One man control or one man business (also called sole proprietorship) is the simplest form of business organization. The description ‘One man business’ or ‘one man control’ is sometimes con as misleading one, as there may be more than one persons working as employees in the business. The essential condition of one man control or one man business is that it i.e. a business owned by one person, managed and operated for one’s own profit.
Statute of One Ban Business
The one man business’ was the earliest to be developed. It is even today, the most common and numerically the largest form of business ownership in the developed and underdeveloped countries of the world. It represents about more than 74% of all the business firms. However the share of sole proprietorship in the national income is small of all the business activities. That is why it Is said of sole traders that they are an awful lot of them but they do not do very much.”
Is One Man Control Best in The World?
With the advent of Industrial Revolution, introduction of machinery, division of labour, specialization, expansion in the scale of production, greater business risks, diversification of managerial tasks, large capital requirement, etc., etc. the one man control Is no more the rule of the world. The reason is that ‘one man’ Is not big enough to manage everything. The basic functions of business i, e., buying, selling, advertising, accounting, insurance, credit, personal management etc cannot be successfully performed by one man. He cannot be expert in all these areas. In addition to this, one man can provide a limited amount of capital for establish and operating a business. His risk bearing capacity is ‘also limited. In the present age of competition and technological advancement, the single proprietor has to seek the aid of other persons, managers, secretaries, advisers, consultants etc. He now is one man among many, though perhaps he is the most...