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What are the branches of commerce?

trade and aids to trade


6 Answers

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Commerce refers to activities connected with transferring goods from manufacturers to consumers. Branches of commerce include trade, transport, banking, insurance warehousing, advertising and communication.

Thus commerce has a wider connotation than trade. Trade means buying and selling goods. Wholesale traders buy goods from the manufacturers or from other wholesale traders, and sell them to retail traders or other wholesale traders, while retail traders sell goods to the
consumers.

Commerce ensures the smooth flow of goods from the producer to the user with the help of aids to trade. The aids to trade consist of transport, banking, insurance warehousing, advertising and communication. The two main aspects of commerce are trade and aids to trade.



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It is of various type
1. Trade
2. Transport
3. Insurance
4. Communication
5. Warehousing
6. Banking



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Trade: Trade removes the hindrance of people through wholesalers, retailers, and mercantile agents. cargo is owned and possessed by those who generate them.

Transport: Transport eliminates the difficulty of place. Products may be created at places where they are in fewer demands. These goods are delivered to the place of utilization. By the help of transport services, we can form “place utility” in goods. The goods are taken from a place where there are fewer demands to the localities where they are in extra demand.

Warehousing: Warehousing covers the obstacle of time. Many goods, such as cotton, juice, food grains, sugar, etc., are produced during particular seasons of the year, but they are needed year round.

Banking: There is also the difficulty of finance to consider. There is constantly a time-gap among the time of production and use.

Advertisement and salesmanship: Advertisement and salesmanship help in informing consumers about the availability and usefulness of various products in the market. With the advent of radio, television, the Internet, etc., Consumers may not be aware of the availability of various goods in the market. Misinformation about goods is a great barrier to buying them. The manufacturer will also like to have extra clients.

Communication: The buyers and sellers want the services of different agencies for communicating their messages between themselves. The producers notify their clients about the construction of goods. The intending buyers send orders to the manufacturer for the delivery of goods. The services of post offices, private courier services, faxes, telephones, cell phones, etc., are utilized for communication.



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The branches of commerce include; 1) insurance 2) banking 3) advertising 4) communication 5) trade



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The branches of business or commerce are:
1.industry- manufacturing which is divided into process and assembling, construction, extractive.
2. services- direct and indirect.
3. commerce- trade which is divided into home and foreign trade, aids or auxilliaries to trade which is further divided into seven others e.g salesmanship, banking , insurance e.t.c



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Commerce refers to activities connected with transferring goods from manufacturers to consumers. Branches of commerce include trade, transport, banking, insurance warehousing, advertising and communication.

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