Commerce Introduction
It includes the buying and selling of goods at any stage from raw materials to the final product which is purchased by the consumer.
What is Commerce?
The provision of goods and services on a small scale and meant for one’s own use only.
What is direct production?
This is the concentration or narrowing of work on a particular aspect.
What is specialization?
This is an economy where there is little specialization and little trade.
Subsistence Economy
A business that buys in extremely large quantities from Manufacturers and sells in smaller quantities to retailers and sometimes consumers
What is a wholesaler?
This can be classified into banking, advertising, warehousing, insurance & transportation.
What are Aids to trade?
The extraction of raw materials the way nature provided them.
What is Primary production?
This occurs when the production of a good is broken down into numerous separate tasks with different workers performing each task.
What is division of labour?
The state decides what to produce, how is it to be produced, and how it should be allocated to consumers.
What is a controlled/command economy
Wholesalers supply goods to the retailers and allow them to pay for them at a later date.
What iscredit?
The buying and selling of goods (with the aim of making profit) among people of the same country.
What is home trade?
This is the distribution of goods and services to areas where they are needed, with the help of Commerce (Trade and Aids To Trade)
What is Tertiary Production?
If a country can make more of a specific product than another country, it has an _______________ in trade.
What is an absolute advantage?
There is a public sector controlled by the government and a private sector in which individuals risk capital producing goods and services for profit.
What is a mixed economy?
This type of shop is sometimes called a ‘shop of shops’ because it is divided into commodity departments
What are department stores?
This refers to the selling of goods and services from the home country to a foreign country.
What is export?
This is the human effort used in the production of goods and services
What is labour?
If one can produce some good with a smaller opportunity cost than others can other ability of one country to produce a product relatively more efficiently, or at a lower opportunity cost, than another country.
What is the comparative advantage?
There is little or no government interference in the economy.
What is a free market economy?
These are stores that sell one particular good, e.g. shoes, in all sizes shapes and colors.
What are specialist stores?
This is the buying and selling of goods and services across the globe.
What is foreign trade/ international trade?
It involves making decisions for the business such as when to start a business, location, type of goods/services to offer, workers to employ, etc.
What is Enterprise/Entrepreneur?
It is more common in a primitive society.
What is simple division fo labour?
Activity which results in the satisfaction of our need.
What is 'economic activity?'
This is a multiple shop and department store since it combines both sets of characteristics,
What are variety chain stores?