Business Activities: Definition & Types

An error occurred trying to load this video.

Try refreshing the page, or contact customer support.

Coming up next: Business Ownership Structures in India

You're on a roll. Keep up the good work!

Take Quiz Watch Next Lesson
 Replay
Your next lesson will play in 10 seconds
  • 0:04 Business Activities
  • 0:31 Types
  • 3:01 Relationships
  • 3:34 Lesson Summary
Save Save Save

Want to watch this again later?

Log in or sign up to add this lesson to a Custom Course.

Log in or Sign up

Timeline
Autoplay
Autoplay
Speed Speed

Recommended Lessons and Courses for You

Lesson Transcript
Instructor: Beth Hendricks

Beth holds a master's degree in integrated marketing communications, and has worked in journalism and marketing throughout her career.

Business activities encompass all types of actions meant to help a company earn profits. In this lesson, you'll learn more about business activities, the various types, and how they're interconnected.

Business Activities

If you do a quick scan of 'business activities' on a search engine, you'll come up with more than 382 million explanations of what that means. Luckily, the definition of business activities for this lesson can easily be defined in the following way: business activities are any actions taken by a company for the purpose of making money. Pretty simple, huh?

In the arena of business activities, there are three types or classifications. Let's take a closer look.

Types

Business activities, while ultimately all connected in their pursuit of economic success, have been broken down into three types to explain their place in the business world. They include:

1. Industry

Industries are marked on the basis of the products manufactured or produced. You've probably heard about the automotive industry, the restaurant industry, or the apparel industry - all named in a sort of self-explanatory fashion that should give you some idea what each of those industries produces. The automotive industry is concerned with all things dealing with vehicles; the restaurant industry provides a variety of lunches and dinners to hungry diners; and the apparel industry is focused on the buying and selling of clothing items for men, women, and children.

Inside of an industry are various components such as design, production, manufacturing, and processing, but each industry is focused on their particular products or services. Ultimately, in industry, the goal is to produce products that consumers will accept and purchase, to make that industry money.

2. Commerce

While industry focuses on making and manufacturing products, commerce works to take those products and get them in the hands of consumers. Commerce, as a part of business activities, focuses on the activities that facilitate the selling of goods. That might include:

  • Transportation, or getting products from one place to another through road, rail, air, or sea
  • Banking, or financial assistance to help produce and distribute goods
  • Warehousing, which serve as the middle men and helps in distributing goods
  • Marketing and advertising, or educating consumers and promoting products to increase awareness

Using these various categories, commerce is able to provide the manufactured goods to the right customers at the right time. Commerce encompasses both trade and auxiliary services. When all of those pieces work together, goods are efficiently distributed to the appropriate places.

To unlock this lesson you must be a Study.com Member.
Create your account

Register to view this lesson

Are you a student or a teacher?

Unlock Your Education

See for yourself why 30 million people use Study.com

Become a Study.com member and start learning now.
Become a Member  Back
What teachers are saying about Study.com
Try it risk-free for 30 days

Earning College Credit

Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.

To learn more, visit our Earning Credit Page

Transferring credit to the school of your choice

Not sure what college you want to attend yet? Study.com has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.

Create an account to start this course today
Try it risk-free for 30 days!
Create an account
Support