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Hello guys!

World is progressing rapidly, new technology are increasing rapidly. There are million or billions of products that are manufactured through out the world. Now, you cannot go and buy the product directly from the manufacturer, some of you might be able to buy directly, but not all of you are able to. The system which provide the product to you, it might be some retailer or wholesaler. The people who provide with such product are a system know as Commerce.

Definition:

              VIDEO CREDIT: Tanisha Adjo VIA Youtube

Commerce is a system that is present everywhere. This system is used with everything, whether it is a pack of cigarette or it is a car. System is providing us every single thing that satisfy our need. Commerce can be defined as.

"The system that embrace all those process, which help to break the barriers between producer and consumers"

Commerce is a combination of two Latin words, "Com" which means together and "Merx" which means goods. Commerce includes all those institution which are involve in, transferring product that are produced in various industries to the ultimate consumer. Commerce is a set of activities that facilitate each other in exchanging of products.

Advantages of Commerce:

There could be many advantages of commerce, i'm going to mention a few of them.

Availability of Goods:

As, i defined that commerce is a process, that help to break the barrier between producer and consumer. Commerce help us in such a way that, product are available at our doorstep. With the help of commerce products can be made available in all region of a country or state. Commerce can provide goods even in those region, where they aren't even produced.

Cheap Goods:

Their was a time, when good which were produced were only available to a limited region. The people who actually trade these goods, and cost people even double cost of that product. With the help of commerce, product produced are available every where. Which result in breakdown of monopoly. With commerce goods are available very easily and even at a cheap cost. Commerce facilitate the consumers as well as the commercial users by providing them required goods at lower rates.

Surplus Production:

With the help goods that are produced in a country, are not only traded in country but also in other countries. Commerce provides profit as goods are not only can be consumed in the country, but they are also exported to other countries in the world. 

Source of Employment:

In world commercial activities are increasing continuously, which are not only increasing profit but also employment opportunities for people. People are not only self-employed but number of opportunities are created. Commerce creates many employment opportunities like middlemen, sales man, marketing agent and many many more jobs.

Expansion in Business:

Commerce help a lot in the expansion of business. Commerce has a direct effect on the sales of any business and sales are the only thing that brings in the profit, in other word sales increase the asset of the business. Commerce also facilitate the business in obtaining of loan, modern technology, communication, raw material and machinery. 

Price stability:

Commerce and trade provide goods in all region of country, even where they are not even produced. With the help of commerce shortage of goods can be overcome by transferring all the product produced to the place, where their is huge demand of product. With this process of supply, prices remain stable and equal.

Control Over Monopoly:

Monopoly is a term that can be defined as, the exclusive possession of product or service which you alone possess. Monopoly can have a huge effect on the price of the product. As commerce is supplier of products, due to it we can have a control over the prices of product. Any industrialists who is enjoying monopoly in local market then importing of those product from other countries can break the monopoly of that person.

Control Over Food Shortage:

With the help of commerce, we have access over almost all the region of the world. In case of famine countries who face food shortage can import food from other countries in the world. The problem of famine can be solved in a very short span of time and all the countries can solve this problem, with the help of commerce.

Optimum Use of Resources:

The division of all the mineral, oil and gases are unfair in the world. Some countries have abundance of oil, but scarcity of mineral. With the help of commerce goods can be exported and imported easily with the help of commerce. Every country can be specialized in production of particular good, which is even better for the economic condition of the country. Need or demand of good can be fulfilled by importing and need of money can be fulfilled by exporting.

Increase in investments:

Commerce help in obtaining of new technology, loan and expansion by increasing the stock turnover of the business. More profitable a business is, more investments it get from people. Due to this people can invest more, with lesser risk and can earn a reasonable profit from their investment.

Agricultural Development:

 Commerce always facilitate in expansion of any business. Commerce play an essential role in agricultural development. With the help of commerce latest technology, seeds, fertilizers and pesticides are easily available to all the agriculturist. Moreover, the goods that agriculturist produce can be sold in those place where they have more demand of it and can result in it's development.

Industrial Development:

Commerce not only helps in agricultural development, but it also help in development of industries. Commerce provides better opportunities for industrial development. Commerce facilitate the industry by distributing its product to various markets and providing it with the cheapest and high quality raw material and also modern means and machinery.

Increase in national income:

Commerce help us in various section of a country, It provides us with employment opportunities, helps in agricultural development, help in industrial development. These all thing are result in increase in national income of a country, which make a country financially independent and a stable country.

Better living standards:

Commerce facilitate all those process which provide goods in cheap prices and high quality goods. These all things satisfy the need of people and improve their overall living standards, promote saving and increase the income of the people.

Consumer knowledge:

 Commerce not only provide people with goods & services, but they also provide consumer with knowledge. Commerce enhances the knowledge of consumers and traders about laws. With this they can learn various laws of import and exports. It also help consumer is in making a buying decision.

Invention:

Commerce has provided every kind of product in all the regions of world, which has increased the competition between the producers. Producers are developing new ideas and new techniques which can make a old product better or even invent a new product.

 

This was my blog and all i know about commerce, hope you like the blog and Thank you! for reading the blog.