ECONOMICS GRADE 8

Condition
of Market
Buyer Seller

Deal Goods & services

 Function
of Market

Distribution Pricing Promotion

 For Consumer For Producer
Facilitated to get the Marketing product
product needed directly or indirectly
Adjust the price through
bargaining process
To attract consumer's interest
to purchase the product
 Benefit for the consumer

Benefit for the producer

Benefit for the government

It facilitates the
consumers to get
any product they
need.
Consumers
Draw consumer's interest.

A marketing place.

Distribution process more

effective and efficient.

Place to buy materials.

Producers
Provide structure
and
infrastructure.

Governments
 1. Based on its form
2. Based on the product
traded
3. Based on operational
period
4. Based on
distribution range
5. Based on its
structure
Buyer and seller Buyer and seller
directly meet indirectly meet
Tangible product Intangible product
Exchange production Exchange the consumable
factors goods
Example: stock market, Example: green grocery, fish
labor market market, book store
Operates everyday Operates once a
Product traded: daily week
needs product
Operates once a month in Operates on a yearly basis.
certain area. National and International
Only facilitates certain scope.
product exchange.
Commercial transaction Commercial transaction
only covers small area. covers certain region.
Commercial transaction Trading transaction
covers any territory of covers all countries in
a country. the world.
Definition:
Number of producer and consumer is
equal and won't effect each other.

Characteristics:
Many buyers and sellers.
Homogenous goods & services.
Zero entry/exit barriers.
Perfect information.
Zero interference from any parties.
Definition:
Number of producers and consumers
are not equal

Characteristics:
Heterogeneous goods and
services.
Entry/exit barriers.
Interference from any parties.