1 Analyse the functional differences between businesses operating in primary & secondary sectors of business. [6]

[Sir Afzal Shad]

Q1 Analyse the functional differences between businesses operating in primary & secondary sectors of business. [6]

Possible Answer:
[KN] Primary sector is dependent on extraction of natural resources whereas secondary sector is dependent on conversion of it.
[AN] For extraction of natural resources, businesses are dependent on Land & Labour whereas conversion requires labour & capital (FOP’s)
[AN+] If natural resources are available in cheap costs /abundance, businesses are attracted towards primary sector whereas in case of lowering unemployment rate business can go for secondary sectors as influenced by governments.
[KN] If country is more inclined towards primary sector, there would be less skilled employees available to work in secondary sector.
[AN] Business would have to arrange training sessions for the employees themselves.
[AN+] Increase the cost of production & less competitiveness.

[Salman Khalid]

[KN] the primary sector focuses on gathering natural resources whereas the secondary sector focuses on converting those resources into manufactured goods
[AN] primary sector rely on land mainly whereas the secondary sector requires more capital (labour is used in both)
[AN+] if natural resources are available in cheap costs then businesses would prefer primary sector whereas to lower unemployment rate business can go for secondary sector

[KN] the primary sector is more found in developing countries whereas secondary sector is mainly used in more developed countries
[AN] businesses would aim to migrate from primary to secondary because of its financial benefits
[AN+] this would increase the businesses revenue as they and help them reinvest and improve their manufacturing

[Ayesha imran]

[kn] primary sector is dependent upon extraction of natural resources whereas secondary sector is dependent on conversion of it
[an] for extraction of natural resources businesses are dependent for land and labour, secondary sector is dependent upon labour and capital
[an+] therefore secondary sector businesses set up in areas of high unemployment, primary sector businesses set up in areas where resources are abundantly available
[kn] primary sector businesses in developing countries, secondary sector in developed countries therefore less skilled labour for secondary as compared to primary in developing countries
[an] businesses would have to arrange training sessions for employees themselves
[an+] increases cost of production and reduced competetiveness in comparision to primary

[khuram khan]

[KN] The Primary sector's main focus is on the extraction of natural resources whereas the secondary sector focuses on the manufacturing of the goods and services while using the same resources provided by the primary sector
[AN] The reliance of the business on the primary sector is on the basis when the business requires the use of natural resources such as Land and labour whereas the business depends on the secondary sector when need the manufacturing of good and services e.g. labour and Capital
[AN+] Thus the choice of whether the business chooses to be in the primary or secondary sector depends on whether the factors of production or the natural resources are available cheaply and abundantly.

[KN] The majority section of the businesses in an economy being in the primary sector can be harmful as the employees most of them lack technical skills
[AN] Thus the business has to attend to their needs by either giving them training sessions or through better education (etc)
{AN+} Hence this not only raises the cost of production for the business but also clarifies the concept of opportunity as the same amount of money and time could have been spent on the betterment of the business

[khuram khan]

[KN] The primary sector focuses on gathering natural resources whereas the secondary sector focuses on converting those resources into manufactured goods
[AN] The primary sector relies on land mainly whereas the secondary sector requires more capital (labour is used in both)
[AN+] If natural resources are available at cheap costs then businesses would prefer the primary sector whereas to lower the unemployment rate businesses can go for the secondary sector

[KN] The primary sector is more found in developing countries whereas the secondary sector is mainly used in more developed countries
[AN] businesses would aim to migrate from primary to secondary because of its financial benefits
[AN+] This would increase the business's revenue and help it reinvest and improve its manufacturing

{AN} POINT 2:
The business would most like to shift its aim from the production of goods in the primary sector toward the secondary sector as those products are more value-added and can be sold for a much higher price than those of the primary sector

[Humzah Zafar]

[KN]The main function of the primary sector is the extraction of raw materials. Secondary sector deals with converting these raw materials into manufactured goods
[AN]A business would rely on the primary sector if they need to use resources like land labour etc whereas a business relies on the secondary sector when it needs to manufacture such resources and for that they might need labour,capital etc
[AN+]Thus this decision of which sector to choose depends on whether the cost of raw materials is cheap and if they are available easily

[KN]If a country is largely producing in the primary sector it will negatively effect the skills of employees in the manufacturing sector
[AN]Thus in order for them to learn these skills, training and education may need to be provided by the government or by firms
[AN+]This will increase costs of the business as training cots are high and government spending may also increase which is not ideal

[Ahmed Zunair]

[KN] The purpose of primary sector is the extraction of natural raw materials. Secondary sector make these raw material into manufactured goods
[AN] The primary sector is dependent upon natural resources where as the secondary sector is dependent on the primary sector.
[AN+] Thus the primary sector converts raw materials to manufacturing goods and secondary sector converts these goods to goods.

[KN] If country is more focused towards primary sector there will be less skilled labour in the secondary sector.
[AN] Thus Training and education can help the employees to improve their skills.
[AN+] This will increase the cost of production as output may not increase significantly.

[Kumail Alvi]

[KN]The primary sector relies on the extraction of natural resources, while the secondary sector is focused on transforming these resources.
[AN]The extraction phase primarily depends on the availability of land and labor, while the conversion phase involves labor and capital (factors of production).
[AN+]Businesses tend to gravitate toward the primary sector when natural resources are abundant and cost-effective.

[KN]The primary sector is predominantly prevalent in developing nations, while the secondary sector is primarily associated with more advanced economies.
[AN]Enterprises aspire to transition from the primary to the secondary sector due to its financial advantages.
[AN+]This transition is aimed at boosting their income, facilitating reinvestment, and enhancing their manufacturing capabilities.

[Syed Mustafa Ali]

[KN] Primary sector is dependent on extraction of natural resources whereas secondary sector is dependent on conversion of it.
[AN] For extraction of natural resources, businesses are dependent on Land & Labour whereas conversion requires labour & capital (FOP’s)
[AN+] If natural resources are available in cheap costs /abundance, businesses are attracted towards primary sector whereas in case of lowering unemployment rate business can go for secondary sectors as influenced by governments.
[KN] If country is more inclined towards primary sector, there would be less skilled employees available to work in secondary sector.
[AN] Business would have to arrange training sessions for the employees themselves.
[AN+] Increase the cost of production & less competitiveness.

[Ibrahim Aamir]

[KN] primary sector extracting raw material for secondary sector and secondary sector turns raw material to finished goods
[AN] primary sector depends on nature resources where as secondary sector uses raw material provided by primary sector
[AN+] for extracting raw material from the earth mainly uses labour intensive where as secondary sector may use capital intensive

[KN] under develop countries depends on primary industry where as developed country focuses on secondary sectors
[AN] due to the concept of added value the value of the product increase with the amount of process it has gone through so they focus on making make profit on on less resources
[AN+] thus an increase in industrialization results in Economic growth

[Syed Raza]

[KN] the main purpose of primary sector is extracting raw materials and secondary sector turns into finished product which is final stage manufactured product.
[AN] business would be utilising resources such as land, labour on the primary sector and whereas a business on the secondary sector when it needs to manufacture such resources and for that they might need labour,capital etc
[AN+] if natural resources are available in cheaper rates so businesses can be attracted towards primary sector whereas in case of lowering unemployment rate business can go for secondary sectors as influenced by governments.

[KN] would be important for the developing countries
[AN] due to the concept of added value the value of the product increase with the amount of process it has gone through so they focus on making make profit on on less resources.
[AN+] thus an increase in industrialisation results in Economic growth

[Talha Asim]

(Kn)primary sector relies on first hand extraction of raw materials whereas secondary sector is the one that manufactures it (an) primary includes extracting the raw materials directly like extraction of iron ore yet secondary deals with the manufacturing of the iron ore into steel
(An+) the more the available reserves in a country the more the businesses would be inclined towards primary sector and the more the availability of labour the more the attractiveness of secondary sector
(Kn) primary is mostly labour intensive where as secondary is capital intensive (an) since secondary sector manufacturing takes alot of precision and heavy duty tasks capital intensive methods are used such can be seen in case of car manufacturing, primary being exact opposite is in not in such need and used labour intensive methods(an+) labour intensive method requires labour to be made salaries monthly but capital intensive for secondary Sector is mainly a one time high investment

[Hussain Asghar]

[KN] primary sector relies on the extraction of raw material from the ground whereas secondary sector relies on primary sector
[AN] primary sector extract iron ore from the mines and then secondary sector manufactures it into steel
[AN+] if natural resources are available in less cost then business can be attracted towards primary sector and also secondary sector will also purchase raw material on less cost which will help to decrease unemployment

[KN] Labour is mostly used in primary sector because machines are heavy and not possible to easely move whereas in secondary sector they are capital intensive
[AN] secondary sector manufacturing takes alot of precision and heavy duty tasks capital intensive methods are used such can be seen in case of car manufacturing, primary being exact opposite is in not in such need and used labour intensive methods
[AN+] labour intensive method requires labour to be made salaries monthly but capital intensive for secondary Sector is mainly a one time high investment

[Maham fatima]

[KN] Primary sector uses raw material directly from the nature whereas secondary sector is dependent on conversion of primary sector finished or semi finished products for their raw material
[AN] thus primary sector uses land and labour as its main FOPS for extraction of these resources whereas capital and skilled labour is usually used in secondary sector
[AN]therefore more primary sector businesses set up in areas where natural resources are abundantly and cheaply available however secondary sector business may get attracted in areas of unemployment to hire workers at low wages

[KN] Primary sector businesses are likely to set up in developing countries whereas secondary sector businesses set up in developed countries
[AN] therefore if a country is primary sector based then secondary sector businesses might find it difficult to get skilled labour as primary sector labours' skills may not be useful
[AN]hence a business may train workers which can increase cost and is a time taking process as worers may get trained for once but they will not be able to update their knowledge of secondary sector every

[Hadia Zia]

[KN]Value addition in primary sector is low as compared to secondary sector
[AN] This means that primary products are mainly sold in their raw or minimally processed form whereas finished products in secondary sector are often more valuable than raw materials used to make them.
[AN+] Thus, this results in large earning of profits in secondary sector than primary sector.


[KN] If country is more inclined towards primary sector, there would be less skilled employees available to work in secondary sector.
[AN] Business would have to arrange training sessions for the employees themselves.
[AN+] Increase the cost of production & less competitiveness.