What are Trade Organizations?

The so-called trade organization refers to a corporate entity with legal personality who is economically self-reliant and independent in operation and specializes in commodity circulation operations.

Trade organization

1. Pre-capitalist period:

Mainly industry and commerce, of which family industry is a trade organization that combines production and sales, and family commerce is a trade organization that separates production and sales.

2. Capitalist free competition period:

There have been wholly-owned trade organizations and partnership trade organizations that specialize in commodity exchange; modern company trade organizations represented by limited liability companies and joint stock companies have generally formed.

3. The period of monopoly capitalist economy

Trade organizations have also produced monopoly forms, forming various cartels, syndicates, and trust-type trade organizations. Modern multinational corporations such as trade groups and general trading companies have emerged.

The trade organization as the main body of trade is an independent entity composed of a combination of certain human and material elements. The elements of people and things and their combination constitute a certain productive force. This productive force is reflected in the circulation power in circulation, and is embodied in the trade organization as an operating capacity.

The human factors of a trade organization include operators, service providers, science and technology workers, managers, leaders, etc. This is the determinant of the composition of the trade organization's operating capabilities.

The material elements of the trade organization include land, houses, business equipment, tools, business facilities, computers and other modern means. This is the material bearer of business capabilities.

Funding is a necessary input for trade organizations to conduct business. Without capital input, it is impossible to obtain the human and material elements that constitute business capabilities. Some other elements, including science and technology, information, organization, management, etc., are also important to the trade organization.

Among the above elements, human, material and financial resources are tangible elements, and other elements are intangible elements. The limits of the development and utilization of intangible elements are ambiguous and uncertain, and have great flexibility. Depending on the way and level of their use, it may not only promote the improvement of the ability of the trade organization to operate and organize, but may also seriously hinder the tangible elements The role is played, which determines that the role of intangible elements in improving business capabilities is disproportionate to the factors themselves.

1. Divided by the way a trade organization conducts business: direct trade organizations, intermediary trade organizations, and market trading organizations.

2. Divided from the scope of the trade organization's commodity business: comprehensive trade organization, professional trade organization.

3. Divided from the degree of separation of production and sales of goods: manufacturers' trade organizations with integrated production and sales, commercial and trade organizations with separated production and sales, integrated agricultural and industrial trade organizations with integrated production and sales, and comprehensive trading companies.

4. From the circulation link of trade turnover: wholesale trade organization, retail trade organization.

1. Trade organizations are the main organizers of commodity circulation.

2. The trade organization is an important provider of national fiscal revenue.

Trade organizations pay a large amount of taxes directly in their business activities.

Through the business activities of the trade organization, the taxes included in the goods paid by various production organizations are also indirectly realized.

3. The trade organization is the concrete implementer of national macro-control policies.

4. Trade organizations are important influencers of community civilization.