Question

Explain how chain of markets formed?write the purposes it serves.

Answer 1

1) goods are produced in factories and people get it through a chain of markets.
2) the people in between the producer and the final consumer are traders.
3) the wholesale traders first buy the product in large quantities.
4) these will then be sold to the other traders. Thus buying and selling takes place between the traders.
5) the traders who finally sell the goods to the consumer is the retailer.

Answer 2

Explanation:

A series of markets that are connected like links in a chain as products pass from one market to another is called the chain of markets.

In other words, it is the people in between the producers and consumers who are the traders.

The wholesaler first buys the goods in large quantities.

The retailer buys from the wholesaler and sells it to the consumer.

The chain of markets can be direct or indirect heaps the consumer's convenience in the view and it provides employment to a large number of people.