20 Firms

This sector contains firms that manufacture goods, constructions and changing raw materials into finished products.

• Primary Sector

• Secondary Sector

• Tertiary Sector

• Quaternary Sector

____________ means that the three sectors of industry depend on each other and cannot operate alone to produce goods and services.

• Intercultural

• International

• Interdependence

• Intersectoral

It refers to economic activity owned by private individuals and firms.

• Private Sector

• Public Sector

• Sole Trader

• Partnership

It is a business owned by shareholders, who are unable to buy or sell shares without the consent of other shareholders.

• Sole Trader

• Partnership

• Private Limited Company

• Public Limited Company

Which of the following statement is the aims of public sector.

• To earn profits for its owners.

• To embargo the local products.

• To provide service.

• To dismantle trade unions.

Which of the following is not a measure of relative size of firms.

• market share

• market capitalisation of a firm

• number of employees

• market place

It is an increase in the size of a firm resulting from it enlarging existing plants or opening new ones.

• internal growth

• external growth

• franchise

• merger

It occurs when two or more firms join together to form just one firm.

• merger

• demerger

• franchise

• takeover

It occurs when two or more firms from unrelated areas of business integrate to create a new firm.

• horizontal merger

• backward vertical merger

• forward vertical merger

• conglomerate merger

__________ are the cost-saving benefits of large scale operations which reduce average costs of production.

• Economies of scale

• Diseconomies of scale

• Internal Economies of scale

• External Economies of scale