Q.Explain the classification of business activities with examples.

Business activity as a whole splits first into industry and commerce, and each of these splits further. …

Business activity is broadly classified into industry and commerce, and each of these has further sub-divisions.

Industry covers production, processing, and extraction of goods, and is of three kinds:

• Primary industries: extractive (mining, fishing, forestry, agriculture -- for example, coal mining) and genetic (plant nurseries, poultry farming -- for example, a dairy farm).
• Secondary industries: manufacturing (for example, a textile mill converting cotton into cloth) and construction (for example, building a bridge or a housing complex).
• Tertiary (service) industries: transport, banking, insurance, warehousing, and communication -- for example, a bus transport company.

Commerce covers the movement of goods from producers to consumers, and has two parts:

• Trade: the actual act of buying and selling, split into (a) internal (home) trade -- within the country, further divided into wholesale trade (for example, a wholesaler supplying a whole town's retailers) and retail trade (for example, a neighbourhood grocery store selling directly to households) -- and (b) external (foreign) trade -- across borders, split into export trade (for example, exporting textiles abroad), import trade (for example, importing crude oil), and entrepot trade (importing goods and re-exporting them to a third country, often after processing). …

A frequent slip is placing "aids to trade" under industry instead of commerce, or forgetting entrepot trade en …