Production-is any activities, which results in the creation of goods and services in order to satisfy human wants. In economics sense, production is for exchanging, In the general meaning production may mean the creation of goods and services for personal consumption. Production is not complete if there is no consumption.
Therefore, production involves activities which facilitate transfer of goods and services from the areas where they are produced to where they are demanded for consumption Example of such activities which facilitate transfer of goods and services are:
- marketing etc.
CLASSIFICATION OF PRODUCTION ACTIVITIES.
According to the modern classification there are five categories of activities: