Views: 1724 Posts: 0 Started By: oladamats Last Poster: oladamats Last Post Date: Apr 23, 2018

April 23, 2018 ( Post 1 )

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Commerce SOLUTIONS

Commerce-Obj
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1a choose 2
1. The nature of goods and services : Some goods and services are suitable for large scale production while others cannot produced on large scale.
2. Increase cost of production : If cost of production is increasing as a result of high cost of inputs, division of labour cannot be possible.
3. Managerial ability : Managerial ability must be duplicated as the firm expands .This causes difficulties to management in organizing and coordinating the factors of production employed.
4. The size of the market :

5. Low development of distribution.

6. Government policies.

1b. Choose 3
Advantages of Division of Labour

1. Higher productivity:
2. Lower costs:
3.Simplified training:
4. Inventions:
5. Greater cooperation:
6. Better goodwill:

2a)
1. accessibility to the retail outlet for example is it close to the road so people can easily reach it not in some back alleyway
2. target group of customers to be attracted
3. competition from other retail outlets
4. The development potential of the area in case of future expansion plans
5. nearness to customers

2b)
1. Assembling
The wholesaler buys goods from different
manufacturers producing the same line of
goods. He assembles them in his warehouse for the purpose of sale to the retailers.
2. Storage: A wholesaler stores the goods in his warehouse.
He makes them available in proper and required quantities as and when they are required by retailer.
3. Grading and Packing:
A wholesaler sorts out the goods according to
their quality size, shape, content etc and then
packs them carefully to sell them to the retailer.
4. Transportation:
Wholesaler buys goods in bulk from the producers and transports them in his own godown. The wholesaler also provides the facility of transporting the goods from
warehouse to the retailer shop.
5. Financing: This is an important function of a wholesaler. A wholesaler used goods on cash from the producers and sells on credit to the retailers. In this way, the financing facilities to trade transaction.
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5a)
1. Helpful in planning: marketing provides information to management related with
planning for future programmers.
2. Helpful in making profit: Marketing can generate revenue at a cost which will leave some surplus in the form of net profits.
3. Helpful in distribution: in business organization marketing department provides information about quantity, time, means and medium of transportation etc. of delivery of goods in different places.
4. Helpful in exchanging information:bMarketing plays an important role for exchanging informationnamong consumers and firms.
5. Formation of goodwill: through marketing activities business organization can serve its
customers according to their demand, taste and habits at reasonable price.

5b)
1.Advertising: The masses of customers dispersed geographically can be reached with the Promotional Tools of advertising, which can be repeated for a number of
times. The popularity, size and success of the selling organization are enhanced by the large scale advertising.
2. Personal Selling:
At certain stages of the buying process, personal selling is the most effective promotion tool in creating customer’s preferences, convictions and actions.
3. Sales Promotion :
These Promotional tools include sales promotion which further contains a
broad assortment of elements like Coupons Cent-off Deals Premiums.
4. Public Relations :
Public relations are much different from the ads and they are more influential than these ads.
5. Direct Marketing:
Direct marketing may take the following forms.
Telemarketing
Electronic Marketing
Online Marketing
Direct Mail

6a Second tier security market (SSM) is a market where buying and of existing securities of companies take place. It came into existence in order to compliment the efforts of the stock exchange market towards fund mobilization for investments.

6b choose 4
1) It is an avenue for companies, investors to raise capital.
2) The market provides opportunity for buying and selling of shares of companies.
3) SSM affords investors the opportunity of assessing the profitability and efficiency of companies in order to know which company to invest.
4) Investors are provided with the opportunity of obtaining loans.
5) It provides avenue for long-term investment.
6) Investors have the assurance of enjoying 10% of equity capital of companies operating at SSM

6c choose 5
1) The company must be incorporated as a public Limited Liability Company.
2) The shareholders must not be less than 100.
3) The company must sign a general undertaken with the stock exchange market.
4) The company must make available, at least 10% of its equity share to the investing public.
5) The financial statements of the company for three years must be submitted to the stock exchange.
6) Any investor or shareholder will not be allowed to either directly or indirectly acquire more than 75% of the issued capital.

7a)
contract is a voluntary arrangement between two or more parties that is enforceable by law as a binding legal agreement. Contract law recognises and governs the rights and duties arising from agreements

7b)
1.To Protect against Poor Quality
Companies rarely produce shoddy products on purpose. However, manufacturers may be tempted to use low-quality material in making certain appliances, causing them to be defective.
2.To Stop Unethical Practices
The modern economy is fiercely competitive and unethical business owners will cut corners without regard to the health or safety of the consumers. Unethical practices also produce incredibly bad service and no consumer should have to deal with it.
3. To See Consumer Justice Is Done
States have various laws protecting the consumer, which sometimes are ignored by business. One group legal services benefit that can be performed is correspondence.
4. Countrywide Wants to Keep Consumers Safe
Defective products can be dangerous. When a plan member needs consumer protection advice the Countrywide attorney moves quickly. The right counsel is given as a necessary part of the group legal services provided, and options are explained patiently to the plan member.

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