FINANCIAL

MARKETS, PRODUCTS
& INSTITUTIONS
6.53

Classification of Indian Economy and Profit

centers
By- Naman Gupta K-115
INDIAN ECONOMY

Economic activities are classified into groups using

groups using some important criterion. These groups
are known as sectors economy.

People around us are engaged in different activities to

earn livelihood, some may be producing goods while
others may be delivering services

7/1/20XX Pitch deck title 2

Classification of Indian economy

India Economy

Primary Secondary Teritary

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 PRIMARY SECTOR
The economic activities which are connected with
the extraction and production of natural with the
extraction and production of natural resources and
production of natural resources,

For e.g., Agriculture, fishing, mining etc., falls under

primary sector.
 SECONDARY SECTOR
The economic activities which are related to the manufacturing process for e.g.,
manufacturing of steel, falls under secondary sector.
 TERRITORY SECTOR
The economic activities that are mostly based on providing service to the
society, like transportation, banking, insurance, etc. falls under territory sector.

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 PROFIT CENTRE
A profit centre refers to a branch, unit, or division of a company which directly adds or which normally adds to the bottom-line
or profits of the company as a whole. An organisation considers a profit center as a separate unit, a standalone business which is
responsible for revenue generation and profits.

Classification: -

• As a Department Within the Organization: These are profit centers that are small departments in the organization
like sales division, investment division, etc.

• As a Strategic Unit in a Big Organization: In a big organization with different sub-areas, profit centers serve as
different strategic units and are used for segmental reporting purposes. For example, in bank different products
like retail banking, wealth management, loans, and mortgages can be reported as separate units and are
identified with different profit centers group.