Trade definition

Trade definition

Trade is a set of trade processes involving the purchase and sale of services and goods, and trade is defined as the exchange of a range of things through a trade transaction based on the sale or purchase of certain products or materials. Another definition of trade is the process or act associated with the sale, exchange or purchase of goods, whether through mass or retail, and trade is a term used to describe a range of promotional activities in order to stimulate the sale and purchase of goods.

The genesis of trade

The emergence of trade as a special economic activity in the production of goods, trade was accompanied by the development of exchanges, the emergence of money and money, and the emergence of a range of economic theories about trade, which were keen to explain the reasons for their emergence and development of the two main types of trade, namely trade. Locality and foreign trade, these theorities have also contributed to determining the factors that lead to the success of trade, the nature of its benefits, and the tools used to implement it.

The role and objectives of trade are generally determined within the state economy through the levelof product development and general productive relations in society, but the special role in trade and the objectives it seeks to achieve among societies vary because it depends on economic and political philosophies based on The majority of competition and advertising in capitalist economic systems, on the provision of basic needs, and planning in socialist economic systems.

Arabs and trade

Trade was once known to Arabs, and spread among them widely, as Arabs were known for their trade that reached international trade routes, for example, the Romans relied on Yemen for incense. At the end of the 6th century AD, the Arab merchant of Mecca was able to control most of the commercial caravans, transporting spices, weapons, silk and flour from Yemen to the Levant to Constantinople, and then returning with raisins, gold and textiles, and this contributed to the peninsula becoming Arabic is one of the most important commercial centers in the world.

Types of trade
Trade is divided into several species, including:

  • Retail:The last stage in the delivery of goods to customers, this trade contains all activities resulting from the supply of services and goods to customers, in order to buy them, but not necessarily the retail trade depends on the sale of goods only, but can include on the provision of services alone or with Goods, such as furniture businesses, are keen to provide a service for delivering furniture to customers. This type of trade is applied by relying on a range of stores:
    • Specialty stores: Stores that specialize in selling one type of product, or providing a fixed service, such as clothing stores, libraries, jewelry stores, and call shops.
    • Department stores: Department stores, i.e. those with a range of commercial divisions, each of which sells a particular type of product, such as the consumer goods section, which contains items that are expendable, such as food, and the permanent goods section containing usable goods. Such as electronic devices, and other sections.
    • Central Markets: Large-scale stores interested in selling food with a range of other products.
    • Chain stores: Two or more stores linked together to a major store, or a central department that manages these substores, for example, pharmacies.
    • Retail offices: From commercial offices but not on the presence of a building or place, but using sales methods through customers' requests over the phone, or by visiting their homes.
    • Mobile stores: Stores that sell fixed-demand goods such as food, and depend on movement between regions.
  • Free trade: An economic term used to refer to the application of a new policy of buying and selling so that it is not restricted to the public, as the countries that apply this type of trade do not mind the sale of products made in other countries, and do not require people to buy local goods, and this trade is associated with this trade An intellectual theory known as the free trade theory, which considers it necessary to apply this type of trade in all countries.
  • International trade: is the trade associated with the exchange of services and goods between countries, also called foreign trade or world trade, and is different in nature from domestic trade. International trade is characterized by the ability to generate products based on the resources in it, so this type of trade is considered to be good for the business because it encourages low-cost production, contributing to the best of individuals' wishes. In the early 1990s, international trade exports reached nearly US$3.5 trillion.
  • Prohibited trade: A legally prohibited trade, the term is often used to refer to products that are prohibited for use in the event of war, such as munitions and weapons.
  • E-commerce: is a type of trade that relies on the use of the Internet for business, and includes all trade processes between customers, enterprises and businessmen, as well as contribute to the implementation of trade agreements between individuals, and all of its operations depend on The application of buying and selling services and goods for financial transfer, as well as the application of a range of functions, including financing, marketing, negotiation and manufacturing. E-commerce is characterized by a range of features such as convenience for customers, through access to a wide range of products, and on security measures including payment options.