Question

Business markets are typically divided into four categories. These categories areA) retailers, wholesalers, services, and nonprofit firmsB) producer, manufacturer, reseller, and governmentC) producer, reseller, government, and institutionalD) manufacturer, wholesaler, retailer, and servicesE) reseller, retailer, government, and institutional

Answer 1

Answer:

C). Producer, Reseller, Government and Institutional

Explanation:

What is a Business Market

This is a group of persons who purchase goods or services for the following reasons:

1. To use in producing other products

2. For use in their own daily operations

3. For Reselling Purposes.

Four Categories of Business Markets

1. Producer markets: This category buy goods and services and use them to produce other sellable products. Their purpose is to create new products for consumption in order to make a profit. Examples include, construction, manufacturing companies and even farmlers.

2. Reseller Markets: This category purchase finished goods and resell to their consumers in order to make profits. The resellers unlike the producers do not transform the products but sell them as bought. Examples include wholesalers and retailers.

3. Government Markets: This category purchas goods and services for use in their internal operations. The uniqueness of this category is that they do not transform, they do not resell and they do not make profit. This category makes use of bidding processes to buy goods and services and members of the group include local, state and federal governments.

4. Institutional Markets: These category represents non-governmental organisations or NGOs. They purchase goods and services for their internal operations as well. They carry out these activities for community benefits and not for profit making purposes. These include hospitals and church organisations among others