outline the concept of informal trading as opposed to formal trading
Answers
Answer:
The main concepts of informal trading with that in opposing views to formal trading is that informal trading can be identified as occasional trading.
INFORMAL TRADING:
1-This type of trading does not happen on daily basis. It happens occasionally.
2-It features include having no boundaries.
3-The responses by buyers are also seasonal ( as in occasional when thee end up responding to a move/action done on the markets part)
FORMAL TRADING:
1- Its restricted by boundaries for the entry and exit in markets.
2-There is a daily risk factor during trade.
3-You can decide which factors for determinants for market entry and exit you want to choose.
4-Predicted market, you can decide beforehand for what to do, what rules to make, which direction to head in.
The informal and formal trading concept.
Explanation:
- Formal trading is the trading on the basis of the scientific parameters. It takes into account the strengths and management of the company. Creating a past, present, and future performance.
- While informal trading is to present the trend of share market factors that affect the market and may consider as an occasional trade.
- Whereas formal trade involves the risk parameters and size of the trade.
Learn more about the concept of informal trading as opposed to formal trading.
- brainly.in/question/11842587 answered by Alinakincsem.