HomeBusiness Studies Grade 12 Summary NotesBusiness Sectors and their...

Business Sectors and their Environments Business Studies Grade 12 Study Notes

Business Sectors and their Environments Business Studies Grade 12 Study Notes. The business sector refers to the part of the economy that is concerned with producing goods and services. There are three main types of business sectors: primary, secondary, and tertiary.

Topics under Business Sectors and their Environments

  • Economic Sectors
  • Business Environments
  • Business Control Over the Micro Environment
  • Business Control Over the Market Environment
  • Business Control Over Macro Environment

Three Types of Business Sectors: A Summary of the Primary, Secondary, and Tertiary Sectors

There are three main types of business sectors: primary, secondary, and tertiary.

Primary Sector:

The primary sector is concerned with the extraction of raw materials, such as agriculture, fishing, and mining. This sector is also known as the extractive sector, as it involves the removal of resources from the earth. For example, a farmer who grows crops or a fisherman who catches fish are both involved in the primary sector.

Secondary Sector:

The secondary sector is concerned with the processing of raw materials into finished goods, such as manufacturing, construction, and energy production. This sector is also known as the production sector, as it involves the creation of goods through the use of raw materials. For example, a car manufacturer or a construction company are both involved in the secondary sector.

Tertiary Sector:

The tertiary sector is concerned with the provision of services, such as retail, healthcare, and finance. This sector is also known as the service sector, as it involves the provision of services to consumers. For example, a hospital, a bank, or a retail store are all involved in the tertiary sector.

Business Environment:

The business environment refers to the external factors that affect the operations of a business. There are three main types of business environments: macro, market, and micro.

  • The macro-environment includes factors such as the economy, political system, and social trends, while
  • The market environment includes factors such as competition and consumer preferences.
  • The micro-environment includes factors such as the company’s employees, suppliers, and customers.

The extent to which a business may control each of these environments varies, with businesses having more control over the micro environment and less control over the macro environment.

Business Challenges:

Businesses face a variety of challenges in each of the three business environments. For example:

  • In the macro environment, a business may face challenges such as economic downturns or changes in government policies.
  • In the market environment, a business may face challenges such as increased competition or changes in consumer preferences.
  • In the micro environment, a business may face challenges such as employee turnover or supply chain disruptions.

The primarysecondary, and tertiary sectors represent the different parts of the economy that are involved in the production of goods and services. Understanding the business environment and the challenges that businesses face in each environment is important for success in the business world. The extent of control that businesses have over each environment varies, with businesses having more control over the micro environment and less control over the macro environment.

Exam Quizzes (Questions & Answers) Covered under this Section

  1. THREE types of business sectors
  2. a business sector from given scenarios
  3. the business environment from given scenarios and state the extent to which a business may control each of these environments
  4. business challenge according to the THREE business environments from given scenarios
  5. the extent of control businesses have over each environment e.g micro: full control, market: little control, macro: no control

Related blog posts

Selection Business Studies Grade 12 Study Notes

Selection Business Studies Grade 12 Study Notes. The selection process is a critical step in the recruitment process that involves evaluating and assessing candidates to determine their suitability for the job. Selection Procedure: Step by...

Leadership and Management Business Studies Grade 12 Study Notes

Leadership and Management Business Studies Grade 12 Study Notes. Learners will be able to learn, as well as practicing answering common exam questions through interactive content, including questions and answersTopics under Leadership and ManagementTheories of...

Quality of Performance Business Studies Grade 12 Study Notes

Quality of Performance Business Studies Grade 12 Study Notes. A quality management system (QMS) is a structured approach to ensuring that a company’s products or services meet or exceed customer expectations Topics under Quality of...

The role of Youth Economic Alliance

The role of Youth Economic Alliance Where lack of skills, poor access to finance and markets hinder business growth, the Youth Economic Alliance addresses this by creating a conducive environment where it develops the ability to...

Grade 12 Economics Foreign Exchange Markets Self Study Guide Free Download

The foreign exchange market (also known as forex, FX, or the currencies market) is an over-the-counter (OTC) global marketplace that determines the exchange rate...

2024 Grade 12 May/June NSC Examination Timetable

Grade 12 May/June NSC Examination Timetable. As the 2024 academic year moves forward, matric students in South Africa are gearing up for the mid-year...

Accounting Grade 12 Textbooks Free Download

Accounting Grade 12 Textbooks Free Download. This stage of memory is limited in the amount of information it can retain. Information you receive in...

An Analysis of South African Businesses Types and Their Market Share

South African Businesses Types and Their Market Share. The South African economy, known for its diverse economic structure, hosts a plethora of businesses from...

Accounting Grade 12 Term 1 Revision Content And Revision Topics

Accounting Grade 12 Term 1 Revision Content And Revision Topics. This is for Accounting Grade 12 subject. The Grade 12 Accounting Term 1 study content will help you with your Accounting Subject Revisions,...

Accounting Grade 12 Internal auditor report on procedures and internal controls in a public company Guide

An internal audit report is usually used by internal management to improve the operations, processes, or policies of the company. An external audit report is...

How are Market Prices Affected by Unemployment in the Economy of South Africa

How are Market Prices Affected by Unemployment in the Economy of South Africa. On this page we discuss how market prices are affected by...

Reasons Why the Circular Flow is not an Accurate Reflection of Economic Reality

The circular flow is a theoretical model that illustrates how money, goods, and services flow through an economy. The model depicts households, firms, and...

Selection Business Studies Grade 12 Study Notes

Selection Business Studies Grade 12 Study Notes. The selection process is a critical step in the recruitment process that involves evaluating and assessing candidates...

Quality of Performance Business Studies Grade 12 Study Notes

Quality of Performance Business Studies Grade 12 Study Notes. A quality management system (QMS) is a structured approach to ensuring that a company’s products...

Leadership and Management Business Studies Grade 12 Study Notes

Leadership and Management Business Studies Grade 12 Study Notes. Learners will be able to learn, as well as practicing answering common exam questions through interactive content,...

The role of Youth Economic Alliance

The role of Youth Economic Alliance Where lack of skills, poor access to finance and markets hinder business growth, the Youth Economic Alliance addresses this by...