• Primary sector: Involves the extraction of natural resources.

  (e.g., farming, fishing, mining)

• Secondary sector: Involves the manufacturing and processing of raw materials.

  (e.g., car factories, textile mills)

• Tertiary sector: Involves providing goods and services directly to the consumers.

  (e.g., banking, retail, transport)

CHAIN OF PRODUCTION:

The production and supply of goods to the final consumer involves activities from the primary, secondary, and tertiary sectors.

Reasons for changing the importance of business sectors:-

• Industrialization: refers to the decline in the primary sector in developing economies. 

• De-industrialization: refers to the decline in the secondary sector in developed economies

• Private sector: where resources are owned, controlled, and financed by private individuals or organizations to generate profit.

• Public sector: where resources are owned, controlled, and financed by the state or government.

• Mixed economy: where resources are owned, controlled, and financed by both public and private sector businesses.

Written by Caroline and Ziana

Edited by Suprit