Commerce & Functions of Commerce

                   

Commerce means..

Commerce refers to all those activities which help directly or indirectly in the distribution of goods to the ultimate consumer.There will be no use of producing goods unless and until these goods reach the ultimate consumer.Goods are produced at one place and consumer are scattered at different places.Consumer don't know what kinds of goods are produced by manufacturer.How much quantity required by consumers,all these problems like hinderance of place, hinderance of knowledge, hinderance of storage are solved by Commerce.

                     Functions of Commerce
😊 Removing the hinderance of place-Goods are produce at one place and consumers are scattered at different places ,so there is a problem how goods are moves to the consumers .transport segment of Commerce helps in moves goods from producers to consumers.Transport helps in removing the hinderance of place .. Transport is very important function of Commerce.

😊 Removing the hinderance of Time-Some goods are produced for particular season  and some goods are produced in particular season and demanded throughout the year like wheat ,rice,pulses etc .So there is a time gap between the production and consumption,so goods needs to be kept fresh and safe during time gap . Warehousing segment of Commerce helps in keeping goods safe and fresh till they are demanded.

😊 Removing the hinderance of persons-Person who produce large variety of goods are called producers .These are used by consumers.There is no direct connection between producers and consumers.Trade segment of Commerce helps in creates link between producers and consumers.

😊 Removing the hinderance of Risk-Business is uncertain,there are various types of risks which a businessman has to face . Insurance branch of Commerce helps in removing the hinderance of risk by providing protection and compensation to the businessmen.

😊 Removing the hinderance of knowledge-There are variety of goods are produced by the producers but consumers are unaware about the goods are produced by the producers as there is no direct communication between producers and consumers so the advertisement segment of Commerce helps in removing the hinderance of knowledge by spreading the awareness about the new products.