Initially, commercial activity was identified with trading. However, now this term is interpreted much more broadly - as an activity that aims to generate profit and income by investing capital.
Market activities
In the Civil Code, all market activities are divided into commercial and non-commercial. Commercial organizations are organizations (legal entities) that have their main goal of making a profit. They can take various forms, for example, LLC, OJSC, CJSC or municipal enterprises.
Commercial activity acts as a part of entrepreneurial activity, but it does not include the production aspect. It is associated with such areas in business as the sale of goods and services, the supply of the enterprise with material resources and intermediary activities.
Each business constantly plays a different role in its business. In some cases it is the buyer, in others it is the seller.
The success of a commercial activity is primarily determined by the amount of profit earned. The prospects and potential of the enterprise depend on it, because profit can be a source of investment in the development of production.
Non-profit organizations do not set themselves the goal of making a profit and do not distribute it among the participants. Examples include charitable foundations and religious associations.
Classification of types of commercial activities
Commercial activity is very multifaceted and varied, it can be classified on various grounds. So, according to the objects of purchase and sale, they distinguish between produced goods, free assets, money, etc.
In terms of the nature of the benefits obtained, commercial activities can be aimed at direct profit (sale of goods or services), or at creating appropriate conditions for this (for example, by purchasing appropriate equipment), reducing production costs (for example, by increasing energy efficiency), capitalization free funds (by purchasing securities).
It is worth noting that commercial activity does not always imply the sale of goods, in which property rights are transferred from one company to another. A common type of transaction is the acquisition of new equipment or machinery on lease or lease.
Commercial activities are divided according to the types of markets in which they are carried out. This criterion distinguishes:
- by type of goods - b2c, b2b markets, asset and securities markets;
- by regional affiliation - domestic and international;
- on the rights of market participants - for example, free economic zones, offshore.
