Q.Distinguish between Home trade and Foreign trade.
🔒You're viewing a preview — the full solution, concept, methods & PYQ mapping are locked.
🔒 Start your 14-day free trial to unlock the full solution →Concept understanding — Types of Entrepreneurs
Entrepreneurs are classified on several bases: by type of business (business, trading, industrial, corporate, agricultural entrepreneur), by use of technology (technical vs non-technical entrepreneur), by motivation (pure, induced, motivated, spontaneous entrepreneur), by stage of development (first-generation, modern, classical entrepreneur), an …
Trade means the buying and selling of goods and services. It is of two kinds depending on whether the buyer and seller are in the same country or in different countries — home trade and foreign trade. …
Home trade is buying and selling within a single country in home currency with no customs formalities; foreign trade is exchange of goods between countries, involving foreign currency, customs duties, documents, licences and government regulation.
Home Trade versus Foreign Trade
| Basis | Home Trade | Foreign Trade |
|---|---|---|
| Meaning | Buying and selling of goods within the same country | Buying and selling of goods between different countries |
| Also called | Internal / domestic trade | External / international trade |
| Area | Confined to one country | Crosses national boundaries |
| Currency used | Only the home (national) currency | Involves foreign currency / foreign exchange |
| Customs duty | No customs duty | Customs (import/export) duties are payable |
| Documents | Few and simple documents | Many documents (bill of lading, letter of credit, invoices, etc.) |
| Restrictions | Free, with few restrictions | Many restrictions — licences, quotas, exchange control |
| Risk | Comparatively low | Higher (distance, exchange-rate and political risk) |
Showing the 12 most recent of 14 on this concept.
- CBSE 2026Set ANNUAL2 marksQ.Write a short note on: Warehouse
›Reveal solutionSolution
A warehouse is a place for the safe storage of goods until they are needed, and warehousing bridges the time gap between production and consumption. This is a short TS Intermediate 2nd-year Commerce 2-mark term.
Explanation
A warehouse is a building or specially designed place used for the storage and preservation of goods from the time they are produced or purchased until the time they are sold, distributed or consumed. Warehousing is one of the important aids/auxiliaries to trade because goods are usually produced in anticipation of demand and are not sold immediately. By storing goods safely, a warehouse removes the hindrance of time, ensures a regular and continuous supply to the market, protects goods from loss, damage and theft, and enables businesses to hold stock to meet future demand. There are different kinds of warehouses — private, public, bonded and cold-storage (refrigerated) warehouses. T …
- CBSE 2024Set ANNUAL2 marksQ.Write a short note on: Types of entrepreneurs
›Reveal solutionSolution
Entrepreneurs are commonly classified by their attitude to innovation into innovative, imitative (adoptive), Fabian and drone entrepreneurs, and by their scale and field of activity into small-scale, large-scale, agricultural, industrial, trading and women entrepreneurs.
Types of Entrepreneurs
On the basis of attitude to change (Clarence Danhof's classification):
- Innovative entrepreneurs — introduce new products, methods or markets.
- Imitative (adoptive) entrepreneurs — copy or adopt successful innovations of others.
- Fabian entrepreneurs — are cautious and change only when it is clearly necessary.
- Drone entrepreneurs — resist change and refuse to adopt new methods even at a loss. …
- CBSE 2024Set ANNUAL2 marksQ.Write a short note on: Types of entrepreneurs
›Reveal solutionSolution
The best-known classification of entrepreneurs is Danhof's, based on willingness to adopt change: innovative, imitative, Fabian and drone entrepreneurs.
Types of Entrepreneurs (Danhof's Classification)
- Innovative entrepreneurs - Introduce new products, methods, markets and organisations; they are dynamic and creative.
- Imitative (adoptive) entrepreneurs - Do not innovate themselves but readily copy and adopt successful innovations of others; common in developing countries.
- Fabian entrepreneurs - Very cautious and sceptical; they adopt change only when it becomes absolutely necessary to survive.
- Drone entrepreneurs - Highly conservative; they refuse to adopt any change even at the cost of losses and may be pushed out of the market. …
- CBSE 2022Set ANNUAL2 marksQ.Write about Drone Entrepreneurs.
›Reveal solutionSolution
Drone entrepreneurs, in Danhof's classification, are highly conservative entrepreneurs who resist all change and refuse to adopt new methods or technology even at the cost of losses, often leading to their business being pushed out of the market.
Meaning
Clarence Danhof classified entrepreneurs, on the basis of their willingness to adopt change, into innovative, imitative/adoptive, Fabian and drone entrepreneurs. Drone entrepreneurs are the most rigid and conservative of all. They refuse to make any change in their products or methods of production, reject new technology and opportunities, and continue with their old-fashioned ways even when they are incurring losses. Because they do not adapt, they may lose their market and be forced to shut down. …
- CBSE 2022Set ANNUAL2 marksQ.What do you mean by Multiple Shops?
›Reveal solutionSolution
Multiple shops, or chain stores, are a chain of similar retail outlets in different areas, all owned and centrally controlled by one organisation, selling standardised goods at uniform prices.
Meaning
Multiple shops (also called chain stores) are a type of large-scale retail trade in which a business firm opens a number of identical retail shops in different localities, towns or cities. All the shops are owned, managed and supplied by a single central organisation. They sell the same kind of standardised branded goods at the same (uniform) prices, usually on a cash basis. Purchasing is centralised, which gives economies of bulk buying, while selling is decentralised across many outlets. Examples include branded footwear …
- CBSE 2020Set ANNUAL2 marksQ.Write any two types of entrepreneurs.
›Reveal solutionSolution
Two types of entrepreneurs are the Innovative entrepreneur (who creates new products/methods) and the Imitative entrepreneur (who copies proven ideas).
Types of Entrepreneurs
Entrepreneurs are classified on the basis of their approach to innovation (a classification associated with the economist Clark/Schumpeter-style grouping used in the AP Inter 2nd-year Commerce syllabus). Two important types are:
- Innovative Entrepreneur — introduces new goods, new methods of production, new markets or new sources of raw material. Such entrepreneurs are creative, take bold risks and drive economic growth. Example: a person who launches a new type of product never seen before. …
- CBSE 2020Set ANNUAL2 marksQ.Adoptive Entrepreneur.
›Reveal solutionSolution
An adoptive/imitative entrepreneur copies the successful innovations of others rather than creating his own. This is a short TS Intermediate 2nd-year Commerce 2-mark term from the classification of entrepreneurs.
Explanation
In the classification of entrepreneurs by Clarence Danhof, the adoptive entrepreneur (also called the imitative or Fabian-adjacent type) is one who does not undertake original innovation but adopts and imitates the technology, products or methods successfully introduced by innovative entrepreneurs. He is ready to copy and apply proven innovations once their success is demonstrated. Such entrepreneurs play an important role in developing and underdeveloped economies, because they quickly spread new ideas and technologies without bearing the high risk of original innovation. This is TS Intermedia …
- CBSE 2020Set ANNUAL2 marksQ.What is Bonded warehouse ?
›Reveal solutionSolution
A bonded warehouse is a customs-licensed warehouse where imported goods are stored before duty is paid. This is a short TS Intermediate 2nd-year Commerce 2-mark term from international business.
Explanation
A bonded warehouse is a warehouse owned by the dock/port authorities or a private party and licensed by the customs department for storing imported goods on which the customs duty has not yet been paid. When goods arrive by sea, the importer may not be able to pay the full customs duty at once; such goods are kept in a bonded warehouse under the control of customs. The importer can take delivery in parts, paying the duty proportionately as the goods are released. If the goods are re-exported, no import duty is payable. Thus a bonded warehouse gives the importer time and flexibility and also keeps dutiable goods secure until duty is paid. This is TS In …
- CBSE 2019Set ANNUAL2 marksQ.Write any two types of entrepreneur.
›Reveal solutionSolution
Entrepreneurs can be classified in many ways; two common types are the innovative entrepreneur (who introduces something new) and the imitative/adoptive entrepreneur (who copies proven innovations).
Any Two Types of Entrepreneur
- Innovative Entrepreneur – This entrepreneur is creative and introduces new products, new methods of production, new markets or new forms of organisation. Such entrepreneurs take the lead and are common in developed economies.
- Imitative (Adoptive) Entrepreneur – This entrepreneur does not innovate but copies or adopts the successful techniques and innovations of others, suiting them to local conditions. Such entrepreneurs are common and useful in developing economies. …
- CBSE 2019Set ANNUAL2 marksQ.Define Adoptive Entrepreneur.
›Reveal solutionSolution
An adoptive (imitative) entrepreneur is one who copies or adopts the successful innovations of others rather than creating his own, and so helps spread new ideas, especially in developing economies.
This classification of entrepreneurs is part of the entrepreneurship development portion of the TS Intermediate 2nd-year Commerce course, which aligns closely with the NCERT/CBSE commerce curriculum.
Meaning of Adoptive Entrepreneur
Based on the degree of innovation, entrepreneurs are classified by Clarence Danhof into innovative, adoptive (imitative), Fabian and drone types. An adoptive or imitative entrepreneur is one who does not introduce fresh innovations himself but readily adopts, imitates or copies the successful technology, products and methods already introduced by innovative entrepreneurs. Because they put proven ideas to use quickly and with less risk, adoptive entrepreneurs are especially valuable in developing and unde …
- CBSE 2018Set ANNUAL2 marksQ.Explain Adoptive Entrepreneur.
›Reveal solutionSolution
An adoptive (imitative) entrepreneur does not innovate himself but copies and applies the successful technology and methods already developed by innovative entrepreneurs; he is important for spreading new ideas, especially in developing countries.
Adoptive (Imitative) Entrepreneur
In the TS Intermediate 2nd-year Commerce entrepreneurship unit, entrepreneurs are often classified (following Clarence Danhof) by their attitude towards innovation into innovative, adoptive (imitative), Fabian and drone entrepreneurs.
The adoptive or imitative entrepreneur is the one who:
- Does not create new things himself, but adopts or imitates the innovations, technology, products or methods successfully introduced by innovative entrepreneurs.
- Waits and watches which ideas succeed, and then applies those proven ideas to his own enterprise, thereby running less risk than the original innovator. …
- CBSE 2018Set ANNUAL2 marksQ.Write about Cheap Jacks.
›Reveal solutionSolution
Cheap Jacks are small itinerant retailers who open a temporary stall in a locality to sell cheap consumer goods, and move on to another locality once sales fall — they have a semi-fixed shop but keep changing their location.
Cheap Jacks
In the TS Intermediate 2nd-year Commerce internal-trade unit, retailers are classified into itinerant (mobile) retailers and fixed-shop retailers. Cheap Jacks are a type of itinerant retailer.
Their main features are:
- They take a small room or spot on rent in a locality and open a temporary shop or stall there, so they are a little more settled than a hawker or pedlar.
- They deal in cheap, low-priced articles of daily use — toys, hosiery, household goods, cosmetics, novelties, etc.
- They shift from one locality (or town) to another once the sales in a place slow down, carrying their stock to a new area with fresh demand. …
🎓Unlock everything free for 14 days
- ✓Full step-by-step solutions
- ✓Concept-first explanations
- ✓Methods, shortcuts & mistakes
- ✓PYQ mapping + timed mock tests
Full access for 14 days. No credit card required.