Q1. Fill in the blanks.
i. Goods are produced in factories, on farms and in homes.

ii. The weekly market trader earns little compared to the profit of a regular shop owner in a shopping complex.

iii. People in urban areas can enter markets without stepping out of their homes via the Internet.

iv. Shops in neighbourhood often give goods to their regular customers on credit.

v. Malls sell expensive and branded goods.

Q2. True/False
i. When things are sold, it encourages production and new opportunities are created for people to earn. True

ii. People use their visiting cards to make ‘online purchases’. False

iii. Shops in the neighbourhood are useful in many ways. True

iv. People who buy and sell thing in bulk are called retailers. False

v. The people in between the producer and final consumer are traders. True

Q3. Who is Aftab in the chapter?
Ans. Aftab is one of the wholesale traders who purchases in bulk.

Q4. Why is weekly market so called?
Ans. A weekly market is so called because it is held on a specific day of the week.

Q5. Name some roadside stalls.
Ans. Some roadside stalls are vegetable hawker, the fruit vendor and the mechanic.

Q6. What is wholesale market?
Ans. This is a place where goods first reach and are then supplied to other traders.

Q7. How buyers are differently placed?
Ans. Buyers are differently placed. There are many who are not able to afford the cheapest of goods while others are busy shopping in malls.

Q8. Why is there a competition among the shops in the weekly market?
Ans. In a weekly market there are many shops selling the same goods which creates competition among them.

Q9. Why branded goods are expensive as compared to non-branded goods?
Ans. Branded goods are often promoted by advertising, which costs a lot and thus they are expensive.

Q10. Why fewer people can afford to buy branded goods?
Ans. Only fewer people can afford to buy branded goods because branded goods are expensive.

Q11. Why don’t we buy directly from the factory or from the farm?
Ans. We don’t buy directly from the factory or from the farm because producers would not be interested in selling us small quantities such as one kilo of vegetables or one plastic mug.

Q12. Who is a retailer? Give some examples.
Ans. The trader, who finally sells goods to the consumer, is the retailer. This could be a trader in a weekly market, a hawker in the neighbourhood or a shop in a shopping complex.

Q13. How are shops in neighborhood useful to us?
Ans. Shops in the neighbourhood are useful in many ways. They are near our home and we can go there on any day of the week. Usually, the buyer and seller know each other and these shops also provide goods on credit.

Q14. Why are goods sold in permanent shops costlier than those sold in the weekly markets or by roadside hawkers?
Ans. This is because when shops are in permanent buildings, they incur a lot of expenditure – they have to pay rent, electricity, fees to the government. They also have to pay wages to their workers.

Q15. Why is a wholesale trader necessary?
Ans. The people in between the producer and the final consumer are the traders. The wholesale trader first buys goods in large quantities. These will then be sold to other traders. In these markets, buying and selling takes place between traders. It is through these links of traders that goods reach faraway places.
Q16. Who are the sellers in a weekly market? Why don’t we find big business persons in these markets?
Ans. Weekly markets do not have permanent shops. Traders set up shops for the day and then close them up in the evening. Then they may set up at a different place the next day. We don’t find big business persons in these markets because they sell their products through shops in large urban markets, malls and, at times, through special showrooms.

Q17. What are the different kinds of shops that you find in your neighbourhood? What do you purchase from them?
Ans. Shops that sell goods and services in our neighbourhoods are departmental stores, other shops such as stationery, eatables or medicines and roadside stalls such as the vegetable hawker, the fruit vendor, the mechanic, etc. We buy milk from the dairy, groceries from departmental stores, stationery, eatables or medicines from other shops.

Q18. Who is Sameer in the chapter and what does he do?
Ans. Sameer is a small trader in the weekly market. He buys clothes from a large trader in the town and sells them in six different markets in a week. He and other cloth sellers move in groups. They hire a mini van for this. His customers are from villages that are near the marketplace. At festival times, such as during Deepavali or Pongal, he does good business.

Q19. ‘Buying and selling can take place without going to a marketplace.’ Explain this statement with the help of examples.
Ans. We can place orders for a variety of things through the phone and these days through the Internet, and the goods are delivered at our home. In clinics and nursing homes, we may have noticed sales representatives waiting for doctors. Such persons are also engaged in the selling of goods.

Thus, buying and selling takes place in different ways, not necessarily through shops in the market.

Q20. Why do you think the guard wanted to stop Kavita and Sujata from entering the shop? What would you say if someone stops you from entering a shop in a market?
Ans. Malls are shops with branded products that are costly and only the rich people can afford to buy them but the guard saw that Kavita and Sujata were not so rich to buy the products of the shop and that’s why he wanted to stop them to enter the shops.

If some stops me entering the shop I would feel embarrassed but would tell him that he has no right to stop me like this.

Q21. Why do people not bargain in shops located in malls whereas they bargain in weekly markets?
Ans. People do not bargain in shops located in malls whereas they bargain in weekly markets because malls sell expensive and branded goods at the fixed price rate. The rates of products sold in malls are generally high due to addition of establishment cost that are added up like security charge, govt. service charges sale taxes, rent of the shop electricity charges, wages of the hired labours etc.

Q22. Write a short note on shopping complexes and malls.
Ans. There are other markets in the urban area that have many shops, popularly called shopping complexes. These days, in many urban areas, we also have large multi-storeyed air-conditioned buildings with shops on different floors, known as malls. In these urban markets, we get both branded and non-branded goods. Branded goods are expensive, often promoted by advertising and claims of better quality. The companies producing these products sell them through shops in large urban markets and, at times, through special showrooms.

Q23. From where do you think shop-owners procure their goods?
Ans. Goods are produced in factories, on farms and in homes. However, we don’t buy directly from the factory or from the farm. Nor would the producers be interested in selling us small quantities such as one kilo of vegetables or one plastic mug. The people in between the producer and the final consumer are the traders. The wholesale trader first buys goods in large quantities. These will then be sold to other traders. In these markets, buying and selling takes place between traders. It is through these links of traders that goods reach faraway places. The trader, who finally sells this to the consumer, is the retailer.

Q24. Is there equality in the market? Justify your answer with the help of suitable example.

Ans. Shop owners in a weekly market and those in a shopping complex are very different people. One is a small trader with little money to run the shop whereas the other is able to spend a lot of money to set up the shop. They also earn unequal amounts. The weekly market trader earns little compared to the profit of a regular shop owner in a shopping complex. Similarly, buyers are differently placed. There are many who are not able to afford the cheapest of goods while others are busy shopping in malls. Thus, whether we can be buyers or sellers in these different markets depends, among other things, on the money that we have.

Q25. Write about Aftab - The wholesaler in the city.

Ans. Aftab is one of the wholesale traders who purchases in bulk. His business starts around 2 o’clock in the morning when vegetables reach the market. This is the time when the vegetable market or mandi starts buzzing with activity. The vegetables come in trucks, matadors, tractor trolleys from farms both near and far. Soon the process of auctions begins. Aftab participates in this auction and decides what he will buy. He has a shop in the market where he stores the vegetables that he has bought. From here he sells to hawkers and shopkeepers who start coming to the market around six in the morning. They have to organise their purchases so that they can start their shop for the day around ten in the morning.

Q26. ‘All persons have equal rights to visit any shop in a marketplace.’ Do you think this is true of shops with expensive products? Explain with examples.

Ans. ‘All persons have equal rights to visit any shop in a marketplace.’ Yes, this is true of shops with expensive products. As a customer we are free to enter any shop and explore different products even if we do not have enough money to buy it.

We can understand this more clearly through an example.

Kavita and Sujata went to Anzal Mall. They entered a shop that was selling branded ready-made clothes. They looked at some of the dresses and then looked at the price tag. None of them was less than Rs. 2000, almost five times the weekly market price. The price did not suit their pockets. Hence they went to another shop.

Q27. Why do people go to a weekly market? Give three reasons.

Ans. People go to a weekly market because of the following reasons:

i.        Many things in weekly markets are available at cheaper rates.

ii.        Weekly markets also have a large number of shops selling the same goods which means there is competition among them. If some trader were to charge a high price, people would move to another shop where the same thing may be available more cheaply or where the buyer can bargain and bring the price down.

iii.        Most things we need are available at one place. Whether we want vegetables, groceries or cloth items, utensils – all of them can be found here. We do not have to go to different areas to buy different things.

Q28. In what ways is a hawker different from a shop owner?

Ans.

 

Q29. Compare and contrast a weekly market and a shopping complex on the following:

 

Ans.

Q30. Explain how a chain of markets is formed. What purpose does it serve?

Ans. Goods are produced in factories, on farms and in homes. However, we don’t buy directly from the factory or from the farm. Nor would the producers be interested in selling us small quantities such as one kilo of vegetables or one plastic mug. The people in between the producer and the final consumer are the traders. The wholesale trader first buys goods in large quantities. These will then be sold to other traders. In these markets, buying and selling takes place between traders. It is through these links of traders that goods reach faraway places. The trader who finally sells this to the consumer, is the retailer. This could be a trader in a weekly market, a hawker in the neighbourhood or a shop in a shopping complex.

It serves a great purpose as it is through these links of traders that goods reach faraway places. It provides employment to large number of people. Factories and producers need not to find their customer directly. It maintains flow of money in the society.

Q31. Why are things cheap in the weekly market?

Ans. Many things in weekly markets are available at cheaper rates. This is because when shops are in permanent buildings, they incur a lot of expenditure – they have to pay rent, electricity, fees to the government. They also have to pay wages to their workers. In weekly markets, these shop owners store the things they sell at home. Most of them are helped by their family members and, hence, do not need to hire workers. Weekly markets also have a large number of shops selling the same goods which means there is competition among them. If some trader were to charge a high price, people would move to another shop where the same thing may be available more cheaply or where the buyer can bargain and bring the price down.

Q32. Explain with an example how people bargain in the market. Can you think of a situation where the bargain would be unfair?

Ans. Bargaining is a type of negotiation in which the buyer and seller of a good or service debate the price and exact nature of a transaction. If the bargaining produces agreement on terms, the transaction takes place.

Example:

Reena asked the shopkeeper “how much this bag for?”

Shopkeeper replied “1000 rupees”.

Reena instantly replied, “400 rupees”.

Shopkeeper laughed and said, “Not possible”.

Reena replied, “700 rupees” and this is the final price.

Shopkeeper replied, “Ok” and hand over the bag to Reena.

Bargaining would be unfair in the following cases:

i.        When the thing we are getting is already at the lowest price and is of good quality.

ii.        When the person selling the item is economically weak and his livelihood depends on what he sells.

 

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