Sectors of The Economy
A farmer growing corn belongs to this sector.
Primary
Kroger sells groceries to families.
B2C
This is the money a business earns from sales.
Revenue
A farmer sells apples at a roadside stand. Direct or Indirect?
Direct
A dairy farmer sells milk to a cheese factory.
Primary + B2B
Trace the journey of a hamburger.
Identify one Primary step,
one Secondary step,
one Tertiary step,
and the Market Type when it’s sold to you.
Primary: Cows/Beef or Wheat
Secondary: Beef processing plant / Wheat milled into flour
Tertiary: McDonalds's Sells the hamburger
Market: B2C
A steel mill that turns iron ore into beams belongs here.
A printing company makes brochures for a local law firm.
B2B
This is the money spent to keep the business running
Expenses
PepsiCo sells Gatorade to a beverage distributor, who sells it to Kroger. Direct or Indirect?
Indirect
A local barber provides haircuts to residents.
(Tertiary + B2C)
A landscaper mowing lawns belongs to this sector.
Tertiary
A person sells vintage video games on Facebook Marketplace.
Paying for clay to make pottery bowls is this type of expense.
Cost of Goods Sold
What’s one advantage of using a direct channel?
Higher profit per sale
A car manufacturer sells vehicles directly to customers online.
Secondary + B2C
A bakery makes bread from flour belongs to this sector.
Secondary
A construction company is hired to build a new library for the city.
Government
Paying employee wages is an example of this type of cost.
Operating Expense
What’s one advantage of using an indirect channel?
Wider customer reach, easier distribution.
A construction company is hired to build a new police station.
Secondary + Government
This sector is the largest employer in the U.S. economy.
Tertiary
Why would a company sell in multiple market types instead of just one?
To increase sales and reach more customers.
If a bookstore made $8,000 in revenue and had $3,000 in Cost of Goods Sold as well as $2000 in Operating Expenses, what is the profit?
$3000
A business wants to keep full control over its brand image. Which channel should it use?
Direct
A janitorial supplies distributor
Tertiary + B2B