What is Business Letter? Objectives of Business Letter

By | September 10, 2015

What is Business Letter, Objectives of Business Letter, Definition of business letter, Meaning of business letter, Business Letter in Communication, Function of Business Letter or, business letter writing. Letter containing business information is called letter. It is also known as non-personal letter. Business letters are formal, structured and are exchanged between and among business people. A few definitions on business letter are given below-

What is Business Letter

According to J. H. Hanson, “The letters which are exchanged among business in connection with business affairs are called business letters.”

L. Rahman says, “Correspondence having commercial or business interest is known as commercial correspondence.”

According to Prof. Taintor, “All letters written for business purpose are business letters.”

From the above discussion, it can be said that a letter containing the affairs related to trade and commerce is called business letter. Business CommunicationWhat is Business Letter

Objectives and functions of business letter

Every business organization has to maintain contact with its various partners like suppliers, customers, government agencies and so on. Business letter serves as the bridge to communicate with the various parties. The functions of business letters are multidimensional. The importance of business letter is presented below through its various functions or Objectives-

  • Building Goodwill: Another important purpose of a business letter is to sell the good reputation and friendliness of a company. It acts as an ambassador of a country for the company. It aims at building goodwill in customers-company relationship, holding present customers, reviving inactive accounts and inviting customers to buy more and varied products.
  • Records and References: Business letter are very useful as records and references of previous transactions. In business, innumerable transactions or communications occur with a large number of people that are not possible for a businessman to remember. When memory fails, business letters act as previous records and can be used for future reference.
  • Making a Lasting Impression: In case of oral communication, the impact of any message is felt mainly during the time of hearing. And as soon as the next oral communication takes place, the effect of the previous one is reduced. But a letter makes a lasting impression on the readers’ mind as it stays with them and works effectively every time it is read.
  • Building and Maintaining Business Relation: Business letters help to build and maintain business relation among various parties like manufacturers, distributors, intermediaries, support services and consumers.
  • To Exchange Business Information: The prime objective of a business letter is to exchange business related information between the parties involved. Most of the time business people send letters to their counter-parties containing various business information.
  • Widening the Approach: It is very difficult to send business representatives to all the places. But a letter can be sent any place at any distance. Sometimes executives, professionals, politicians, etc. are difficult to be approached personally. But a letter can find easy access to anybody. Thus a business letter helps to widen the area of business operations and also the access to a large number of people.
  • An Authoritative Proof: A business letter also serves the purpose of evidence. A written commitment binds the concerned parties to obey to the text of writing. A letter signed by a responsible person acts as an authoritative proof of what is said in it. It can even be treated as a valid document that can be produced as evidence in a court of law if any dispute arises.
  • Others: Business letter also has some other functions beside the above ones. It provides legal facility, saves time, helps to increase products, demand, helps to settle transaction easily and it is accepted by all as a reliable media of communication.

In conclusion we can say that business letter is an indispensable means of communication for industry and commerce. The multidimensional functions of business letter have given it a wide range of acceptance to the business world. So, it must be furnished with due care. There are more information about What is Upward Communication in Business?

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