Types of Businesses Producers Intermediaries Service Businesses.

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Presentation transcript:

Types of Businesses Producers Intermediaries Service Businesses

Producers Create the products and services used by individuals and other businesses Extractor A business that takes resources from nature for direct consumption or for use in developing consumption or for use in developing other products Examples: Pump Oil, Mine Coal, Cut Timber

Producers Farmers cultivate land and use other natural resources to grow crops and livestock for compensation. Manufacturers get supplies from other producers and convert them into products.

Intermediaries Businesses involved in selling the goods and services of producers to consumers and other businesses Retailers and wholesalers Most specialize - Transportation companies, advertising agencies, storage centers, data processing centers

Service Businesses They offer something that is intangible Carries out activities that are consumed by its customers Does not offer products to sell Examples? Dentists Lawyers Painters

Pass the pen - P – Producer I – Intermediaries S – Service Business Can a company be more than one?

Handout – July Employment In which industries is employment growing? In which industries is employment shrinking? Which of the PIS is growing the most according to the charts? Why do you think it is growing?

Which is the fastest growing business? Producers Intermediaries Service Businesses Over 60% of all US Employment is in service businesses