HOME TRADE

Presented by : RISHI PANDEY

BBA 1ST YEAR
SEC-B
 HOME TRADE

When , both the buyer and the seller are

residing in the same country and some
business transaction takes place between
them , that is known as " home trade ."
For ex – the trade between the trader of Agra
and Bengaluru will be known as home
trade.
 TYPES OF HOME TRADE

Wholesale Trade –The act of buying and selling

of goods and services in large quantities is known
as wholesale trade .

Retail trade – The act of buying and selling of

good send services in small quantity is known as
retail trade .
ADVANTAGES OF HOME TRADE

Provides economical goods

Less competition
No trade barriers
Low transportation cost
Promotes self-reliance
DISADVANTAGES OF HOME TRADE

Limited choices
No sharing of resources
Lack of professional management
Difficulties in time of emergency
No foreign earning
Difference between home trade and foreign
trade
Home trade Foreign trade
Home trade refers to
Foreign trade refers to
the trade within the
the trade between two
borders of the
or more countries .
country .
Foreign trade involves
There is no
the exchange
exchange currencies
of currencies between
takes place in the
the
home trade because
nations which are invol
there isa same curr
 Foreign trade involves
 Home trade
generally very high transportation
has fewer costs and risky situation
transportation to transfer goods from
costs and risks to one to another country
transfer
the goods  Foreign trade leads
Home trade leads
to economic to the economic
development Interdependence
and self –sufficiency between the country.
of
the country
 IMPORTANCE OF HOME TRADE

The importance of home trade in a country is that it

facilitates exchange of goods within the country by
allowing all different types of goods and services to
reach to all parts of the country it improves the standard
of living of the residents of the country as well as the
employment rate of the country.
By doing this it also makes sure that factors of
production reach to the right places so that the
This Photo by Unknown author is licensed
under CC BY-SA-NC.