T1: t5: Business Sectors

Question 1

What is the meaning of business sectors?

Answer 1

Sub divisions of economic activities according to primary activity

Question 2

What are the three business sectors?

Answer 2

1. Primary
2. Secondary
3. Tertiary

Question 3

What is the meaning of the primary sector?

Answer 3

1. Responsible for the extraction of raw materials from nature
2. Raw materials like coal, gold, fish are extracted
3. Extracted resources are forwarded to secondary sector

Eg. Mining, fishing, forestry, farming

Question 4

What is the meaning of the secondary sector?

Answer 4

1. Responsible for changing raw materials into useful products
2. Business buys raw material from suppliers and turn them into finished products
3. Products are manufactured and forwarded to tertiary sector

Eg. Industries, factories, buildings, construction

Question 5

What is the meaning of the tertiary sector?

Answer 5

1. Provides services and brings finished products to final consumer, which could be public or other businesses

Eg. Industries, distribution, banking, insurance, tourism, health, transportation, entertainment, retail, legal services

Question 6

Explain the relationship between the sectors

Answer 6

1. P depends on S for manufactured goods
2. P depends on T for services and customer needs
3. S processes raw materials obtained from P into more useful products
4. S depends on other S industries