Commerce is a business component which is related with the marketing and selling of products and services. It has some key features or characteristics such as profit motive, economic activity, marketing, creating utility etc.
Characteristics of commerce can be discussed as follows:
1. Economic activity
Commerce is an economic activity. A trader buys and sells and goods to earn profit and wealth. It is expressed in monetary terms.
2. Profit
Profit is another characteristic of commerce. The motive of commerce is to earn profit. Gift of goods to friends is not commerce. Profit drives the engine of commerce.
3. Marketing
Commerce involves marketing. It involves exchange, distribution and promotion of products. It is done on a regular basis. Marketing is done to create and satisfy customers.
Characteristics of commerce can be discussed as follows:
1. Economic activity
Commerce is an economic activity. A trader buys and sells and goods to earn profit and wealth. It is expressed in monetary terms.
2. Profit
Profit is another characteristic of commerce. The motive of commerce is to earn profit. Gift of goods to friends is not commerce. Profit drives the engine of commerce.
3. Marketing
Commerce involves marketing. It involves exchange, distribution and promotion of products. It is done on a regular basis. Marketing is done to create and satisfy customers.
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4. Components of business
Commerce is a component of business. It deals in goods produced by industry. Industry produces and commerce disposes goods.
5. Utility
Commerce creates place and time utilities to satisfy customers needs. It transports goods from place of production to place of consumption to create place utility. It stores products for future uses which creates time utility.
Commerce is a component of business. It deals in goods produced by industry. Industry produces and commerce disposes goods.
5. Utility
Commerce creates place and time utilities to satisfy customers needs. It transports goods from place of production to place of consumption to create place utility. It stores products for future uses which creates time utility.
