What is Business Communication and its Importance


Business communication is the process of delivery the ideas, thoughts, opinions or emotions to other people telling them their business ideas. 

Business communication is the most important thing to grow your business. Because in the era of cut throw competition it stands the business. Communication is the two-way process. The goal of communicator should be to convey their thoughts in the mind of people. Business communication plays a vital role in the growth of the business.

  • Business communication definition by Peter little

“communication is the process by which information is passed between individuals and or organization by means of previously agreed symbols.”


  • Improves managerial performance

Communication system plays an effective role in flexible operations of the business and it is all possible only when there is an effective and smooth communication system.

  • Increase the morale of the employees

Better communication increases the participation of the employee’s in the management of the company. It helps to build better relations between the employees and management. Helps in building effective leadership-Better leadership mainly depends on the best communication process. Communication when done 2-way yields better results. An efficient leader must handle all its subordinates effectively and for that qualitative leadership is required.

  • Mutual trust

Better mutual trust between employees and management is very crucial for the effective functioning of the organization. When there will be better and effective communication it will reduce the misunderstanding and develop better trust.

  • Better staffing

It helps in proper functioning of staffing functions like selection, socialization, transfer, and promotion thereby helps in placing the right man at the right job.

  • Helps in proper management

Better and proper communication process helps in performing better managerial functions such as planning, directing, controlling and organizing can’t be conducted without proper communication channel.


  • Practical in nature

Proper and efficient communication deals with the real and genuine aspect of information which clearly in details explains how and when about the queries. It completely removes any impractical and unnecessary information to avoid any wastage of time.

  • Factual in nature

The message related to business basically consists of some factual data which depicts the full information relating to business. Critical information like date, time and place should be clearly shown in the message meant for business.

  • Precise and easy language

The message meant for communication should be written in an easy and precise language without any doubts. Pictures, diagrams, and charts should be used for easy clarification of the information.

  • Pre-planned target

The communication process of business must contain certain pre-decided objectives and full efforts should be made in order to achieve them.

  • Persuasive in nature

The communication process has a persuasive effect. It forces an employee to perform his or her duties and a customer to use his item.


  • Clarity

Clarity is most thing in order to make communication effective. Communicator should use common words and should get to the point. Communicator should make the communication more available to the listener or the reader.

  • Structure

Communication must have a structure from beginning to end. Communicator should know the logical structure that would be to reader or listener. Communicator should avoid overly wordy.

  • Audience

Understanding the audience and their taste is the key to whole communication, Because when the communicator aware the preference of their audience then communication will be worthy.

  • Medium

Communicator should use the right medium to address his audience. If it requires voice-to-voice or face-to-face communications, the communicator should use it.

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