Business Communication & Business

Ethics
Business Communication UNIT 1
3-Feb-25

1. The word ‘communication’ comes from a Latin word communis which means ‘to share’
2. In a simple term communication refers to the conversation or ow of information between two
parties.
3. For example movies, facts and gures, data, poster
4. Communication means to share or interchange of opinion, information, thoughts etc.
5. The term ‘business’ refers to an economic activity which involve exchange of goods and
service for cash in order to earn pro t
6. Now business communication refers to the process of ow of information inside and outside
the organisation in order to achieve organisational goal
7. It involves who, what, channel, whom and e ect-feedback

Features of Communication
1. Interchange of Information
2. Continuous process
3. Mutual Understanding (Feedback)

Signi cance of Communication

1. Helpful in decision making- right information at a right time to the right person
2. Ensure consumer satisfaction
3. Change Management
4. Improve employee e ciency
5. Builds relationship with customer and employee
6. Decrease employee turnover
7. Helpful in internal environment
8. Helpful in external environment

CA-1
MCQ (5m) + Presentation (5m)+ Assignment (5m)

CA-3
Research Report (10m) + Viva (5m)

4-Feb-25

PROCESS OF COMMUNICATION
SENDER
↓
MESSAGE -info
↓
ENCODING -create meaning in word/symbol/image/poster/data/graph
↓
MEDIA
↓
RECEIVER
fi
ffi
fi
fi
ff
fl
fl
 ↓
DECODING
↓
FEEDBACK -action

BARRIERS OF COMMUNICATION
A) Physical Barriers
- time & distance
- remote work
- work place design
- comfortness
B) Psychologist
- weak hearing/eyesight
- education Level
- wandering mind
- retention
C) Mechanical
- typing error
- telephonic defective Line
- poor printing
D) Semantic & Language

E) Emotional

F) Perception

6-Feb-25
Principles of E ective communication
The following points should be considered during the communication process
1. Principle of clarity: A sender should have idea for what to communicate.
2. Principle of appropriate language
3. Principle of upward consistency
4. Principle of su cient information
5. Principle of proper time frame
6. Principle of informal communication
7. Principle of Feedback
8. Principle of knowledge of audience
9. Principle of proper medium

Seven C’s of e ective communication

1. Concise: it means the message should be short and crisp
2. Correctness: it means accuracy of data, gures, pictures, symbols, grammar, language etc.
3. Clarity
4. Completeness
5. Consideration
6. Courtesy: Message should be proper and soft
7. Concrete: it should be speci c

4 S’s of e ective communication

1. Shortness
ffi
ff
ff
ff
fi
fi
 2. Simplicity
3. Strength
4. Sincerity

Unity of command must be applicable in communication itself

CA1
Communication case study

10-Feb-25

Types of Communication
1. Based on Channel

◦ Verbal communication: When the sender use some words for transferring the information it is
called verbal communication. It is divided into two parts:-
✦
Oral communication:
it refers to the communication where the receiver convey the information through the
✧

speech or speak method.

Factors involved in oral communication:-
✧

▪︎ Speaker
▪︎ How he speak
▪︎ What he speak
▪︎ To whom he speak
▪︎ Feedback
Essentials of oral communication:-
✧

▪︎ Clear and proper pronunciation of words

▪︎ Right pitch or tone
▪︎ Conciseness
▪︎ Clarity of objective and audience
Merits of oral communication:
✧

▪︎ It saves time and money

▪︎ Immediate feedback
▪︎ Saves the paperwork
▪︎ Helpful in creating a healthy environment
▪︎ Helpful during the emergency
Demerits of oral communication:
✧

▪︎ Cannot be used as an evidence, No legal validation

▪︎ Di culty to x responsibility
▪︎ Lower retention rate
▪︎ Misunderstanding
▪︎ Ine ective for lengthy communication
▪︎ Impact of speaker

✦
Written Communication: it is a type of communication which involve pen, paper and
words.
✧
Factors in Written communication:
▪︎ Writer
▪︎ Content
▪︎ Language
▪︎ Purpose of Communication
▪︎ Receiver
▪︎ Feedback
✧
Essentials of written communication:
▪︎ E orts in writing
▪︎ Message to convey
▪︎ To whom to convey
ff
ffi
ff
fi
 Channel of communication
▪︎
Merits of written communication:
✧

▪︎ Can be used for legal purposes

▪︎ Fixing the Responsibility can be xed
▪︎ Precise and accurate
▪︎ Suitable for lengthy message
▪︎ Permanent record
Demerits of written communication:
✧

▪︎ Takes time and money

▪︎ Slow method of communication
▪︎ No exibility
▪︎ No immediate feedback
▪︎ Literacy is essential
11-feb-25
◦ Non-verbal communication: A communication which involve sign, symbol, body movement

and no use of word is called non-verbal communication. It is further divided into six parts:-
Kinesics: It is a study of body movement for the transferring the information, it includes
✦

physical appearance, facial expression, gesture, posture and eye contact

Body movement
✧

Study of body movement

✧

▪︎ Physical appearance: A person is also judged by his physical appearance, his clothes,
and other accesrion play a signi cant role in his personality, If any person is poorly
dressed, people may cut him.
▪︎ Posture: A person is also judged by his physical appearance, his clothes, and other
accesrion play a signi cant role in his personality, If any person is poorly dressed, people
may cut him.
▪︎ Gesture: It refers to the small body movement that conveys the message; some gestures
have universal meaning, such as hello, bye, etc.
▪︎ Eye contact: It refers to the small body movement that conveys the message; some
gestures have universal meaning, such as hello, bye, etc.
▪︎ Facial expression: a face is the mirror of mind whatever we feel it re ects on the face, the
face can convey anger, happiness, sadness, sincerity and emotions; a smile re ects
happiness or friendship but on the other hand everyone must try to control your emotion
Sign/symbol
✧

Proxemic: It shows the distance level in communication

✧

▪︎ 1. Personal space extend from 18inch to 4feet where we have normal conversation with
friends colleagues and associates
▪︎ 2. Social space: this can be everywhere between 4feet to 12feet for example interaction
with stranger or with senior o cer.
▪︎ 3. Public space: it starts from distance of 12feet and one has to raise the voice for the
proper speech and it is useful for public speaking
Chronemics: Value of time
✧

Haptic
✧

Silence
✧

Para-language: It is a form of non-verbal communication while involves voice quality and

✧

body language; eg. Like voice pitch, tone, volume, speech rate.
▪︎ Voice - it is a rst signal that we receive or use a good listener can grab allot of attention
from voice itself. A voice can be sweet hard musical etc. and it also reveals the
background culture gender education of the speaker
▪︎ Pitch - it is very important because it reveals the speakers frame of mind an unusual high
pitch may damage your reputation among the audience and it is also necessary to adjust
the level of pitch according to the seriousness of the situation.
▪︎ Pause - a pause is to speech what a comma (required for separating the word) a wrong
placement may lead to miscommunication
▪︎ Mixed signal - it is a combination of voice pitch tone symbols and body language

12-feb-25
Limitation/Drawback of Downward Communication
fl
fi
fi
ffi
fi
fi
fl
fl
1. There is a chance of information getting lost in a long communication channel thats why
written form is a safer side.
2. In downward communication accuracy is also a ected by passing the information from one to
other
3. It may create delay in conveying the information because of involvement of no. of sender and
receiver
4. Under communication and over communication

Upward communication
1. As the term suggests the channel of communication push the information from bottom to top.
It start with the people at te lower level of organisation and reach to the top management. An
open door policy, social gathering, report, direct communication, gathering, counselling, etc.
are common method of upward communication
2. Methods of upward communication include:
1. Meeting with the employee at a particular time interval
2. Written representation
3. Informal gathering
4. Suggestion box
3. Merits of upward communication:
1. This type of communication provide necessary feedback to the top manager and on the
basis of these feedback, management can take appropriate action
2. It creates harmony amongst the employee and manager
3. It provides an opportunity to the employee to vent their problem and grievances when they
communicate with the management
4. Limitation:
1. The employee hesitate to walk up to the manager and initiate upward communication
2. Most higher up manager don’t like to be told anything about and against their own
decision
3. Employee may become frankly and directly approached the top authority with the
complaint with a ect their relationship
20-feb-25
It require proper coordination

Cross-wise communication
It is also known as a free ow communication because a one person can communicate with
another person without following any hierarchy but in the practical world it is not appropriate but
on the other hand it is fast channel of communication
Objective
◦ It is helpful in mutual understanding
◦ Quick feedback
◦ Time saving

Disadvantage/Limitation
◦ Some time superior may feel disappointed when the subordinates are given importance
◦ Superior can also reject the idea suggestion of employee because these have come from a

lower level
◦ No procedure or no hierarchy for communication

HORIZONTAL COMMUNICATION
1. This kind of communication takes place between department or people on the same level in
organization structure, it is frequent channel communication
2. It can be done through oral, verbal face to face, email, memo, etc.
3. It is important communication channel for smooth functioning business.
ADVANTAGE
• Friendly environment
• Ensure quick feedback
• Cut across departmental barrier
DEMERITS
ff
fl
ff
 • Loss of information
• Time consuming
• A ect decision making

Formal Communication
A formal channel of communication is a means of communication normally controlled by people in
position of authority in organisation. It refers to the line of communication, all the reports, record,
supplementary document are the part of the formal communication. It is done through the proper
channel
Advantages
1. Formal communication helps in bridging the gap in a communication process
2. It prevent the top level management from getting free from the irrelevant information.
3. Better monitoring
4. It is the best method of professionalism

Disadvantage
1. Time consuming
2. Delay in decision making
3. It follows the speci c route

Informal Communication
This information channel is discouraged in the organisation. It is also known as a grapevine
communication. People go about their work, they have casual conversation with their friends in
o ce and maybe related with the o ce, personal life, family life etc.

Types of Informal Communication

1. Single strand: communication take place in a sequence
2. Group chain
3. Probability chain: share the information with proper strategy
4. Cluster chain

Advantages
1. Time saving
2. Quick feedback
3. Quick decision making
4. Supportive system

Disadvantage
1. Less credible
2. Chance of leakage of information
3. Create rumour and confusion
4. It does not follow proper hierarchy

Tips for handling informal channel in business organisation

1. Manager should take regal meetings
2. Manager should identify other employee who can lead for the her employee
3. as far as possible employ should be given a chance for the involvement in the decision
making
4. Manager should be good listener
5. Review the employee work
6. Not include in favouritism
7. Ensure that every employee is well informed about the working of a company

21.2
ffi
ff
fi
ffi
 24-feb-2024

Listening
1. Active listening
◦ verbal feedback
◦ cross question
◦ ask, add info

2. Passive listening
◦ Feedback through non-verbal means
◦ eye contact
◦ Smile
◦ Nods
◦ No exchange of feedback, music

3. Informative
◦ Objective if listener is to gain info
◦ Lecture training

• Variables
◦ Vocabulary
◦ Concentration - informative
◦ Memory

4. Relationship Listening
◦ Helps to other
◦ Improve relation
◦ Therapeutic
◦ Useful for the counsellor, professional

• Variables
◦ Attending-close /focus
◦ Empathise
◦ Experience of other situations

• Elements
◦ Don’t interrupt
◦ Don’t change the topic
◦ Don’t dominate

5. Appreciative listening: that involve enjoy what you listen to

6. Critical analysis: listening to examine the facts
◦ analyse facts
◦ Understanding the fact, what is being said
◦ Depends on credit worthiness of speaker
◦ Logical argument
◦ Psychological

Negotiation
Method by which parties having di erent preference, agree on same point. Ex. Rent, salary,
promotion.
• It is a Tool for con ict resolution
• Not only applying in money but also for non-monetary situation
• Win-win situation for both the parties
• BATNA- best alternate to negotiated agreement

Process of negotiation
• Preparation-planning-are issue-aware about the issue
• Rule- who will do, time, place, rule, limit, If outcome not come then
• Clari cation
◦ each party explain the point
fi
fl
ff
 ◦ Understand each one
◦ Exchange of info
• Bargaining- party ready to negotiate
• Closure-Implement

27.2
Strategy of Negotiation
1. Tit-for-tat:
2. Give in- when you agree to other party not as a weakness but as strategic move
3. Break-o : no adjustment
• High pressure communication
◦ Aggressiveness
◦ Low empathy
◦ Push other party to take decision
◦ Might damage relation

• Little Interest
◦ Show minimum interest
◦ Not ready for negotiation

• Weak communication
◦ No argument
◦ Ready for everything

• Ideal communication
◦ Maintains balance b/w own and other persons bene t

• Prepare thoroughly
◦ Listen more
◦ Patience
◦ Take feedback

Types of Negotiation
1. Win-win: both win
2. Win-lose: you win
3. Lose-win: you lose
4. Lose-lose: both lose

Technology based business

communication tool
1. Telephone
2. Mobile phones
3. Fax machine
4. Internet: gmail, social networking websites
5. Conferencing: audio & video
Advantages of technology based communication

Disadvantages of technology based communication

Selection of appropriate technology

Group Communication
As the name tells when communication takes place in a group it is called group
communication. There must be three or more persons required and the objective of group
communication is same as of communication exchange of idea, information, feedback etc.
1. It is basically act of sending and receiving the message to the multiple members
ff
fi
2. It can be in the form of oral, verbal, non-verbal, personal, written
3. It is an interaction between three or more than three person
4. It involves exchange of idea, information, feedback
5. It is helpful in building the trust and resolve the con ict
6. The group activity is directed to achieve the group goal
7. Group has some social norms and acceptance

Group Communication Channel

1. In person
2. Conference call
3. Digital message
4. Memo, circular notice

Group Decision making

Group decision refers to the process where nal and best appropriate alternative is
selected amongst the various alternatives by the group. A group member should have appropriate
skill, knowledge, insights of the particular topic.

Technique of group decision making

1. Brainstorming: basically communication among the experts of the area.
◦ It was developed by Alex osborn
◦ All the expert of the speci c problem for the discussion purpose
◦ The problem is given to the panel and ask for the di erent solution
◦ The objective of brainstorming is to motivate the expert to provide maximum ideas as possible
◦ Criticism is not allowed but e ective participation is required
◦ The panel evaluate ideas and at last reach to the nal conclusion

1. Nominal group technique:

◦ Minimum interaction- members or expert call for the discussion purpose and introduce with

the problem
◦ Everyone will write the idea for solution then the list of all ideas will be created and on the

basis of some parameters and ranking will be given, then on the basis of rank idea will be
selected.
1. Fish Bowling:
◦ a circle of members is created
◦ One person sit in the middle
◦ Give suggestion to the problem
◦ Anyone can ask the question to him

1. Electronic meeting :
◦ Connected through the computer and digital platform
◦ easy for every member to attend
◦ Voting method, brainstorming can be used

1. Delphi method:
◦ It refers to forecasting the future
◦ means decision taken related to the future
◦ It is an alternative method to face-to-face meeting
◦ A panel of expert is required

• Process
◦ First, send the problem to the expert through the email
◦ Second, expert gives their opinion
◦ Thirdly, the overall summary of the suggestion of all the experts
◦ The report sent to the each member
◦ Again the expert will give their feedback
◦ This process will continue until the nal decision

Advantages or signi cance of group decision making

1. An individual person can provide only limited information but in case of group di erent
members can provide you vast information
fi
ff
fi
fi
fi
fl
fi
ff
ff
 2. Diversity of views: a group always has advantage of di erent views, this is because
involvement of di erent members having di erent thinking
3. Greater acceptability: the views expressed by the group have more acceptance than from
an individual. An individual just imposed the order but it is accepted by everyone
4. Expert opinion: in a group sometime it require expert opinion, they can include an expert in
a group for a particular decision making
5. Degree of involvement and participation

Disadvantage of group decision making

1. Time consuming
2. Expensive
3. Individual dominate
4. group dominate
4.3

Meetings
A formal group discussion, more than two people involved, agenda is required, objective is to
reach out a single result

1. A meeting is an involvement of three or more people to exchange the information in a planned

manner and discuss issues set out before them to arrive at decision or solve the problem
2. In a business organisation meeting is always formal, it means there are some rules regarding
its conduction and written record of proceedings (Minutes of meeting)
3. It require a notice which is a call, an invitation to attend it with a list of agendas with some
rules and regulations on the other hand informal meeting can be done at anytime without a
formal message
4. A meeting has a convenor who call the meeting and a chair person who direct the meeting

Types of meeting
1. Informative meeting: meeting conducted to spread the information
2. Consultative meeting
3. Executive meeting: in which decision are taken by those empowered to do so
Purpose of meeting
◦ To solve a problem
◦ To reach a common decision
◦ Present an idea
◦ Exchange of idea or experience
◦ Training
◦ Resolved con ict
◦ Analysis of performance
◦ Create a feeling of involvement
◦ Feedback discussion
5.3
Advantages of meeting
◦ It saves the time
◦ Addressing the group: audiences can be divided on the basis of background and their needs
◦ Motivation to the employee
◦ It leads to democratic leadership
◦ Idea generation process
◦ Preventing the mistake
◦ Various interest group represented

Disadvantages of meeting
◦ Creates con ict
fl
fl
ff
ff
ff
 ◦ Due to con ict delay in decision making
◦ Time consuming process

6 and 7 march
10.3

Business Letter Writing

A letter is a written way to reach where you cannot reach yourself and say what you cannot say
yourself personally. In a business manner the letter refers to a formal written communication
between two parties to share to information, data, facts and gures.
Moreover the communication take place in an English language but depend upon country to
country.

Types of Letter
1. Personal Letter: a letter to a friend or a family member to express emotions in an informal
manner
2. Social Letter: It is a form of invitation to attend some event.
3. O cial Letter: It started from government o ce, corporations and move within the narrow
restrictions of law
4. Business Letter: Letter which is related with the business activity. The letter from business
houses to its stake holders or related with its business activity is called a business letter.
For example enquiry, quotation, sales letter, thanks letter, o er letter, internal
communication, correspondence with banks and other institutions.

Advantages of Letter
1. Proof
2. Helpful in painting a record
3. Convenience
4. Reach far and wide spread
5. Convenient for giving the unpleasant news
6. Cost saving
7. Its able to create consumer con dence
8. Fixing the authority and responsibility

Essentials of good business letter

1. Clarity
2. Conciseness
3. Simple & understanding
4. Courtesy
5. Correctness
6. Completeness
7. Convincing power

11.3
Structure of Business letter
1. Heading or letter head
2. Date
3. Reference number: it de nes the purpose of letter, receiver of letter and date of
communicating the letter and is generally put in a maintained register by the company
itself
4. Inside address: it is basically called the receiver’s address
5. Attention line: if it is desired that some particular person will handle the letter his name is
written below the inside letter/address
6. Salutation: Example dear sir, respected sir
ffi
fl
fi
fi
ffi
ff
fi
 7. Subject Line
8. Main body of letter
9. Formal closure
10. Signature block
11. Enclosure: proof, annexure, attached les
12. Copy notation
13. Identi cation mark
14. Post script
15. Miscellaneous

Format of business letter

1. Full block letter-inside the box
2. Modi ed block- signature on right
3. Semi block- signature in middle

Tips of writing a letter

1. Planning before writing
2. First Draft: you have to keep four things in mind-
✦
purpose of letter
✦
level of reader
✦
Facts and gures
✦
Desired action from the receiver
◦ subject line, main body, action part, formal closure
3. Revise the letter: revision or nalisation of letter

Guidelines for writing a letter

1. Use of short sentence
2. Use of familiar words
3. Use of precise word information
4. Do not use vague term
5. Use straightforward construction
6. Proper grammar use
7. Use courtesy
8. Accurate data and gures
9. Follow the AIDA rule
✦
A refers to attention
✦
I refers to interest
✦
D refers to desire
✦
A refers to action

20.3

Business Proposal
1. A proposal is a written document that seek to be accepted by the authority. The
objective of proposal recruitment process, change in policies, extra space etc.
2. Proposal is basically a presentation for consideration of something
3. Proposal are usually in the written form but can be oral or combination of both
4. Proposal can be considered as an o er

Types of business proposal

1. Internal proposal: A proposal written to someone within organisation. Ex: business,
govt. agency is an internal proposal. For example chairman of the company asks
human resource manager to conduct a training for the employee . A vice manager of
fi
fi
fi
fi
fi
ff
fi
 the company asks the senior manager to suggest a new design to increase
productivity in business
2. External proposal is a written round from a company to another person, other country,
other organisation. For ex: a company in india proposed to set up a waste water
treatment plan in other country
3. Solicitate proposal: it is a proposal which arises out of speci c demand
4. Unsolicitate proposal: when a person initiate proposal it is called unsolicitate proposal.
For example an employee found some lacking in the policies can suggest some
suggestion to the manager for the improvement

Components of proposal
Components Content Approximate pages
Title Title of proposal, proposal 1
name, organisation name &
date
executive summary 1
Introduction Overview of proposal 2
Statement of need Problem statement 1
Project description Details of project like its 3
visibility, bene t, method,
procedure
Budget Financial requirement 1
Organisation information Member included in a project, 1
hierarchy, rights and duties
Conclusion Summary of key points 2 para or 1 page

Appendix Additional material 4 to 5

24.3

Ethics
Greek word Ethos-character/acceptable norms

Refers to set o
- moral value or standard which govern the behaviour
- what is wrong or right
For a business
- Right quality
- Right price
- Fruitful utilisation of fund
- Satisfy employee
- Fill tax
1. The term business ethics is derived from the greek word ‘ethos’ which means character or
acceptable behaviour
2. Ethics is the branch of the social science which deals with the concept such as what is right,
what is wrong, good or bad, fair or unfair, legal or illegal, proper and improper in respect of
human action.
3. Business ethics can be de ned as proper business policy and practices regarding corporate
governance, bribe, discrimination, CSR and insider trading.
fi
ff
fi
fi
4. Business must be abide by some basic principle which includes fair advertisement, justice
with employee, fruit full return on investment, ful l the government rules and regulations,
follow the standards norms for the wages, working environment, healthy competition

Features and principles of business ethics

1. Business ethics are the guiding principles of business functions, it is the knowledge
through which human behaviour can be studied
2. It started with the human civilisation
3. It is the code of conduct, it tells what to do and not to do for the welfare of the society
4. Greater than law- law is helpful in taking some social decision but not greater than ethics,
law refers to the minimum control of social customs whereas ethics give importance to
individual and social behaviour
5. Ethics is totally di erent from the CSR, CSR refers to the policy and functions of enterprise
is to conduct and behaviour of the business
6. Ethics is related to the business aspects, it is the study about activities, decision,
behaviour which is concerned with the human aspect. It is function of business to notify
the decision to customer, govt., shareholders and other interested parties
ff
fi