there from:
  • To acquaint students with the practice of managing the operations and resources of business
  • To enable students to act more effectively and responsibly as consumers, employers, employees and citizens
  • To develop in students a business attitude and skills.
  • To inculcate appropriate attitude and develop skills among students to pursue higher education, world of work including self employment.

Business Studies Syllabus of Class XI

One paper 3 Hours and 100 Marks

Part a: Foundations of Business

Nature and Purpose of Business20 Periods8 Marks
Forms of Business Organisations24 Periods12 Marks
Public, Private and Global Enterprises20 Periods08 Marks
Business Services18 Periods10 Marks
Emerging Modes of Business10 Periods6 Marks
Social Responsibility of Business and Business Ethics12 Periods6 Marks
total104 Periods50 Marks

Part B: Finance and Trade

Sources of business finance28 Periods14 Marks
Small Business14 Periods06 Marks
Internal Trade28 Periods12 Marks
International Business12 Periods08 Marks
Project Work22 Periods10 Marks
Total104 Periods50 Marks

A Part: Foundations of Business- (Periods 104)

Unit 1: Nature and Purpose of Business: 20 Periods

  • Concept and characteristics of business.
  • Business, profession and employment-distinctive features.
  • Objectives of business-economic and social, role of profit in business
  • Classification of business activities: Industry and Commerce.
  • Industry-types: Primary, secondary, tertiary.
  • Commerce-trade: Types (internal, external, wholesale and retail) ; and auxiliaries to trade: Banking, insurance, transportation, warehousing, communication, and advertising.
  • Business risks-nature and causes.

Unit 2: Forms of Business Organisations- (Periods 24)

  • Sole Proprietorship-meaning, features, merits and limitations.
  • Partnership-Features, types, merits and limitations of partnership and partners, registration of a partnership firm, partnership deed. Type of partners. Hindu Undivided Family Business: Features. Cooperative Societies-features, types, merits and limitations.
  • Company: Private and public company-features, merits and limitations. Formation of a company-stages. Starting a business-basic factors.

Public, Private & Global Enterprises- (Periods 20)

  • Private sector and public sector enterprises.
  • Forms of public sector enterprises: Features, merits and limitations of departmental undertakings, statutory corporation and Government Company.
  • Changing role of public sector enterprises.
  • Global enterprises, Joint ventures, Public Private Partnership-features

Unit 4: Business Services- (Periods 18)

  • Banking: Types of bank accounts-savings, current, recurring, fixed deposit and multiple option deposit account.
  • Banking services with particular reference to issue of bank draft, banker՚s cheque (Pay order) , RTGS (Real Time Gross Settlement) NEFT (National Electronic Funds Transfer) , bank overdraft, cash credits and e-banking.
  • Insurance: Principles, concept of life, health, fire and marine insurance.
  • Postal and telecom services: Mail (UPC, registered post, parcel, speed post and courier) and other services.

Unit 5: Emerging Modes of Business- (Periods 10)

  • E-Business-scope and benefits, resources required for successful e-business implementation, online transactions, payment mechanism, security and safety of business transactions.
  • Outsourcing-concept, need and scope of BPO (business process outsourcing) and KPO (knowledge process outsourcing) .

Unit 6: Social Responsibility of Business and Business Ethics (Periods 12)

  • Concept of social responsibility.
  • Case for social responsibility.
  • Responsibility towards owners, investors, consumers, employees, government and community.
  • Environment protection and business.
  • Business ethics and elements.

Part B: Finance and Trade (Periods 104)

Unit 7: Sources of Business Finance- (Periods 28)

  • Concept of business finance.
  • Owner՚s funds-equity shares, preference shares, GDR, ADR & IDR and retained earnings.
  • Borrowed funds-debentures and bonds, loan from financial institutions, loans from commercial banks, public deposits, trade credit, ICD (inter corporate deposits) .

Unit 8: Small Business (Periods 14)

  • Small scale enterprise as defined by MSMED Act 2006 (Micro, Small and Medium Enterprise DevelopmentAct)
  • Role of small business in India with special reference to Rural Areas
  • Government schemes and agencies for small scale industries: NSIC (National Small industries Corporation) and DIC (District Industrial Center) with special reference to rural, backward & hilly areas.

Unit 9: International Trade- (Periods 28)

  • Services rendered by a wholesaler and a retailer
  • Types of retail trade-itinerant and small scale fixed shops
  • Large scale retailers-departmental stores, chain stores, mail order business.
  • Concept of automatic vending machine.
  • Chambers of Commerce and Industry: Basic functions
  • Main documents used in internal trade: Performa invoice, invoice, debit note, credit note, LR (Lorry Receipt) and RR (Railway Receipt)
  • Terms of Trade: COD (Cash on Delivery) , FOB (Free on Board) , CIF (Cost, Insurance and Freight) , E&OE (Errors and Omissions Excepted)

Unit 10: International- (Periods 12)

  • Concept and problems of international trade.
  • Export import procedure and documents.
  • Role of WTO

Class XII

One Paper 3 Hours and 100 Marks

Part a: Principles and Functions of Management-Introduction to Management

Principles of Management12 Periods6 Marks
Business Environment10 Periods5 Marks
Planning12 Periods6 Marks
Organizing16 Periods8 Marks
Staffing14 Periods6 Marks
Directing16 Periods8 Marks
Controlling14 Periods6 Marks
total104 Periods50 Marks

Part B: Business Finance and Marketing

Financial Management22 Periods12 Marks
Financial Management20 Periods8 Marks
Financial Management30 Periods14 Marks
Financial Management16 Periods6 Marks
Part C: Project16 Periods10 Marks
total104 Periods50 Marks

Part a: Principles and Functions of Management

Unit I: Nature and Significance of Management- (Periods 12)

  • Management-concept, objectives and importance
  • Management as Science, Art and Profession.
  • Levels of management
  • Management functions-planning, organising, staffing, directing and controlling.
  • Coordination-concept, characteristics and importance.

Unit 2: Principles of Management- (Periods 12)

  • Principles of Management-concept, nature and significance
  • Fayol՚s principles of management
  • Taylor՚s Scientific Management-principles and techniques

Unit 3: Management and Business Environment (Periods 10)

  • Business Environment-concept and importance
  • Dimensions of Business Environment-Economic, Social, Technological, Political and Legal
  • Impact of Government policy changes on business with special reference to liberalization, privatization and globalisation in India.

Unit 4: Planning (Periods 12)

  • Concept, importance and limitations
  • Planning process
  • Single use and Standing Plans-Objectives, Strategy, Policy, Procedure, Method, Rule, Budget and Programme.

Unit 5: Organising (Periods 16)

  • Concept and importance.
  • Organizing Process.
  • Structure of organization-functional and divisional.
  • Formal and informal organization.
  • Delegation: Concept, elements and importance.
  • Decentralization: Concept and importance.

Unit 6: Staffing (Periods 14)

  • Concept and importance of staffing
  • Staffing as a part of Human Resource Management
  • Staffing process:
  • Recruitment-sources
  • Selection-process
  • Training and Development-Concept and importance. Methods of training-on the job and off the job-Induction training, vestibule training, apprenticeship training and internship training.

Unit 7: Directing (Periods 16)

  • Concept and importance
  • Elements of Directing
  • Supervision-concept, functions of a supervisor.
  • Motivation-concept, Maslow՚s hierarchy of needs; Financial and non-financial incentives.
  • Leadership-concept, styles-authoritative, democratic and laissen faire.
  • Communication-concept, formal and informal communication; barriers to effective communication, how to overcome the barriers.

Unit 8: Controlling (Periods 14)

  • Concept, nature and importance
  • Relationship between planning and controlling
  • Steps in the process of control

Part B: Business Finance and Marketing

Unit 9: Financial Management (Periods 22)

  • Concept and objectives of financial management.
  • Financial decisions: Investment, financing and dividend and factors affecting.
  • Financial planning-concept and importance.
  • Capital Structure-concept and factors affecting.
  • Fixed and Working Capital-concept and factors affecting their requirements.

Unit 10: Financial Markets (Periods 20)

  • Financial Markets: Concept and types.
  • Money market and its instruments.
  • Capital market and its types (primary and secondary) .
  • Stock Exchange-functions and training procedure. Depository Services and d ′ mat Account.
  • Securities and Exchange Board of India (SEBI) -objectives and functions.

Unit 11: Marketing Management (Periods 30)

  • Marketing-concept and functions.
  • Marketing management philosophies.
  • Marketing Mix-concept
  • Product-concept, branding, labeling and packaging.
  • Price-factors determining price.
  • Physical distribution-concept, channels of distribution: Types, choice of channels.
  • Promotion-concept and elements; advertising-concept, role, objections against advertising, personal selling-concept and qualities of a good salesman, sales promotion-concept and techniques, public relations-concept and role.

Unit 12: Consumer Protection (Periods 16)

  • Concept and importance of consumer protection.
  • Consumer Protection Act 1986
  • Meaning of consumer and consumer protection.
  • Rights and responsibilities of consumers
  • Who can file a complaint and against whom?
  • Redressal machinery.
  • Remedies available.
  • Consumer awareness-Role of consumer organizations and NGO՚s

Unit 13: Project Work- (Periods 16)

Frequently Asked Questions (FAQs)

  • Sir do you have any video classes or lectures related to cbse 12 economics for the chapter national income i have searched in youtube but i haven՚t got the result please sir help find it.

    ( - uj...@ on )

    1 Answer

    Please check out the folowing link for videos related to national income - Visit YouTube = national + income

    - uj...@ on

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