The document discusses different types of occupations and economic activities. It classifies occupations into business, profession, and employment. It also discusses the distinctions between these categories based on factors like nature of work, investment required, risk involved, and code of conduct. The document further explains different types of industries like primary industries involved in extracting and producing natural resources, and secondary industries including manufacturing and construction. It also discusses the role of commerce in facilitating trade through activities like transportation, banking, insurance, and warehousing.

1. Prepared By
Prasanth.S.R

2. The occupation of the people or economic
activities can be classified into three broad
categories as followers;
Business
Profession
Employment

3. Business refers to those economic
activities consist of production or purchase of
goods for sales or exchange goods or
providing services with the object of earning
profit. Those who are engaged in the business
activities earn income in the form of profit.

4. A profession may be defined as an
occupation which involves the rendering of
personal services of special and expert nature
, legal profession practiced by lawyers,
medical profession by doctors. Those
engaged in professions are known as
professionals. The specialised services are
rendered to their clients for a remuneration
called fees.

5. Employment is a kind of human
occupation where a person perform the work
assigned to him by his employer under an
agreement or rules of services in return for a
remuneration called salary or wages .

6. Basis Of Distinction Profession Employment Business
1 Establishment Membership Of Professional
Body
Service Contract Entrepreneur’s Decision
And Legal Formalities, If
Any
2 Nature OfWork Expert Professionalised
Service
Performing The Work
Assigned ByThe Employer
Production And Purchase
And Sale Of Goods And
Services
3 Basic Motive Service Income Profit
4 Qualification Professional Qualification
AndTraining
Qualification As Prescribed
ByThe Employer
Normal Qualification
Required
5 Investment Limited Capital For
EstablishmentOf Office
No Capital Required Capital Needed According
To Nature And Size Of
Business
6 Reward Fees Wages Or Salary Profit
7 Risk Very Less No Risk Risk Is Inherent
8TransferOf Interest Not Possible Not Possible Possible
9. Code Of Conduct As Laid Down By The
Professional Bodies
Terms And Conditions Of
Services
No Specific Code Prescribed

8. Industry refers to economic activities
connected with the raising , production,
conversion, processing or fabrication of
products. An industry may be primary or
secondary.

10. Which are concerned with the
extracting, producing, and processing of
natural resources. Such type of industry may
be further sub divided into two;
 Extractive Industry
 Genetic Industry

11. Which are engaged in the extraction or
production of wealth from soil, water or air
extracting minerals from under the earth,
fishing, procuring timber from forests, etc...
are activities of extractive industries.

13. Genetic industries refers to those
activities which are undertaken for
producing, breeding, multiplying certain
species of plants or animals with the object of
earning profits from their sales. Eg; cattle
breeding, poultry farmimg etc...

15. Secondary industries classified into;
 Manufacturing Industries
 Construction Industries.

16. Manufacturing industries refers to those
activities concerned with the conversion of
raw materials or semi-finished products
into finished goods. The manufacturing
activities may be undertaken on a small scale
using simple tools and equipments. But it is
usually done in factories.

18.  Analytical Industry : This industry analyse and
separates different element from the same minerals
eg.. oil refinery
 Synthetical Industry : This kind of industry
combines various ingredients into new product
eg...cement industry
 Processing Industry: Here involves successive stages
of manufacturing process to get finished goods eg..
sugar or paper industry.
 Assembling Industry : assembles different
components into a new product.eg.. computer or
television industry etc...

19. It refers to those
activities concerned
with the construction
of building, roads,
bridges, canals, etc..
their products are not
marketed like other
industries.

20. It provide support service to primary and
secondary industries. They also include
various activities relating to trade.

21. Commerce may be defined as “ the sum
total of all those processes which are engaged in
the removal of the hindrances of person , place
and time in the exchange of commodities”. It
includes trade & auxiliaries to trade. Buying and
selling of goods is termed as trade. Activities that
are required to facilitate the purchase and sale of
goods are called services or auxiliaries to trade
and include transport, banking, insurance,
communication, advertisement, packaging and
warehousing.

22. Trade is an essential part of commerce. It
refers to sale, transfer or exchange of goods. It
helps in making the goods produced available to
ultimate consumers or users. Trade may be
classified into two broad categories — internal and
external.
Types of trade
 Home trade(internal trade)
 Foreign trade (external trade)

23. It also called internal trade or domestic
trade consist of sale, transfer or exchange of
goods within country. The primary object of a
home trade is to bring about equitable
distribution of goods within the country.
Types of HomeTrade
 WholesaleTrade
 RetailTrade

24.  Wholesale trade
It involves buying goods from producers in
large quantities and selling them to retailers in
small quantities.
 Retail trade
Retail trade consists in the supply of the
requirements of the consumers in small
quantities needed by them . they buy large
quantity from whole salers and give to small
quantity to customers.

25. Wholesale
Trade
Retail
Trade

26. Foreign trade consists of trade among
different nations. Here goods are moved from
one country to another. Foreign trade is mostly
conducted on wholesale basis. It is also known
as international trade. It may be further divided
into;
 ImportTrade
 ExportTrade
 EntrepotTrade

27.  Import trade : which consist of purchasing of
goods from supplier of a foreign country for
home use.
 Export trade : which consist of the selling of
home goods to foreign countries
 Entrepot trade : which consists of importing of
foreign produced goods from some countries
with the object of re-exporting them to some
other countries.

28. Activities which are meant for assisting
trade are known as auxiliaries to trade. These
activities are generally referred to as services
because these are in the nature of facilitating
the activities relating to industry and trade.
Transport, banking, insurance, warehousing,
and advertising are regarded as auxiliaries to
trade.

29. Production usually takes place in particular
locations. Here there is an obstacle or barrier of place.
This is removed by transport through various modes_
road, rail, or coastal shipping transport makes possible
the physical movements of materials and goods from
the points of production to the place where they are
needed for consumption. Along with transport facility
there arises the need for communication facilities.
These will help producers, traders and consumers
exchange information with one another. Postal
services, Telephone facilities and various modern means
of communication

30. Business requires funds for acquiring
assets, purchasing raw materials and
meeting day to day expenses. Finance or
fund which is the foundations of business
activities is provides by banks. They accept
deposit from the public and provided credit
to the public.

31. In business , there are innumerable risk
such as destruction of property by fire,
earthquake, theft, damages of goods held in
stock, loss of goods in transit, etc... so,
insurance has been protects property and
human beings. On payment of a nominal
amount called premium, the amount of loss or
damages is compensates by the insurance
company.

32. Usually goods are produced in factories
or small scale business units are not sold or
consumed immediately . there are to be kept
in good condition and make them available
as and when needed. Measures should be
taken for storage of goods to prevent loss or
damage. Warehouse is help to storage and
stabilize price by equalizing supplies.

33. It is one of thee most important devices of
promoting sales, especially consumer goods
like soaps, detergent, electronic goods etc...it
helps in provide required information and
inducing them to buy particular items.