Chain of production - Stages that a product passes until it reaches the final customer.

Primary Sector - These are businesses that extract a raw resource that is needed for production, somes examples of this are; Forestry, Farming, Fishing and Mining.

Secondary Sector - In this sector a business uses the raw resources from the primary sector to manufacture goods. Examples of these businesses are factories as well as the construction industry.

Tertiary Sector - Theses business focus on selling a service to the end consumer, this service can be however selling physical products like a shop does as the service is providing a place for customers to buy products. Other examples of these businesses are banking, transportation and leisure industries.

As well as a business being categorised by what it produces it also can be classified by who they are run by:

Private Sector - businesses owned and run by private individuals, usually with the goal of making profit. Examples of these companies are the majority of the big companies like Coca-Cola or Apple.

Public Sector - businesses and organisations owned and run by local or central government, the goal of these businesses are in providing a service over making a profit. Examples of this is this would be the NHS or BBC

Voluntary Sector - these businesses are owned by private individuals but are not focused on profits, examples of these would be charities. (Can be called Third Sector)

A business operates in three different kinds of markets:

Local Market - this is the customers located in the region where a good/service is produced.

National Market - These are the customers in a country which a business operates, for example the UK is a National Market.

International market - These are customers in any countries in the world where a business can do business in.

Difference between a national and Multinational business that a Multinational will operate in more than one country while national only operates in one country. Does not relate to how big a company is only to what countries they operate in.