Senior High School

Applied Economics
Quarter 4 – Module 8

Business Principles, Tools, and

Techniques in Participating in Various
Types of Industries in the Locality
 What I Need to Know

This module was designed and written with you in mind. It is here to help you
apply business principles, tools and techniques in participating in various types of
industries in the locality. The scope of this module permits it to be used in many
different learning situations. The language used recognizes the diverse vocabulary
level of students. The lessons are arranged to follow the standard sequence of the
course. But the order in which you read them can be changed to correspond with
the textbook you are now using.

The module is divided into two lessons, namely:

Lesson 1: Types of Industries
Lesson 2: Apply SWOT Analysis as a Tool in Evaluating a Business Opportunity

After going through this module, you are expected to:

identify the different types of industries; and

distinguish the different products and services of the business industries.
discuss industry and environmental analysis as a tool in evaluating business
opportunities;
apply SWOT analysis as a tool in evaluating a business opportunity.
select business opportunities appropriate in your locality.

What I Know

Choose the letter of the best answer. Write your answer on a separate sheet of
paper.

1. A group of businesses or manufacturers that produces a particular

products or services
a. Enterprise c. Logistics
b. Industries d. Trade
2. The process of selling consumer goods or services to customers through
multiple channels of distribution to earn a profit
a. Barter c. Wholesale
b. Retail d. Trade

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3. This is an agribusiness which involves planting rice, the staple food of
the Filipinos.
a. Goat Raising c. Rice Farming
b. Fish Pens d. Vegetable Farming
4. A business which involves raising of domesticated type of birds like
chicken, ducks, and geese for meat and egg production.
a. Cattle Raising c. Fish Pens
b. Corn Farming d. Poultry Raising
5. The process of converting raw materials, components, or parts into
finished products by used tools, machinery and labor.
a. Agribusiness c. Retail and Services
b. Manufacturing d. International Trade
6. Agribusiness is a business that earns most or all of the revenue from
___________________.
a. Agricultural products c. Retail products
b. Car making d. Basket making
7. Other term for this Pig Raising is
a. Duck Raising c. Goat Raising
b. Cattle Raising d. Hog Raising
8. Medicines, cosmetics, and stationery are called soft goods or
______________.
a. Arts c. Hard goods
b. Consumables d. Substitutes
9. An agribusiness that produce yellowish cereal plant and also use for
animal feeding.
a. Hog Raising c. Furniture Making
b. Corn Farming d. Poultry Raising
10. These are examples of agribusiness except __________.
a. Hog Raising c. Water Drinking Business
b. Corn Farming d. Poultry Farming
11. A business that deals with the production of agricultural products.
a. Agribusiness c. Retail and Services
b. Manufacturing d. International Trade
12. People need water to quench their thirst and this is one of the reason
why this business is thriving.
a. Drinking Water Business c. Bakery
b. Soap Manufacturing d. Furniture Making
13. This industry is involved in the extraction of raw materials includes
mining activities, forestry, and fishing for human use.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry
14. This industry processing of primary materials into usable products.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry
15. During pandemic crisis, hospitality and health care services are essential
and these are classified as_____.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry

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Lesson Types of Industries

Many individuals think of industries in a larger scale as big businesses that

produces goods with big plants and machineries. Not many knows industries
also produces goods and services in different sectors of society such as
agriculture, transportation, hospitality and others. As you go through lesson,
you will learned that industries can be classified into different categories for
better understanding of the different types and make it easier to study.

What’s In

Before we begin the new lesson, I want you to recall what you have learned about
the different business principles in creating a business. Now, the letters of the
words below are jumbled. Figure out what the word is and write it on the blank line
provided and gives its meaning.
1. LCAALITIBYS _________________ - ________________________________
2. RLIITBIFPYOAT _________________ - ________________________________
3. GIB ADEI _________________ -________________________________
4. ASNALYTTISBIIU _________________ -________________________________
5. UOTMNOAY _________________ -________________________________

Notes to the Teacher

The teacher should encourage the learners to read books in
Economics. This will help them to easily understand the lesson.

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 What’s New

Look around you. Change is constant. So many industry businesses flourish in

your community just like the story of Mr. Wrigley’s

The story of William Wrigley Jr.- soap salesman who became the world’s best gum
manufacturer. In the 20th century, chewing gum made William Wrigley Jr. one of
the wealthiest men in America. In 1891, when William Wrigley Jr. was 30 years old,
he moved to Chicago with his wife Ada and their daughter Dorothy, opening a new
branch of his father’s company where he continued to sell soap and offered baking
powder as a premium. He soon realized that baking powder became a huge hit as a
freebie and that customers were more interested in getting baking powder than
soap, so he and his partner decided to switch to baking powder business. Now
baking powder became the primary product of William Wrigley Jr. Company, but he
also offered gum as a premium. As baking powder’s popularity used to surpass that
of the soap, so did the chewing gum packages offered with every baking powder
became more popular than the baking powder itself. Wrigley soon abandoned
baking powder, entered the gum industry and in 1893, he offered two new gum
brands, Juicy Fruit and Wrigley’s Spearmint.

Answer the questions below:

1. What is the type of business of Mr. Wrigley’s?

________________________________________________________________

2. What are the products of the business?

________________________________________________________________

Based on the activity, you have now an idea of what is an industry and to
understand it better let us get to know the different types of industries and
the different services they offer.

What is It

Types of Industries

This lesson will focus on industries, although many school textbooks list only three
levels, more advanced books classify industry into five levels. The terms for each
level originate from Latin words referring to the numbers one to five.

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Classification of Industry

Primary Working with or extraction of raw e.g. mining activities,

materials/natural resources fishing forestry and
agriculture
Secondary Making or converting raw materials e.g. car manufacturing,
into usable products through bakeries
processing and manufacturing.
Tertiary Service industries or providing transportation, finance,
essential services and support to utilities, retail, housing,
allow other levels of industry to banking, and other
function. services
Quaternary Dramatic growth of this new sector. ICT industries, R & D
Working with creation and transfer of industries-eg.Synergy,
information (ICT, media sharing) Lexmark R & D, STRAND
including research and development.
As well as knowledge based services
like consultation.
Quinary control the industrial and government Eg. Government Owned
decision-making processes includes Controlled Corporation
industry executives and management Executives,
and bureaucrats and elected officials
in government.

In the Philippines, we use the Philippine Standard Industrial Classification (PSIC).

The PSIC is a detailed classification of industries prevailing in the country
according to the kind of productive activities undertaken by establishments. The
2009 PSIC was patterned after the UN International Standard Industrial
Classification (ISIC) Rev. 4, but with some modifications to reflect national situation
and requirements.

The following are major industries in the Philippines:

Agribusiness - a business that earns most or all of its revenues from agriculture.
An agribusiness tends to be large scale operations and deals with farming,
processing and manufacturing, packaging and distributing agricultural products.

List of Agribusiness in the Philippines

Name of Agribusiness Description

Hog/Pig Raising Swine raising is raising and breeding of domestic pigs as
livestock.
Poultry Farming Raising of domesticated birds such as chickens, ducks,
turkeys and geese to produce meat or eggs for food
Cattle Raising Raising of cattle for milk, beef, and hides.
Goat Raising Raising goats for milk and meat
Rice Farming Planting rice for rice production
Vegetable Farming Planting veggies is an agribusiness specially learn how to
plant off – season varieties.
Fish Pens Raising fish in a pen such as catfish, oyster, prawns,
pangasius, bangus or tilapia is fun and exciting business,
each species needs different environment to grow either

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 fresh or salt water.

Corn Farming Planting corn for consumption

These are list of some profitable agribusiness out there these are processed fruits
and vegetable, seaweeds, tropical fruit purees and juices, fresh tropical fruits,
sugar, bio ethanol and others.

Manufacturing
The process of converting raw materials, components, or parts into finished goods
that meet a customer’s expectations or specifications. There are many laws and
regulations that govern the manufacturing industry. The business will be require to
conform to all the licensing bodies may it be the government or the local authority’s
requirements.

Some of the best small manufacturing businesses that can be carried out at
your residence are:
1. Furniture Making – make or create furniture such as lockers,
bookshelves, showcases, chairs, tables, etc.
2. Drinking Water Business- Business that sell drinking water package in a
plastic bottles or container.
3. Soap Manufacturing business- business that produce different soap
products.
4. Commercial Bread Making- bread making is easy and simple business
that can be done at home

Retail and Services

Retail is the process of selling consumer goods or services to customers

through multiple channels of distribution to earn a profit and usually it’s done
directly to its final consumer. Retailing includes subordinated services, such as
delivery. The term “retailer” is also applied where a service provider services the
small orders of a large number of individuals. Recently, online retailing, a type of
electronic commerce used for business – to – consumer (B2C) transactions and
mail order, are forms of non – shop retailing.

Types of Retail Products:

1. Food products – typically require cold storage facilities.
2. Hard goods or durable goods – these are automobiles, appliances,
electronics, furniture, sporting goods, lumber, etc., and parts for them.
Goods that do not quickly wear out and provide utility over time.
3. Soft goods or consumables – clothing, other fabrics, footwear, cosmetics,
medicines and stationery. Goods that are consumed after one use or have
limited period (typically under three years) in which you may use them.
4. Arts – Contemporary art galleries, Bookstores, Handicrafts, Musical
instruments, Gift shops, and supplies for them.

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On the other hand, The typical service business provides intangible products, such
as accounting, banking, consulting, cleaning, landscaping, education, insurance,
treatment, and transportation services.

International Trade
International trade is the exchange of capital, goods, and services across
international borders or territories, significant share of gross domestic product
(GDP). While international trade has been present throughout much of history its
economic, social, and political importance has been on the rise in recent countries.
It is the presupposition of international trade that a sufficient level of geopolitical
peace and stability are prevailing in order to allow for the peaceful exchange of
trade and commerce to take place between nations.

Trading globally gives consumers and countries the opportunity to be

exposed to new markets and products. Almost every kind of product can be found
on international market: food, clothes, spare parts, oil, jewelry, wine, stocks,
currencies, and water. Services are also traded: tourism, banking, consulting, and
transportation. A product that is sold to the global market is an export, and a
product that is bought from the global market is an import. Import and exports are
accounted for in a country’s current amount in the balance of payments.

What’s More

The teacher would like to assess your understanding about the lesson. Now I want
you to read and answer the following activities

Activity 1. Below are list of company’s logos that are well known in the
Philippines. Write in the space provided what type of industries the company is
classified into whether Primary or Secondary or Tertiary or Quaternary, or Quinary.

1- ___________________________

2-___________________________

3- ___________________________

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 4-___________________________

5-___________________________

6-___________________________

7-___________________________

8-________________________

Activity 2.Directions: Choose the letter of the correct answer from the list
of words in the box and write it in blank space provided.

a. Manufacturing f. Soft Goods

b. Agribusiness g. Hog raising
c. Vegetable farming h. Fish Pens
d. Retail i. Rice Farming
e. Food Products j. PSIC

_______1. This industry employs man and machinery to process raw materials
into finish goods.
_______2. These are type of retail products that usually require cold storage.
_______3. This is an acronym stands for Philippine Standard Industrial
Classification which is a detailed classification of industries prevailing in the
Philippines.
_______4. Consumables are the other term for these goods.
_______5. Cars, appliances, electronics and lumber are examples of these
products.

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_______6. This business is involves in farming, processing, and packaging of
agricultural products.

_______7. Raising tilapia, catfish, prawns, and bangus to earn revenue is their
main line of business.
_______8. Piggery business is one of the most lucrative businesses in
agriculture.
_______9. Tomatoes, bell pepper, pechay, eggplant and bitter gourd are products
of this business.
_______10. In this business, shops in the residential streets are part of this
business.

Activity 3. Now, I want you to identify ten (10) retail products that are sold
your community and classify them. Write your answer on the table below.

Food Products Hard Goods Soft Goods Arts

1. 1. 1. 1.
2. 2. 2, 2.
3. 3. 3. 3.

What I Have Learned

Directions: Choose the letter of the correct answer from the list of words in
the box and write it in blank space provided.

f. Manufacturing f. Soft Goods

g. Agribusiness g. Hog raising
h. Vegetable farming h. Fish Pens
i. Retail i. Rice Farming
j. Food Products j. PSIC

_______1. This industry employs man and machinery to process raw materials
into finish goods.
_______2. These are type of retail products that usually require cold storage.
_______3. This is an acronym stands for Philippine Standard Industrial
Classification which is a detailed classification of industries
prevailing in the Philippines.
_______4. Consumables are the other term for these goods.

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 _______5. Cars, appliances, electronics and lumber are examples of these
products.
_______6. This business is involves in farming, processing, and packaging
of agricultural products.
_______7. Raising tilapia, catfish, prawns, and bangus to earn revenue is
their main line of business.
_______8. Piggery business is one of the most lucrative businesses in agriculture.
_______9. Tomatoes, bell pepper, pechay, eggplant and bitter gourd are
products of this business.
_______10. In this business, shops in the residential streets are part of
this business.

What I Can Do

Essay.
5 PT. RUBRIC
5 points Comprehensive and analytical
4 points Well written and some includes analysis
Well written but lacks analysis
3 points
Weak essay
2 points
Poorly written and lack strength
1 point

Big Idea! Can you recommend manufacturing ideas/products that are

profitable during this pandemic crisis Covid 2019 and why?

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 Assessment

Choose the letter of the best answer. Write your answer on a separate sheet of
paper.

1. The process of selling goods and services through sales channel to reach
its consumers.
a. Barter c. Retail
b. Discounts d. Trade
2. This is an agribusiness which involves growing fish in an enclosed area.
a. Goat Raising c. Rice Farming
b. Fish Pens d. Vegetable Farming
3. This involves raising of chickens, ducks, and other domesticated birds for
meat and egg for human consumption.
a. Cattle Raising c. Poultry Raising
b. Goat Raising d. Vegetable Farming
4. Production of products using labor, machines, methods, and tools for use
or sale.
a. Agribusiness c. Retail and Services
b. Manufacturing d. International Trade
5. Agribusiness is a business that deals with production and distribution of
___________________.
a. Agricultural products c. Retail Products
b. Car making d. Basket Making
6. It deals with raising of pig or swine for livestock and human consumption.
a. Duck Raising c. Goat Raising
b. Cattle Raising d. Hog Raising
7. These are type of retail products that is intended to be consumed in a
quick manner.
a. Arts c. Soft Goods
b. Hard Goods d. Substitutes
8. This business deals with creation or production of goods like tables,
chairs, and cabinets.
a. Hog raising c. Furniture Making
b. Corn farming d. Poultry Farming
9. These are list of business that involves agriculture except _______________.
a. Hog raising c. Furniture Making
b. Corn farming d. Poultry Farming
10. A business that deals with farming, processing and manufacturing,
packaging and distributing agricultural products.
a. Agribusiness c. Retail and Services
b. Manufacturing d. International Trade
11. Deals with selling of one of the basic consumption of man which is water.
a. Drinking Water Business c. Bakery

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 b. Soap manufacturing d. Furniture Making
12. This industry is involved in information technology business.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry
13. Internet provider, janitorial services and health care are part of this
industry.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry
14. This industry provides a wide range of personal and professional services
to consumers.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry
15. This industry that take raw materials from earth and sell it for use or
undergo manufacturing process.
a. Primary Industry c. Tertiary Industry
b. Secondary Industry d. Quaternary Industry

Additional Activities

Directions. Below are some of the well known industries in the Philippines and
to assess what you have learned match the company under the given products.
Draw a line to match Column A and Column B.

Column A Column B
1. Chowking A. shampoos, toothpaste, conditioner
2. Goldilocks B. education
3. STI C. banking services
4. Unilever D. bakery products
5. Banco De Oro E. take-out Chinese food

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 Answer Key

Assessment: What's More What I Know

1. C 1. Tertiary 1. B
2. B 2. Tertiary 2. B
3. C 3. Quinary 3. C
4. B 4. Primary 4. D
5. A 5. Secondary 5. B
6. D 6. Quaternary
6. A
7. C 7. Tertiary
7. D
8. C 8. Secondary
8. B
9. C
9. B
10.A
10. C
11. A

12. D
11. A

13. C 12. A

14. C 13. A

15. A 14. B

15. C

References

Dinio and Villasis 2017: Applied Economics. Rex Bookstore, First Edition.
Leano, Roman D. 2016: Applied Economics for Senior High School.
Mindshapers Co., In

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