A commercial enterprise is a company dedicated to the purchase and sale of products or merchandise, legally registered and operated under socially accepted commercial norms, which serves as an intermediary between producers and consumers.
According to their type, commercial companies can be classified into wholesale companies, retailers and commission agents. According to their size, they are classified into large, medium, small and micro enterprises.
There are mixed companies that, in addition to buying and selling products, provide services in their area of competence, which makes them commercial and service companies at the same time.
This type of companies fulfill a function of intermediation, distribution and exchange of products in the market. The commercial company is in charge of connecting the producer with the market.
Main characteristics
Its main characteristic is that its activities do not include any type of productive process, either of transformation of raw materials or of completion of these, as do the manufacturing companies. Its activity is only commercial.
In its function as an intermediary between producers and consumers, it is responsible for the distribution, transfer, storage and direct sale of the products.
As for the property regime, they can be public, private or a mixed company.
It can also be mixed in terms of the service it offers: for example, if in addition to the sale of products, it also provides repair and maintenance services.
Depending on their size and income, commercial companies can also be classified as: large (supermarket chains), medium (less than 100 employees), small (less than 50 employees) and micro-enterprises (less than 10 employees).
The 3 types of commercial companies
1- Wholesaler
Are those that are responsible for marketing large-scale products and merchandise. In general, these companies buy large quantities of raw materials or products, and then sell or distribute them to retail or retail companies.
2- Retail
It is a company that is responsible for the marketing of products on a small scale. It does not necessarily have to be a small company.
This type of company is the last link in the marketing chain of a product or merchandise, since it is the one that sells it to the final consumer. Supplies and supermarkets fall into this category.
3- Comisionista
It is an intermediary company that sells products to another company in exchange for receiving a certain commission.
Functions
Offer products to consumers
The commercial company makes available to consumers the products that it needs to acquire.
The commercial company knows in depth the needs of the market, because it is in constant and permanent contact with the final consumer and with other intermediary companies.
Develop the demand
It is responsible for developing the demand (buyers) by generating specific needs of the product that it markets and makes available to the consumer.
Satisfy the demand
Serves buyers by supplying them with what they need. In addition to covering the needs of the consumer must also analyze the competition, establish parameters of costs and profitability and meet sales targets that have been drawn.
References
- What is a commercial company? Consulted by webyempresas.com
- Commercial Company. Consulted by dictionary.cambridge.org
- Difference between micro, small and medium enterprises. Consulted of emprendepyme.net
- Definition of a commercial company. Consulted of actualicese.com
- What is a commercial company? Consulted by webyempresas.com
- Examples of commercial companies. Consulted of ejemplosde.org