Trade

Overview

Welcome to the detailed overview of the Commerce course focusing on the topic of Trade. In this course, we will delve into the intricate world of trade, encompassing both Home Trade and Foreign Trade, to gain a comprehensive understanding of the various aspects that shape the global economy.

Starting with Home Trade, we will explore the realm of retail and wholesale trade. Retail trade involves various types of retailers, each playing a distinct role in the distribution chain. We will examine the functions of retailers, the factors that influence the establishment of retail businesses, and the evolving trends in retailing such as branding, self-service, and innovative concepts like vending machines and fuel vouchers. By understanding the advantages and disadvantages of retailers, we can appreciate their significance in the market.

On the wholesale trade front, we will differentiate between merchant wholesalers, agent wholesalers, and general wholesalers. Exploring the functions of wholesalers will shed light on their pivotal role in facilitating large-scale transactions. By evaluating the advantages and disadvantages of wholesalers, we can grasp the dynamics of intermediary trade.

Transitioning to Foreign Trade, we will analyze fundamental issues like the balance of trade, balance of payments, and the concept of counter trade. Understanding the procedures and documentation involved in export, import, and entrepôt trade will provide insights into the intricacies of international commerce. We will also explore the barriers that impede international trade, ranging from tariff barriers to non-tariff barriers.

Furthermore, we will delve into the role of government agencies such as Customs and Excise Authority and Ports Authority in regulating and facilitating foreign trade activities. By comprehensively examining these aspects, we aim to unravel the complexities of the global trade landscape and equip ourselves with the knowledge to navigate effectively in the competitive world of commerce.

Objectives

  1. Identify the Functions of Retailers
  2. Appraise the Role of Government Agencies in Foreign Trade
  3. Identify the Barriers to International Trade
  4. Classify Modern Retailing Practices
  5. Compare the Various Types of Retailers
  6. Explain the Procedures and Documents Used in Foreign Trade
  7. Discuss the Functions of Wholesalers
  8. Outline the Merits and Demerits of the Middleman
  9. Identify the Advantages and Disadvantages of Retail Business
  10. Classify the Types of Wholesalers
  11. Analyse the Basic Issues in Foreign Trade
  12. Highlight the Factors in Setting up Retail Trade

Lesson Note

Welcome students! Today, we are going to delve into the fascinating world of trade. Trade plays a crucial role in the economy, connecting consumers and producers, and fostering economic growth. We'll explore various aspects of trade, including domestic and international trade, the different players involved in the trade process, and the key documents and procedures. Let's get started!

Lesson Evaluation

Congratulations on completing the lesson on Trade. Now that youve explored the key concepts and ideas, its time to put your knowledge to the test. This section offers a variety of practice questions designed to reinforce your understanding and help you gauge your grasp of the material.

You will encounter a mix of question types, including multiple-choice questions, short answer questions, and essay questions. Each question is thoughtfully crafted to assess different aspects of your knowledge and critical thinking skills.

Use this evaluation section as an opportunity to reinforce your understanding of the topic and to identify any areas where you may need additional study. Don't be discouraged by any challenges you encounter; instead, view them as opportunities for growth and improvement.

  1. What are the different types of retailers? A. Sole traders B. Department stores C. Discount stores D. All of the above Answer: D. All of the above
  2. What are the functions of wholesalers? A. Breaking bulk B. Providing market information C. Financing D. All of the above Answer: D. All of the above
  3. What is a factor to be considered in setting up retail trade? A. Location B. Pricing C. Product quality D. Promotion Answer: A. Location
  4. Which of the following is a trend in retailing? A. Branding B. Door-to-door sales C. Referral marketing D. Traditional advertising Answer: A. Branding
  5. What is an advantage of retailers? A. Availability of credit facilities B. Limited product selection C. Higher prices D. Personalized customer service Answer: D. Personalized customer service
  6. Which type of wholesaler takes ownership of the goods they sell? A. Agent wholesalers B. Merchant wholesalers C. General wholesalers D. All of the above Answer: B. Merchant wholesalers
  7. What are the basic issues in foreign trade? A. Balance of trade B. Balance of payments C. Counter trade D. All of the above Answer: D. All of the above
  8. What is a barrier to international trade? A. Tariffs B. Free trade agreements C. Open market policies D. Trade promotions Answer: A. Tariffs
  9. What role do Customs and Excise Authorities play in foreign trade? A. Collecting taxes B. Enforcing trade regulations C. Facilitating trade agreements D. Providing export incentives Answer: B. Enforcing trade regulations
  10. What documents are used in import trade? A. Bill of lading B. Certificate of origin C. Commercial invoice D. All of the above Answer: D. All of the above

Recommended Books

Retailing Management
Retailing Management
Subtitle Strategic Approach
Publisher McGraw Hill
Year 2017
ISBN 9781259573086
International Trade: Theory and Policy
International Trade: Theory and Policy
Subtitle Global Edition
Publisher Pearson
Year 2014
ISBN 9789332536106

Past Questions

Wondering what past questions for this topic looks like? Here are a number of questions about Trade from previous years

JAMB UTME - Commerce - 2023 (Click to take full assessment)

Question 1 Report

A factor necessary for siting of a warehouse is nearness to

View Answer
NECO SSCE - Commerce - 2009 (Click to take full assessment)

Question 1 Report

A function of a retailer is to

View Answer
WAEC SSCE - Commerce - 2022 (Click to take full assessment)

Question 1 Report

One of the functions of commercial banks that cannot be performed by central banks is

View Answer
Practice a number of Trade past questions