Division/Components of

Business

Lecture: 03

Division/Components of Business
The business activities can be divided into

broad categories.
Industry
b. Commerce
a.

1. Industry:
Industry is that part of business activity which

is concerned with the extraction or fabrication

of products.
Now the products which are produced inside

industry can be of two nature.

Consumer Products (Which are used by end

user)
Producers Products (Which are used by other
business organization)

1. Industry .Contt
Types of Industry:
1. Extractive Industries:
That type of industry which try to produce raw
material by extracting products from below the
surface of earth. E.g, Mining, Fishery, Forestry,
Agriculture etc.
2. Genetic Industries:
That type of industry which is involved in the
production of specific species of animals and
plants. They produce them, grow them and than
sell them in market. E,g. Poultry Farm, Plant
Nurseries etc.

1. IndustryContt
3. Constructive Industries:
That type of business that is involved in construction
matters. E,g. building canals, dams, houses etc.
4. Manufacturing Industries:
That type of industry which is concerned to converting
raw material to finished goods. E.g, Sugar Industries,
Cement Industries etc.
Service Industries:
That type of industries which are engaged in the
creation
of
Services.
E.g,
Education,
health,
transportations etc.

5.

2. Commerce
2.

Commerce:
Commerce is that division of business that
deals with the buying and selling of goods.

Types of Commerce:
a. Trade
b. Aids to trade

2. Commerce:
a. Trade:
Trade means buying and selling of goods.
And this exchange of goods gives benefits to

both parties (buyer and seller).

Types of Trade:
i.
Internal Trade: (Within Country)
ii. External Trade: (Outside Country)
iii. Wholesale Trade: (Large Quantity)
iv. Retail Trade: (Small Quantity)

2. Commerce:
b.

Aids to Trade:
Those activities which try to help or give service
to trade activities/business are called as aids to
trade activities.
i.
Transport.
ii. Insurance.
iii. Banking.
iv. Advertisement and
v. Warehousing

THE END