What is a Cottage Industry_

The video explains the concept of a cottage industry, which is a small manufacturing business often run by family members from home. It contrasts cottage industries with service and retail businesses, providing examples like candle making. The term 'cottage' symbolizes family involvement and home-based operations. Although modern usage may not strictly adhere to these characteristics, the term still primarily refers to manufacturing businesses.

What distinguishes a cottage industry from a service-based business?

• It primarily offers digital services.

• It focuses on assembling or creating products for delivery.

• It is a type of retail business.

• It involves large-scale manufacturing.

Which of the following is a typical example of a cottage industry?

• Making candles

• Running a car dealership

• Developing a mobile app

• Opening a coffee shop

What is a key characteristic of the ownership of cottage industries?

• Owned by large corporations

• Operated by unrelated employees

• Managed by government entities

• Run by closely related individuals, often family

Why is the term 'cottage' used in cottage industries?

• Because they are part of the tourism industry

• Because they are always located in rural areas

• Because they are run from a home setting

• Because they involve high-tech manufacturing

How is the term 'cottage industry' often used in modern contexts?

• To refer to small manufacturing businesses

• As a synonym for large corporations

• To indicate a focus on digital services

• To describe any type of business