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Unit-4 ENTREPRENEURIAL SKILLS-I TYPES OF BUSINESSES
Based on the types of work, a business can be classified as:
Service Business
A service type of business is a commercial enterprise that works for its client by providing intellect support or
workmanship. The company in this type of business provides certain professional support to its customers.
Businesses like restaurants, hardware/software repairing services, salons, interior designing services, banking,
etc are service businesses. Typically, the owner gains a lot of knowledge and expertise before they begin their
own business in a similar field. Product business A business where a seller and buyer exchange an item is
called a product-based business. For example, a Toy Shop is a type of product-based business.
Manufacturing Business
Manufacturing business usually buys raw material with the intention of using them as ingredients in the
making of a new product. It combines the raw material, labor and factory overhead in its production. The
manufactured goods will then be sold to customers. Hardware manufacturing is one of the examples.
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