(a) Define communication (b) List six means of communication in business (c) In what four ways is communication important to business?

Answer Details

(a) Define communication

Communication is the process of transmitting or exchanging information, ideas, messages, feelings or instructions from one person (the sender) to another (the receiver) through a channel, in a way that is understood, and obtaining feedback. In business it is the passing of information within the organisation and between the organisation and the outside world.

(b) Six means of communication in business

1. Letters and memoranda (written correspondence).
2. Telephone (including mobile phones).
3. Email and the internet.
4. Fax (facsimile).
5. Telex and telegrams.
6. Face-to-face meetings and notices/circulars.

(Also acceptable: radio, television, courier and dispatch riders.)

(c) Four ways communication is important to business

1. Passing instructions and information. It enables management to pass orders, policies and instructions to staff and to receive reports back.
2. Aids decision-making. Accurate and timely information helps managers make sound decisions.
3. Promotes coordination. It links the various departments and staff so that their activities work together smoothly toward common goals.
4. Facilitates trade and customer relations. It enables the firm to receive orders, quote prices, place and confirm orders, and maintain good relations with customers and suppliers.

(Also acceptable: it improves efficiency, boosts staff morale and helps advertising/promotion.)