SOCIAL STUDIES FOR YEAR 5 JUNE 23, 2020

TOPIC: PRODUCTION

Production is the process through which raw materials are turned into finished goods.  It can also be described as an organised activity of transforming resources into finished products in the form of goods and services; the objective of production is to satisfy the demand for such transformed resources.

 

STAGES OF PRODUCTION

1. PRIMARY PRODUCTION: This involves the extraction of raw materials from the soil or sea, for example, farming, fishing and mining. Goods available at this stage are raw materials.

2. SECONDARY PRODUCTION: This is the stage at which the raw materials are processed and transformed into finished products. This will usually take place in the manufacturing industry.

3. TERTIARY PRODUCTION: This is the stage at which the finished goods are supplied to the customers. This stage completes the production process.

CHAINS OF DISTRIBUTION

RAW MATERIAL --->	MANUFACTURER---> WHOLESALER--->	RETAILER-	CONSUMER

 A. The manufacturer produces the goods for distribution

B. The wholesaler is the trader who buys goods in large quantities from the manufacturer and sells them in smaller quantities to the retailer.

C. The retailer buys goods in small quantities from the wholesaler and sells them in units to the final consumers. The retailer completes the production process by taking the goods to the final consumer.

D. A consumer is a person who purchases goods and services for personal use.