1.2 Classification Of Businesses

Question 1

Define primary sector

Answer 1

Extracts and uses the natural resources of earth to produce raw materials used by other businesses

Question 2

Primary sector examples

Answer 2

Farming, fishing, forestry, hunting, oil extraction

Question 3

Define secondary sector

Answer 3

Manufactures goods using the raw materials provided by the primary sector

Question 4

Secondary sector examples

Answer 4

Building + construction, aircraft + car manufacturing, bread baking, computer assembly

Question 5

Define tertiary sector

Answer 5

Provides services to consumers and the other sectors of industry

Question 6

Tertiary sector examples

Answer 6

Transport, banking, retail, insurance, hotels, hairdressing

Question 7

Define public sector

Answer 7

Businesses owned + controlled by the government

Question 8

Public sector examples

Answer 8

Health care, postal services, electricity network

Question 9

Define private sector

Answer 9

Businesses owned + controlled by private individuals (entrepreneurs, shareholders)

Question 10

Private sector examples

Answer 10

Nike, McDonald’s, virgin airlines

Question 11

Define mixed economy

Answer 11

Has both a private sector and a public sector