Definition / Definition of Market and Production Factors – Management Economics
In a simple sense, or narrowly the market is a place of purchase and sale transactions (sales and purchases) are made by the seller and the buyer is happening at the time and place.
Market definition is widely according to WJ Stanton are the people who have a desire to meet the needs, money to spend and a willingness to spend.
In general, a transaction involving the sale and purchase of products / goods or services with money as a means of payment transactions are legitimate and approved by both parties to transact.
Input activity are activities to process, processing, and changing the factors of production that are not / less useful / useless to have a value greater benefits.Factors of production are commonly used are labor, land, and capital.The scarcity of a factor of production will usually cause an increase in input prices.
YPE – TYPE OF AGRICULTURAL PRODUCTS MARKET BY REGION
1. 1.Local Market
Local market or a market of local collectors (local assembling) is also known as farmer’s market (growers market), this market is found in the region or around agricultural production areas are generally located in the villageThe most important activities that occur in this market is the purchase of agricultural products in small quantities by middlemen such as brokers, wholesalers, middlemen and big traders from farmers’ associations to koprasi then sent in greater numbers to the central markets and the business processing or other buyers.
Some products that have accumulated in local markets soon be distributed to local consumers.Other activities that are prominent in this market is the sorting, grading and packing . In the local market of modern agriculture also found many processing uasaha as happened in the orchard and organic vegetable plantation where the owner opened the restaurant and other food products diolahan from budidayanya results.
2. 2.Central Market
The central market is often also referred to as market (market terminals / primary market) is the trade centers. This market is generally receive goods from the local market, but there are unisex directly from farmers, these markets are usually found in big cities or in places other gathering. Some of the products stored in this market are sold to processing plants, others to the retail broker for local consumption and most were sent to other cities to sell to the retailers in the city.
Central market should be established in the cities of strategic , between production and consumption areas, but it also has transport facilities and loading and unloading is good. As the market center, then in this market in the process of concentration (especially the physical concentration of agricultural products), equalisasi and dispersion, but it also met Commerce institutions such as wholesalers, traders, commission (commission), a broker, speculator and sebgainya. Large traders usually buy goods in larger numbers through their agents (the commissioner and the broker) and sell it in small quantities to smaller wholesalers, retailers, hotels and restaurants.
3. 3. Import-export market
This market is also called the port market, a central market for goods that will be sent to the foreign countries or to the islands. The goods will be sent abroad bersal from the central market, the local market and also occasionally (rarely) from prodesen (usually farmers). Commerce of the most important institutions that operate in export-import markets are the exporters, importers, warehousing companies, freight inter-island inter-state and other institutions.
4. 4. Inter-State Market
In the inter-state market which includes the world market and international markets have the relationship between supply and demand for world-class goods. In this market only available monsters (sample items) are sold with a standard-specific standard, therefore, standardization is very important in trade between countries. Based on the time of the transaction, the trade between countries are distinguished on the form of cash trade, which took place in cash transactions, and the form of futures trading took place at the time of the transaction will come. Futures trading is the buying and selling contracts based on that shipment or delivery of certain commercial goods in quantity, quality, place and time, thus the price, quantity, quality in delivery time (delivery) of goods approved at that time, but the execution of delivery and payment is made at a later time. Bila pada pasar antar negara berlangsung perdagangan berjangka, maka pasar antar negara tersebur berupa pasar berjangka pula. When the interstate In this futures market operate as commercial entities;
a. a. Hedger yaitu badan yang melakukan jual beli dengan metode hedging (pelaksanaan dua macam transaksi secara simultan yang saling mempengaruhi antara pasar tunai dan pasar berjangka). Hedger which is the body that make trading with hedging methods (implementation of two kinds of transactions simultaneously interplay between cash markets and futures markets).
b. b. Speculator adalah mereka yang berdagang dengan harapan dapat mencapai laba pada pasar berjangka dalam suasana perubahan harga. Speculator are those who trade with the hope of achieving a profit on the futures market price changes in the atmosphere.
c. c. Floor trade adalah speculator yang berdagang dengan langganan sendiri dan selalu siap untuk membeli dan menjual menurut pertimbangan dan keputusannya. Floor trading is a speculator who trades with his own customers and are always ready to buy and sell according to the consideration and decision.
d. d. Brokerage Firm yang merupakan sarana untuk semua cara kontrak dalam melakkan pasar berjangka dan anggota-anggota brokerage firm masing-masing berdagang untuk langganannya sendiri. Brokerage Firm is an excellent medium for all manner of contracts in the futures market melakkan and members of the brokerage firm each trade for their own customers.
5. 5. Pasar Eceran Retail Market
Retail market is a center of trade where a retailer sells goods in small quantities kepda final consumer directly. In the retail market was encountered various retailers, there is a shop and just stalls selling all kinds of things and just kind of course, the market usually have central areas of consumption (large cities, small towns and rural areas) Judging from the capital there is a large capital to a small capital, it is when viewed from the consumer’s purchase needs. In the retail market is eating place like restaurants and restaurants .
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