Companies and businesses are dealing with products and services. Each company has its own products and services needed. Not all products and services already exist, so there are constantly new things on the market. Not all products and services offered on the market.

Parallel economy

First, the economy contains an area where no money is used as a bargaining chip or no exchange occurs. The production, which is not in the statistics of the CBS (Central Bureau of Statistics) is recorded, called parallel economy. An example is the production in-house, including household and do-it-yourself. All products that the government release is generally not on the market. This is partly due to the fact that the government set up commercial and not supposed to make profit.

Collective farms

The companies that profit from its called collective farms. These companies form the market. It is difficult to say how many public companies have continued since that number varies, it is rather that a company goes bankrupt.

The market sector includes:

The primary sector. This sector is especially for organic products. These companies focused on everything to do with the earth. Examples include fisheries, forestry and mining.

The secondary sector. This industry processes the raw materials of the primary sector to a product. This sector is also called the industry.

The tertiary sector. All other businesses not listed above an industry are covered by the tertiary sector. Think services like telephone and internet. Only the collective services covered by the tertiary sector. The other, mostly government, are the quaternary or nonprofit sector.

Companies

Companies are companies that want to make maximum profit. Obviously, this collective farms. The profits of the company, part to the tax, the rest is divided among the owner (s). The big difference between a company and a collective farm is a business that not all profits to the owners (s) distributed, with a company that is the case. Not always is the maximum profit as the first on the wish of the director. He can also choose to quietly begin to get a good name, and later a lot of money. Also a business can choose to have a high market share (share of total sales of a product on the market concerned) in your hands and on that basis to generate more profits. If a company is one of the two tactics must rely on the short term loss, because product prices low to sell as much.


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