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Summary IGCSE Commerce: Types Of Industries Notes (No Book Needed!)

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These class notes aid in removing the need for a book as they make clear all the topics needed to understand the chapter on Production for O level and IGCSE Commerce.

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TYPES OF INDUSTRIES
(PRIMARY, SECONDARY, TERTIARY)


Production is classified into three categories or branches of
production, primary production, secondary production and
tertiary production. But before going into their details let us
discuss the production can be of two types:


Direct production: When the person produces what he needs
by himself, it is called direct production. It is sometimes also
referred as self-production. Example, growing vegetables
needed by the family in the home garden itself, or making a
chair at home to be used by the family for sitting.
Indirect production: When goods, services and ideas are
produced with the intention of selling them in the market it is
called as indirect production. It is because goods are produced
aiming at the market. Most of the production activity in the
world belongs to indirect production.

, Now, as discussed earlier, categories of production can be
described as follows.


Primary production (or Agriculture production)
This is the first stage of production. Primary sector involves
changing natural resources into primary products. These are the
industries would utilize resources in their natural form itself.
They can be categorized as, agriculture, forestry, animal
production (farm products) and fisheries, et cetera.
Primary sector also includes extractive industries which are
concerned with the physical taking out of metals and minerals
from the Earth. For example, mining, quarrying, dredging, et
cetera.
There are two main types of primary production:
1. Exhaustive industries: Those industries that take
resources from nature and are not replaced. For example,
mining and quarrying, et cetera.
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