D's of Business by Vijay Wankhede

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D's of Business by Vijay Wankhede


Debt is something, usually money, borrowed by one party from another. Debt is used by many corporations and individuals to make large purchases that they could not afford under normal circumstances. A debt arrangement gives the borrowing party permission to borrow money under the condition that it is to be paid back at a later date, usually with interest.

Types of Debt-

·         Secured Debt

·         UnSecured Debt

·         Mortgage

·         Corporate Debt


Debt Financing

When a company borrows money to be paid back at a future date with interest it is known as debt financing. It could be in the form of a secured as well as an unsecured loan. A firm takes up a loan to either finance a working capital or an acquisition. Debt financing is a time-bound activity where the borrower needs to repay the loan along with interest at the end of the agreed period. The payments could be made monthly, half yearly, or towards the end of the loan tenure. If a company needs a big loan then debt financing is used, where the owner of the company attaches some of the firm’s asset and based on the valuation of those assets, loan is given.



A dividend is the distribution of some of a company's earnings to a class of its shareholders, as determined by the company's board of directors. Common shareholders of dividend-paying companies are typically eligible as long as they own the stock before the ex-dividend date. A dividend is a token reward paid to the shareholders for their investment in a company’s equity, and it usually originates from the company's net profits. While the major portion of the profits is kept within the company as retained earnings—which represent the money to be used for the company’s ongoing and future business activities—the remainder can be allocated to the shareholders as a dividend.




Diversification is a business development strategy in which a company develops new products and services, or enters new markets, beyond its existing ones.

Diversification is a growth strategy that involves entering into a new market or industry - one that your business doesn't currently operate in - while also creating a new product for that new market.

Diversification strategy can kick-start a struggling business, or it can further extend the success of already highly profitable companies.

Types of Diversification in business

·         Vertical diversification

·         Horizontal diversification

·         Conglomerate diversification

·         Concentric diversification



The term depreciation refers to an accounting method used to allocate the cost of a tangible or physical asset over its useful life or life expectancy. Depreciation represents how much of an asset's value has been used. Depreciating assets helps companies earn revenue from an asset while expensing a portion of its cost each year the asset is in use. Not accounting for depreciation can greatly affect a company's profits. Companies can also depreciate long-term assets for both tax and accounting purposes.


Direct Marketing

Direct marketing is a form of advertising that specifically targets a person or company to generate new business, raise the profile of an organisation or product, or make a sale. Direct mail, telemarketing and email marketing are all popular types of direct marketing. Direct marketing trades on the greatest of all sales advantages — the opportunity to communicate directly with your customer to build a personal relationship. It allows you to reach your target audience with direct messages, without using traditional, costly advertising methods such as TV, newspapers and radio advertising.



Data is essentially the plain facts and statistics collected during the operations of a business. They can be used to measure/record a wide range of business activities - both internal and external. While the data itself may not be very informative, it is the basis for all reporting and as such is crucial in business. Customer data are the metrics that relate to customer interaction. It can be the number of jobs, the number of enquiries, the income received, the expenses incurred, etc. In order to know about our interactions with the customer, we need data.


Data Analysis for Business

Data analysis includes the activities to help managers make strategic decisions, achieve major goals and solve complex problems, by collecting, analyzing and reporting the most useful information relevant to managers' needs. Information could be about the causes of the current situation, the most likely trends to occur, and what should be done as a result. Activities can include identifying and verifying potential strategies and solutions, and testing the feasibility of the most favored solutions. Analysis is based, as much as possible, on relevant, accurate and reliable information, often involving interactive and automated statistical analysis -- or data analysis.


Data Management

Data management is the practice of collecting, organizing, protecting, and storing an organization’s data so it can be analyzed for business decisions. As organizations create and consume data at unprecedented rates, data management solutions become essential for making sense of the vast quantities of data. Data management is a crucial first step to employing effective data analysis at scale, which leads to important insights that add value to your customers and improve your bottom line. With effective data management, people across an organization can find and access trusted data for their queries.

Some benefits of Data Management includes-

·         Security

·         Scalability

·         Reliability

·         Visibility


Data interpretation

Data interpretation refers to the implementation of processes through which data is reviewed for the purpose of arriving at an informed conclusion. The data interpretation definition in business terms is the implementation of different processes in which data is analysed and revised with the purpose of gaining insights and recognising emerging patterns and behaviours. Data interpretation is the most crucial and vital step when you’re using data to make decisions regarding the growth of your business. The interpretation of data assigns a meaning to the information analyzed and determines its signification and implications. The importance of data interpretation is evident and this is why it needs to be done properly. Data is very likely to arrive from multiple sources and has a tendency to enter the analysis process with haphazard ordering.