Question

What is meant by the auxiliaries to trade? Explain

Answer 1

Answer:

Explanation:

There are certain activities which help in carrying out trade . These activities are known as  auxiliaries to trade. These activities are referred as services as they help in facilitating the activities which are related to trade and industry.

Some of the examples of  auxiliaries to trade include Transport, Warehousing, Banking, Insurance, and Advertising. These activities apart from supporting trade also support industry at large for the overall development of the economy.

These activities plays an important role in removing the obstacles which are involved with the production as well as distribution of the product.

• Banking helps traders with financial assistance
• Transport helps in free movement of goods within the country as well as to other countries
• Insurance provides complete coverage from risk involving business activities
• Warehousing provides storage facilities
• Advertisement helps spread information of the product and services.

Hope this helps.