Commerce

This refers to the various ways by which government controls the activities of business organization to ensure social and economic order in the society.  REASONS FOR GOVERNMENT REGULATION OF BUSINESS To raise money through taxes e.g. V.A.T. Education tax etc To protect consumers against exploitation by producers and middle-men eg by ensuring quality products or […]

DUTIES OF THE EMPLOYER To pay wages – i.e. enumeration To provide work which the employee will handle To give holidays to the employee Duty to take reasonable care for his employee’s safety Indemnity – The employee must reimburse the employee for any expense / loss incurred on behalf of the employee. Duty to provide

SALE OF GOODS A contract of sale of goods is a contract whereby the seller transfer the property in goods to the buyer for a money consideration called the price. The parties to this contract are known as the seller (vendor or transferor) and the buyer (vendee or transferee). The seller must be either the

An agent could belong to one of the following classification: Universal Agent – An agent given unlimited or unrestricted power to enter into any type of business contract on behalf of the principal. General Agent – An agent that has authority to act in all matters relating to a particular business. A Commissioned Agent –

What is an agency? An agency is a relationship which arises whenever one person (the agent) acts on behalf of another person (the principal) and has the power to affect the principal’s legal position with regard to a third party. In practice, the two most important functions of an agent are: Making contracts on his

A Contract is an agreement between two or more parties which creates legal rights and obligations as between the parties involved.  Parties to a Contract This is the identity given to the persons who have made an agreement that is recognized by law as a valid contract e.g. Landlord and Tenant Insurer and Insured Bank

Public relation is the image building done by an organization to give the public favourable impression about its aims and policies.  FUNCTIONS OR IMPORTANCE OF PUBLIC RELATIONS It ensures the maintenance of a favourable relationship between an organisation and the general public It helps to increase the goodwill of a company or business It is

Advertising is the branch of commerce which deals with promoting sales of goods, services or ideas through messages that are meant to inform, educate and persuade the general public by means of various methods such as newspaper, radio, television.  FUNCTIONS OF ADVERTISING Creation of demand for goods and services Informing customers about the existence of

Marketing may be defined as the process of assessing consumer needs, wants, preferences and demand; designing and producing goods and services that will satisfy such wants and moving such gods and services to the final consumer at a profit to an organisation.  Importance of Marketing to the Economy It encourages mass- production which leads to

Wholesale trade (wholesaling) involves the buying of goods in large quantities from the producers or manufacturing and re-selling in small quantities to retailer. A wholesaler is a trader who purchases goods in large quantities from the manufacturing and sell in small quantities to the retailers.   FUNCTIONS OF THE WHOLESALER To the Manufacturer He gives

Self-service: This is a method that allows customers to do their shopping in a shop with little or no assistance from sales attendants.  The goods are conspicuously displayed and arranged on the shelves of shops with price tags.  The customers goes about in the shop, examines the good displayed, compares them, tries them on, where

TYPES OF LARGE SCALE RETAILING A          MULTIPLE SHOPS OR CHAIN STORES These are large scale retail businesses consisting of a number of similar shops or branches spread or located in different towns/ cities all over a country. They sell the same type of goods and all the shops are controlled from the head office e.g.

There are several types of size of retail outlets which for easy analysis can be grouped into two, namely: Small scale and Large scale retailing   TYPES OF SMALL SCALE RETAILING Itinerant Traders: The common feature of itinerant traders is that they move from place to place to sell, thereby making goods handy for customers

Trade (Trading) is the buying and selling of goods and services. It is divided into Home Trade and Foreign Trade. Home Trade involves the exchange (i.e. buying and selling) of goods and services within a country and sub-divided into wholesale trade and retail trade.   RETAIL TRADE Retail trade involves buying in small quantities from

Production is the changing of raw materials into finished goods and the distribution and provision of goods and services in order to satisfy human wants. Production is also referred to as the creation of utility. (Utility is the ability of any commodity or services to satisfy human wants).  TYPES OF GOODS CAPITAL GOODS (PRODUCER GOODS):

Occupation can be defined as any job that is legal in which people are engaged in order to earn a living. CLASSIFICATION OF OCCUPATIONS Occupations are classified into six major divisions namely: Extractive Occupation Manufacturing Occupation Constructive Occupation Commercial Occupation Direct Services Indirect Services   EXTRACTIVE OCCUPATION: This involves all kinds of works concerned with

DEFINITION OF COMMERCE Commerce is the study of production, distribution and exchange of goods and services aimed at satisfying human wants and in order to earn a living.   THE IMPORTANCE (FUNCTIONS) OF COMMERCE It provides employment opportunities for the people. It makes production and exchange of goods and services possible. It improves the standard

SPECIAL TRADE TERMS AND MEANS OF PAYMENT TERMS OF QUOTING PRICE. CIF (Cost, Insurance and Freight): A price quoted CIF simply means that it includes the cost of goods insurance, carriage to the port of destination but exclude delivery from the dock to the purchaser’s premises. The importer is responsible for other charges. FOB (Free

Documents used in buying and selling of goods. When business transactions occur, certain documents are drawn up and passed from one person to another. These documents are used to effect transactions between buyers and sellers. The documents are explained below;   TRADE JOURNAL: This is a publication devoted to a particular branch of retail and

Commodity can be defined as food or other agricultural products such as wheat or cocoa and natural resources such as oil, or gas and metal such as gold or silver. It can also be standardized goods which are traded in bulk and whose units are interchangeable. They are mostly output of the primary sector that