1.2 Buying and selling
1.2.1 Sources of buying in commerce
Buying
It is important for the buyers to find the best quality resources for
the lowest possible cost.
Resources can be both through:
1.) Home buying (Domestic trade)
This refers to buying from suppliers in the home country, this
is also known as domestic trade.
Advantages of home buying
➢ Transport costs are likely to be lower as it is done within
national boundaries
➢ Goods can be delivered within a short period of time
➢ Communication is easier as they communicate in the same
language
➢ Costs can be low as no taxes are involved
➢ Less documentation is involved
Disadvantages of home buying
➢ Limited choices
➢ Quality might be lower compared to foreign/Imported goods
➢ There maybe higher prices due to limited competition
1.2.1 Sources of buying in commerce
Buying
It is important for the buyers to find the best quality resources for
the lowest possible cost.
Resources can be both through:
1.) Home buying (Domestic trade)
This refers to buying from suppliers in the home country, this
is also known as domestic trade.
Advantages of home buying
➢ Transport costs are likely to be lower as it is done within
national boundaries
➢ Goods can be delivered within a short period of time
➢ Communication is easier as they communicate in the same
language
➢ Costs can be low as no taxes are involved
➢ Less documentation is involved
Disadvantages of home buying
➢ Limited choices
➢ Quality might be lower compared to foreign/Imported goods
➢ There maybe higher prices due to limited competition
