Organization Meaning. The best way to derive the meaning of the term business organization is to focus on each word separately. Organization is a broader term, as it includes businesses and other groups of people not organized for commercial purposes.Clubs and sports teams are examples of non-business organizations. business organization is an individual or group of people that collaborate to achieve certain commercial goals. Some business organizations are formed to earn income for owners. Other business organizations, called nonprofits, are formed for public purposes.