A292 - Business and People

Question	Answer
What are the 3 business sectors?	Primary, Secondary and Tertiary
What is the primary sector?	The primary sector is the first stage of production. Businesses within the primary sector include: Fishing, Mining and Farming
What is the secondary sector?	The second stage of production, businesses will use raw materials from the primary sector and manufacture products with them.
What is the tertiary sector?	The tertiary sector is providing a service to its customers, and can include businesses such as: Retailing, Banking, Insurance
How do the three sectors rely on each other?	The three sectors all rely on each other and is called 'The chain of production'. For example, diamonds are mined (primary), a jewellery business will then create a ring from it (secondary) and a jeweller will sell it (tertiary).
What is specialisation?	When a business is in one sector only, it will usually specialise in that area, for example, a toy maker is specialised in making toys. The toy maker will then leave a tertiary sector business to sell the product.
What is added value?	Added value is the value added through changes to the raw material, when the raw material is changed into a product the secondary business is 'adding value'.

Resource summary

	Created by Jim Bob over 9 years ago