This document discusses industrial goods and consumer goods. Industrial goods are machinery, components, and raw materials used in production of other goods. They have limited buyers like other industries. Consumer goods are final products purchased by individuals, like food and clothing. They have many buyers. The document compares the two types of goods, noting industrial goods have derived demand, fewer buyers, and more technical considerations, while consumer goods have direct demand and are geographically dispersed for many buyers.

1. INDUSTRIAL GOODS AND COSTOMER GOODS

2. PRESENTED BY
ASHUTOSH PATTNAIK

3. CONTENTS
1. ABOUT GOODS
2.INDUSTRIAL GOOD
3.CONSUMER GOODS
4.COMPARISON

4. ABOUT GOODS
1. Commerce: An inherently useful and relatively scarce
tangible item (article, commodity, material, merchandise,
supply, wares) produced from agricultural, construction,
manufacturing, or mining activities. According to the UN
Convention On Contract For The International Sale Of
Goods, the term 'good' does not include
(1) items bought for personal use,
(2) items bought at an auction or foreclosure sale,
(3) aircraft or oceangoing vessels.
2. Economics: A commodity, or a physical, tangible item that
satisfies some human want or need, or something that
people find useful or desirable and make an effort to acquire
it.

5. TYPES
Goods are of varius types according to varius basis but
it is of two types on the basis of its consumer/buyer
types
1) Industrial goods
2) consumer goods

6. INDUSTRIAL GOODS
Machinery, manufacturing plants, materials, and
other goods or component parts for use or consumption
by other industries or firms. Demand for industrial
goods is usually based on the demand for consumer
goods they help produce (called derived demand). They
are classified as
(1) Production goods, that enter the production of a
final product, such as the raw materials and component
parts, or
(2) Support goods, that assist in the production process,
such as fixed equipment and machinery, instruments,
jigs, tools, etc.

7. EXAMPLES OF INDUSTRIAL GOODS
flap-disc-power-tool vacuum-cleaner-fan
fan-ventilator

8. CONSUMER GOODS
Consumer goods are products that are
purchased for consumption by the average
consumer. Alternatively called final goods,
consumer goods are the end result of production
and manufacturing and are what a consumer will
see on the store shelf. Clothing, food and jewellery
are all examples of consumer goods. Basic
materials such as copper are not considered
consumer goods because they must be transformed
into usable products.

9. EXAMPLE OF CONSUMER GOODS
Name of company Product name
COCACOLA COLD DRINKS
HUNDAI AUTOMOBILE (CAR)
TATA STEAL AND CO. STEAL
Gilette U.K Ltd BLADE
CADBURY Company Ltd. CHOCOLATE
ITC CIGRATE
HP COMPUTER

10. COMPARISION
1. Number of Buyers:
Numbers of buyers of industrial products are limited as compared to consumer
products.
2. Channel of Distribution:
Shorter channel of distribution is used for sale of industrial products as there are
limited buyers. But in case of consumer goods there are infinite number of
consumer so channel of distribution is very long
3. Geographical Concentration:
Generally the demand for industrial goods is not scattered but is concentrated at a
fixed geographical location. But in case of consumer goods it is scattered because
consumer of every geographical location want it.
4. Derived Demand:
Industrial products are demanded to produce consumer products that is why it is
called derived demand, but in case of consumer goods it is demanded by
consumer directly and called direct demand

11. 5. Technical Consideration:
Industrial products are produced as a result of complex process so
there is more technical consideration of these products. But in case
of consumer goods there is less technical consideration on this
product.
6. Reciprocal Buying:
Some industries buy product from a company with intention of
selling the finished goods to the same company. For example the
Maruti Co. may buy tyres from MRF Company and tyre Company
may in turn buy car from Maruti Co.
7. Combination:
Some industrial products are also sometime combine to create
consumer product. But in case of consumer goods it can’t be.