Commerce is a wider term than trade.

Question

Justify the following statement.

Commerce is a wider term than trade.

Answer 1

1. Commerce is a part of business. Business is divided into two parts; industry and commerce, 

2. Commerce is concerned with the distribution of goods. 

3. Commerce is divided into two parts. One is trade and the other is auxiliaries to trade. 

4. Trade is concerned with buying and selling of goods and services. 

5. Trade is’a part of commerce. 

6. Along with trade, commerce also includes auxiliaries or services to trade. 

7. These services help in the smooth running of trade.

Thus, it clearly indicates that commerce is a wider term than trade.