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Bharat Devendra Mital
Bharat Devendra Mital
Asked: 3 years ago2022-11-07T10:02:56+05:30 2022-11-07T10:02:56+05:30In: Class 10

Explain industry market linkage ?

Explain industry market linkage ?
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  1. 459ef
    2022-11-04T04:49:20+05:30Added an answer about 3 years ago

    Sarbartha, industry market linkage implies a chain diagram that reveals how industries organise the production process by bringing all the factors of production i.e. land, labour, entrepreneur and infrastructure together, putting them in a same process to carry out production. Suppose, if I being an cloth manufacturer, then I need to look for a piece of land to put-up the building for setting-up of the cloth factory, thereafter, need to hire labour and install machinery and other requisites say electricity, raw materials such as cotton, thread, buttons, zips, needles, etc.Once I have gathered or organised all these factors, then all of them will be put into a process (known as production process) in order to produce output. At the end of this stage, readymade cloth will be our final output and now, what I have to look for is to sell it in the market. Hence, for this, I need to arrange for transportation say trucks, airways, courier service, etc. In this manner, the final product (cloth in this case) will reach the market place, where, there will be huge number of sellers, who are dealing in clothes. These sellers will now sell the cloth to the final users say you and my friends and in exchange of the cloth, you people will pay money to the sellers. This amount of money will finally reach to me (since I am the owner of the cloth industry

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