Sectors?

Question 1

What are the sectors called?

Answer 1

Primary
Secondary
Tertiary
(Private)

Question 2

What is the Primary sector-give examples?

Answer 2

Activities undertaken by directly using natural resources

Eg.agriculture, fishing, forestry

Question 3

What is the Secondary sector-give examples?

Answer 3

Involves converting raw material into finished goods

Eg.manufacturing/construction, assembly plants, (goods can be finished or unfinished)

Question 4

What is the Tertiary sector-give examples?

Answer 4

Provision of services

Eg.financial services, leisure services, transport

Question 5

What are 2 types of sector organisations?

Answer 5

Private and Public

Question 6

What happens in the private sector organisations?

Answer 6

In it businesses operated and owned by private individuals/companies-generally ‘for profit’ organisations

Question 7

What happens in the public sector organisations?

Answer 7

In it businesses operated and owned on behalf of the public, either by the government or itself-generally ‘non profit’ organisations

Question 8

Give some examples of third sector organisations?

Answer 8

Charities
Social enterprises
Cooperatives
Voluntary groups

Question 9

What is the private sectors layout?

Answer 9

Private sector splits into unincorporated and incorporated
Unincorporated splits into sole trader and partnerships
Incorporated splits into Private Limited Companies and Public Limited Companies

Question 10

What does an unincorporated business include?

Answer 10

Unlimited liability
They owner is the business-no legal difference
Most unincorporated businesses operate as sole traders

Question 11

What does an incorporated business include?

Answer 11

Limited liability
Legal difference between the business and the owner
Most incorporated businesses operate as private limited companies

Question 12

What do Limited Liability Partnerships(LLP’s)include?

Answer 12

Combined features of partnerships and limited companies
Separate legal entity(limited liability)
Owners are called members not partners
Required to file annual accounts to companies house like LTD’s

Question 13

Define unlimited liability

Answer 13

The business owners are personally liable for any loss the business makes
(Often sole traders and partnerships)

Question 14

Define limited liability

Answer 14

The business owners aren’t liable for any loss the business makes but the company is
(Often in LTD’s and corporations)