2.1.Types of industry

Producing goods and commodities

Manufacturing

Providing favor according to the customer requests

Service

Manufacturing is a process which involves tools and labor to produce goods for use or sale. It refers to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale. Such finished goods may be used for manufacturing other, more complex products, such as aircraft, household appliances or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then sell them to end users – the "consumers".

Modern manufacturing includes all intermediate processes required for the production and integration of a product's components.

The service sector consists of the "soft" parts of the economy, i.e. activities where people offer their knowledge and time to improve productivity, performance, potential, and sustainability. The basic characteristic of this sector is the production of services instead of end products.

Services may involve the transport, distribution and sale of goods from producer to a consumer, as may happen in wholesaling and retailing, or may involve the provision of a service, such as in pest control or entertainment.

2.2. Sectors of business

2.3. Classification of business

A business (also known as enterprise or firm) is an organization engaged in the trade of goods, services, or both to consumers.

	Title	Peculiarities
	Agriculture and mining businesses	are concerned with the production of raw material, such as plants or minerals
	Financial businesses	include banks and other companies that generate profit through investment and management of capital
	Information businesses	generate profits primarily from the resale of intellectual property and include movie studios, publishers and packaged software companies
	Manufacture business	producing products, from raw materials or component parts, which they then sell at a profit.
	Real estate businesses	generate profit from the selling, renting, and development of properties comprising land, residential homes, and other kinds of buildings
	Retailers and distributors	act as middle-men in getting goods produced by manufacturers to the intended consumer, generating a profit as a result of providing sales or distribution services. Most consumer-oriented stores and catalog companies are distributors or retailers.
	Service businesses	offer intangible goods or services and typically generate a profit by charging for labor or other services provided to government, other businesses, or consumers. Organizations ranging from house decorators to consulting firms, restaurants, and even entertainers are types of service businesses.
	Transportation businesses	deliver goods and individuals from location to location, generating a profit on the transportation costs
	Utilities	produce public services such as electricity or sewage treatment, usually under a government charter.

After deciding to start a business (and the particular business to pursue), one of the important issues is the form of business entity that will serve as the vehicle in pursuing the business.