DEPARTMENT OF TECHNICAL EDUCATION

ANDHRA PRADESH
Name : Md.Qadeer Rehman
Designation : Head of section
Branch :DCCP
Institute : K D R Govt.Polytechnic,
Wanaparthy.
Year / Semester : I Year
Subject : Business Organization
Subject Code : CCP-104
Topic : Scope of Business
Duration : 50 mts
Sub-Topic : Trade Classification
Teaching Aids : Diagrams
CCP104.7 to 8 1
Objectives:

On completion of this period you would be

able to :
 Define trade
 Distinguish between Trade and industry
 Explain the various forms of trade

CCP104.7 to 8 2
Recap

You already know

 The definition of Business
 The Scope & Activities of Business
 The definition of Industry
• The definition of Commerce
• Differences between Commerce & Industry

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Trade

 Trade means buying and selling of goods.

 It is a branch of commerce.
 Includes all commercial activities which earn profit
 Transfer of goods, sale of goods from producer to
consumers.
 Trade= buying of goods + Adding of profit 
Selling of goods

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 Trade

Home Trade Foreign Trade

Whole Sale Export Trade

Retail Trade Import Trade

Local Trade Entrepot Trade

State Trade

Inter State Trade

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Sl. Differenc Industry Trade
no e
1 Definition A place of The activities include
conversion of raw- purchase of goods
material into goods adding profit and sale
and services
2 Scope Activities of The activities of
purchase, process, purchase, profit and
assembly sale
3 Capital It requires huge It requires capital
capital depending on type of
activities
4 Risk More risk depends The activities involve
upon type of industry more and more risk.
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Summary

We have discussed about

 Trade and its activities

 The types of trade
 Differences of industry, Commerce and
trade

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Quiz

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1. Trade is a branch of commerce.
Yes/No
Ans. Yes

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2.Trade means and includes:

• Purchase of goods
• Transfer of goods
• Selling of goods and services
• Purchase of goods, adding profit and sale.

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3.The Business is divided into

• Industry and personal services

• Industry , Commerce and Trade
• Trade and Aids to Trade
• None of the above

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Thank you

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