2. Business activities are broadly classified into two categories: 1. Primary Industry: The primary industry includes those activities through which the natural resources are used to provide raw materials to other industries. Along with transport, communication is also an important service. trade. The common communication services are postal service, telephone, fax, internet etc. External trade can be classified into three categories. Students (upto class 10+2) preparing for All Government Exams, CBSE Board Exam, ICSE Board Exam, State Board Exam, JEE (Mains+Advance) and NEET can ask questions from any subject and get quick answers by subject teachers/ experts/mentors/students. 1. Internal trade is classified into two categories—retail trade and wholesale trade. Business activities can be classified in the following ways: I. It includes trade and auxiliary to. If you are on a personal connection, like at home, you can run an anti-virus scan on your device to make sure it is not infected with malware. Welcome to Sarthaks eConnect: A unique platform where students can interact with teachers/experts/students to get solutions to their queries. The business activities can be classified as: Industry: It refers to economic activities, which are connected with conversion of resources into useful goods. Industry: Different types of industries are as follows: 1. • An industry can … 5. Necessary funds can be obtained from a bank. (а) External Trade: It happens between two or more countries. (b) Import Trade: If goods are purchased from another country, it is called import trade. Banking and Finance: Business needs funds for acquiring assets, purchasing raw materials and meeting other expenses. You may need to download version 2.0 now from the Chrome Web Store. Another way to prevent getting this page in the future is to use Privacy Pass. Tertiary or Service Industry: It includes those services which help business to move smoothly e.g. Name the two broad categories of business activities. Industry involves production of goods and services whereas commerce is concerned with the distribution of goods and services. transport, bank, insurance, storage and advertising. Primary Industry: The primary industry includes those activities through which the natural resources are used to provide raw materials to other industries. Business activities may broadly be classified into two categories namely (A) Industry and (B) Commerce. Secondary Industry: Under this industry new products are manufactured by using the previously produced things e.g., producing cotton is a primary industry and manufacturing cloth out of cotton is a secondary industry. (iv) Commerce is a part of economics. Completing the CAPTCHA proves you are a human and gives you temporary access to the web property. Performance & security by Cloudflare, Please complete the security check to access. Explain any two business activities which are auxiliaries to trade. How would you classify business activities? (d) Entrepot Trade: Goods are imported for export to other countries e.g. This problem can be solved by storing the goods in warehouses. Warehousing: There is generally a time lag between the production and consumption of goods. 3. Economic activities may be classified into business, …… and employment. 1. The purpose of industry is to create form utility by converting raw materials into useful forms of finished products. Economics is a study of human beings as consumers and producers and it has a much wider scope than commerce. It is of two types. Cloudflare Ray ID: 5f8a4d37fd7b1ec6 3. It is classified into two categories. Indian firm may import some goods from America and export the same goods to Nepal. Advertising: Advertising brings goods and services to the knowledge of prospective buyers. 2. The sectorwhere raw material gets converted into useful products is called industry. Industry: Different types of industries are as follows: 1. Transportation and Communication: The production of goods takes place at one place whereas these are demanded in different parts of the country. The obstacle of place is removed by the transport. 2. Trade refers to buying and selling of goods and services with the objective of earning profit. Primary industries are of two types. Internal Trade: It takes place within a country. Commerce – It includes all those activities which are necessary for facilitating the exchange of goods and services. It is through advertising that the customers come to know about the new products and their utility. Business activities can be classified in the following ways: I. It helps in exchange of information between producers, consumers and traders. Auxiliaries to Trade: All those activities which help in removing various hindrances which arise in connection with the production and distribution of goods are called auxiliaries to trade. 2. Insurance: It provides a cover against the loss of goods, in the process of transit, storage, theft, fire and other natural calamities. In other words, Business – Industry + Commerce On the basis of these two categories, we may classify business firms into industrial and commercial enterprises. It embraces all those activities which are necessary for maintaining a free flow of goods and services. An industry may produce consumer goods or capital goods. If you are at an office or shared network, you can ask the network administrator to run a scan across the network looking for misconfigured or infected devices. An overview of these activities is given below: 1. Commerce: Commerce refers to all those activities which are concerned with the transfer of goods and services from the producers to the consumers.