(a) Distinguish between Commerce and Industry
(b) (i) Explain three activities involved in industry
(ii) Explain five activities involved in commerce
Explanation
(a) Commerce is concerned with the exchange (buying and selling) and distribution of goods and services while Industry s concerned with the actual production of goods and services.
b(i) Activities involved in industry:
Extraction: This involves the obtaining of raw materials from the earth through mining, drilling, quarrying, fishing, farming and lumbering –
Manufacturing: This involves activities that convert the raw materials into finished goods Like textile, machinery, shoes etc.
Construction: This involves the process of fitting or assembling together the many parts to form a finished product like car assembling. Ship-building welding, house building etc.
b (ii) Activities Involved in Commerce:
(i) Trade: This involves buying and selling both at home and abroad. It includes wholesaling and retailing of goods and services.
(ii) Banking/Financing: This involves the safe keeping, lending and exchange of money that facilitate trading activities.
(iii) Insurance: This involves the activities of those minimizing business risks.
(iv) Transport: This involves the physical movement of goods and people from points of production to the points of consumption.
(v) Communication: This involves the transmission of information for the smooth conduct of commercial activities.
(vi) Advertising: This involves the creation of, awareness on the availability and – the nature of goods and services,
(vii) Warehousing: This involves the safe keeping of goods until they are needed for either further processing or consumption.
(viii) Tourism: This involves the provision of attractive sites and places of interest boost business activities in a country.